CFPB said to move ahead on rulemaking ahead of Trump transition

The U.S. Consumer Financial Protection Bureau is reportedly progressing with its rulemaking process even as Donald J. Trump is set to take office in less than two months, according to a media report.

The agency, established after the 2008 financial crisis to protect consumers from predatory lending, plans to move ahead with a ban on including medical debt in credit reports and to propose restrictions on data brokers that track and collect personal data, Reuters reported, citing a person with direct knowledge of the matter.

Republicans, who will control the Senate, the House of Representatives, and the White House in January have been vocal critics of the agency, saying it imposes too many restrictions, which limits free enterprise. They also contend that it’s politically unaccountable.

Republican lawmakers have demanded that agencies stop rulemaking until Trump takes office.

The CFPB also has at least seven other proposals in process, including restrictions on overdraft and insufficient fund charges and rules regarding paycheck advances, Reuters said.

The current director of the CFPB, Rohit Chopra, was appointed to the role President Joe Biden in 2021. Trump nominated Chopra to fill an open Democratic seat on the commission in 2017.

Most credit card stocks traded in the red on Wednesday. Capital One Financial (NYSE:COF) -0.2%, American Express (NYSE:AXP) -0.7%, Synchrony Financial (SYF) -0.9%, Discover Financial Services (DFS) -0.3%, and Bread Financial Holdings (BFH) -1.3%.

Credit report stocks are mixed: Equifax (NYSE:EFX) +1.0%, TransUnion (TRU) -0.3%; Experian Plc (OTCQX:EXPGY) ADRs +1.1%.

Other consumer finance names: Ally Financial (ALLY) -0.5%, Credit Acceptance (CACC) +2.1%, Enova (ENVA) -0.6%, Affirm Holdings (AFRM) +.3.0%, Regional Management (RM) +0.8%.

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