Posted To: MND NewsWire

The Supreme Court, in a 5-4 decision along partisan lines, took a chunk out of the intentions the Dodd-Frank Act had for the Consumer Financial Protection Bureau (CFPB) when it created it. The court ruled that the single-director structure of the agency is unconstitutional as is its limits on the President’s ability to replace its occupant. When Congress established CFPB it set up its funding mechanism independent of the House appropriations process, ruling its budget should come from the Federal Reserve. It also established a single director to head the agency and protected the occupant from being fired except for “inefficiency, neglect of duty or malfeasance in office” during a five-year term, Each stricture was a bid to insulate the agency from political interference. FHFA which regulates…(read more)

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Source: Mortgage News Daily