The bureau told advisers the move was part of cost-saving efforts
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Consumer Financial Protection Bureau Acting Director Mick Mulvaney has disbanded three boards advising the consumer watchdog about the financial challenges faced by Americans, according to a Reuters report.
Board members said they were informed about the decision through an email and a conference call. Reuters said the advisers criticized the change as it would block out resources who know the financial struggles faced by ordinary Americans.
The disbanded boards are the Consumer Advisory Board (CAB), the Community Bank Advisory Council, and the Credit Union Advisory Council. The law requires the CAB to meet twice a year.
“Firing the current CAB members is another move indicating acting director Mick Mulvaney is only interested in obtaining views from his inner circle, and has no interest in hearing the perspectives of those who work with struggling American families,” CAB Chair Ann Baddour said.
According to members, the CFPB cited costs savings as the reason behind the move. The development follows earlier changes to the bureau as part of a broader overhaul initiated by Mulvaney. President Donald Trump appointed the former Republican congressman to lead the CFPB amid promises to ease regulations.
The CFPB said the boards will continue to function. “The bureau will continue to meet its statutory obligation to convene the Consumer Advisory Board meetings as well as enhanced forms of public outreach and engagement,” spokesman John Czwartacki said.
Former board members said the bureau is considering a fall meeting with fewer members and increasing public outreach events instead.
