Supreme Court Rules CFPB Funding Structure Constitutional

May 16, 2024

In a 7-2 decision, the court rejected an argument that the Consumer Financial Protection Bureau's (CFPB) funding method violated the U.S. Constitution’s Appropriations Clause because Congress had not annually authorized money for the agency. Instead, Congress authorized the CFPB to draw funding from the Federal Reserve system that the agency’s director deems necessary for its work.

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