Trump Administration Concocts New Plan to Disable CFPB

April 1, 2026 — Press Release

Proposal to Dramatically Reduce CFPB Staff Would Cripple Supervision of Banks and Fintech Lending Apps; Cut Enforcement Staff by 80%

WASHINGTON – In its latest attempt to shutter the nation’s top consumer watchdog, the Trump Administration has proposed another round of significant staff reductions at the Consumer Financial Protection Bureau (CFPB). The proposal, filed by CFPB Acting Director Russell Vought in the Court of Appeals for the D.C. Circuit, would eliminate all but about 550 positions – less than one-third of the staff in place when Trump took office. 

“This latest attempt to eliminate essential staff at the CFPB would reduce the bureau to an empty shell, unable to fulfill the functions the CFPB is statutorily required to engage in,” said Chi Chi Wu, director of consumer reporting and data advocacy. “People need a strong, independent CFPB that is staffed to address unscrupulous practices by credit reporting companies, Wall Street banks, and big corporations.”

Last year, the CFPB had a staff of 1,750. It currently has 1,174, with many departures spurred by Acting Director Vought’s actions to cut benefits, contracts and services, and orders forbidding staff to work fully. This new proposal would cut existing staff by more than half. It proposes eliminating 85 percent of positions in the Division of Supervision, which oversees banks and other financial companies, and 80 percent of its enforcement staff, which brings proceedings when companies violate the law. 

“Cutting consumer protections during an affordability crisis, while people are holding record credit card and student loan debt and facing rising prices for gas, groceries, and utilities, is tone deaf and cruel,” said Wu. “The CFPB was created to protect people from financial fraud and abuse, but these continued cuts are opening the door to fraudsters and cheats.” 

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Related Resources

• Press release: White House Launches New Attack on CFPB and Nation’s Consumers, Feb. 17, 2026
• Press release: CFPB Takes Steps to Reduce the Number of People Who Seek Help from the Consumer Agency, Feb. 9, 2026 
• Issue brief: Legislative Attacks on CFPB Erode Mandatory Funding, Compromise Independence, Weaken Integrity, and Roll-back Protections, Feb. 24, 2025