The Consumer Financial Protection Bureau (CFPB), designed to safeguard Americans from unfair financial practices, has been rendered largely inoperable under President Donald Trump’s administration, according to agency employees. For nearly six months, staff have been barred from performing core duties, leaving consumers vulnerable in dealings with banks, credit card companies, and lenders.

The CFPB, established in 2011 under the Dodd-Frank Act to oversee financial institutions, has shifted from protecting consumers to dismantling its own prior enforcement actions. Employees describe a “Kafkaesque” environment, forbidden from working by a White House directive issued through acting director Russell Vought. “It’s demoralizing,” said one employee, speaking anonymously due to restrictions on public statements. “We’re just sitting on our hands.”

In Trump’s first term, director Kathy Kraninger adopted a lighter regulatory touch, yet secured significant settlements. In contrast, Biden-era director Rohit Chopra aggressively targeted practices like overdraft fees, proposing a reduction from $27-$35 to $5, saving consumers an estimated $5 billion annually. This rule was overturned by Congress with Trump’s support in 2025, cheered by the Consumer Bankers Association for curbing “overreaches.”

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The Trump administration, backed by Elon Musk’s Department of Government Efficiency (DOGE), has targeted the CFPB for drastic cuts. Musk

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