Court decision jeopardizes CFPB and threatens critical government programs, says NCL

October 24, 2022

Media contact: National Consumers League – Katie Brown,, (202) 207-2832

Washington D.C.— Last week, the Fifth Circuit Court of Appeals ruled that the Consumer Financial Protection Bureau’s (CFPB) funding structure is unconstitutional due to its non-reliance on annual Congressional appropriations. This ruling sets a dangerous precedent that could cause irreparable harm to consumers by undoing critical regulations against predatory fees and practices among financial servicers. Additionally, the Fifth Circuit’s logic, if extended across the federal government, would upend numerous federal entities that are also self-funded or otherwise receive revenue without regular Congressional appropriation, including Social Security and Medicare. 

The following statement is attributable to NCL Executive Director Sally Greenberg: 

“For more than 11 years, the CFPB has served as a dedicated champion for consumers in the federal government, preventing abusive, discriminatory, and predatory practices in the finance sector. The Fifth Circuit’s decision against the CFPB’s funding structure not only jeopardizes the CFPB’s invaluable work but also puts other key regulators at structural risk, such as the Federal Reserve System, the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC). The Fifth Circuit’s ahistorical logic threatens other critical government programs as well, such as Social Security and Medicare. I hope upon further appeal, the American judicial system will not choose to side with payday lenders again.” 


About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit