On June 26, the Chairman of the House Committee on Financial Services Subcommittee on Oversight and Investigations, Rep. Don Meuser (R-PA), sent a letter to the acting inspector general for the Fed and CFPB to investigate certain CFPB actions under the Biden administration. The letter asserted the Biden administration weaponized the CFPB and that former Director Rohit Chopra acted unlawfully by expanding the CFPB’s powers beyond its statutory authority. For example, the letter cited the CFPB’s 2022 decision to broaden the prohibition on “unfair, deceptive and abusive acts and practices” to include discrimination, and the Bureau’s efforts to expand the meaning of “credit” under TILA. Rep. Meuser also noted regulatory attempts to require the application of TILA disclosure requirements to overdraft services and Buy Now, Pay Later products.

Rep. Meuser requested that the acting inspector general investigate (i) the CFPB’s decisions to broaden its authority to include discrimination and expand the meaning of credit under TILA, (ii) former Director Rohit Chopra’s coordination with state attorneys general, and (iii) the time and costs associated with enforcement actions brought under former Director Rohit Chopra, when compared to other prior directors.

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