Industry leaders say McKernan's leadership will promote fair lending and a more efficient mortgage market
A coalition of major housing industry organizations is urging the Senate to swiftly approve Jonathan McKernan as the next Consumer Financial Protection Bureau (CFPB) director.
In a joint letter to the Senate Banking Committee, the group said McKernan’s regulatory expertise makes him well-suited to lead the agency in a way that supports responsible lending, consumer protections, and housing market stability.
In a joint letter, multiple housing groups – including the Mortgage Bankers Association (MBA), National Association of Home Builders, and National Association of REALTORS® – highlighted McKernan’s extensive experience in financial regulation and housing finance.
“Mr. McKernan brings a wealth of experience in housing finance and financial regulation,” the letter stated. “He has the expertise and thoughtfulness necessary to support a transparent, effective Bureau that upholds both its responsibility to consumers and the housing market.”
The coalition emphasized the importance of safe, affordable lending and a resilient mortgage market, adding that McKernan has a track record of working with policymakers, industry leaders, and consumer advocates to ensure fair lending practices.
The signatories include:
- American Land Title Association
- Homeownership Council of America
- Mortgage Bankers Association
- National Association of Home Builders
- National Association of Local Housing Finance Agencies
- National Association of REALTORS®
- National Council of State Housing Agencies
- National Housing Conference
- National Leased Housing Association
- U.S. Mortgage Insurers
- SKA Marin
Strong support
MBA president Robert Broeksmit praised McKernan’s ability to navigate regulatory reforms that could reduce compliance costs and improve access to homeownership.
“The Dodd-Frank Act’s mortgage market provisions and its transfer of numerous rulemaking authorities to the Bureau inextricably tie critical functions in the housing finance market to the rules promulgated by the agency,” Broeksmit said. “Mr. McKernan’s deep regulatory experience at the FDIC, the Federal Housing Finance Agency, and the Treasury Department, in private law practice, and as a former Senate staffer – coupled with his background working on housing policy – makes him a strong choice to lead the regulatory reforms necessary to lower compliance costs and pass those savings along to prospective homeowners and renters.”
At the same time, Senator Elizabeth Warren (D-Mass.) said that McKernan must prove his commitment to consumer protection. She raised concerns about efforts to weaken the CFPB, particularly under President Donald Trump and business leaders like Elon Musk.
“The agency requires a leader who is serious about lowering costs for working Americans, holding bad actors accountable, and proactively protecting the public from scams, fraud, and abuse,” Warren wrote. “CFPB leadership is even more important in light of efforts by President Trump, billionaire Elon Musk, and other members of the Trump Administration to dismantle the agency.
“At your nomination hearing on February 27, 2025, you must demonstrate to the US Senate Committee on Banking, Housing, and Urban Affairs that you are willing and able to advocate for consumers, the CFPB, and the robust enforcement of consumer protection law, no matter the directives you receive to the contrary.”
Who is Jonathan McKernan?
McKernan, whose nomination was announced by the White House on February 11, has an extensive background in financial policy. He previously served as a Republican member of the FDIC board, where he co-chaired a special committee overseeing workplace misconduct investigations.
Before joining the FDIC board, he served as a financial policy advisor in the Senate, a senior official at Treasury, and an attorney at FHFA.
McKernan’s tenure on the FDIC board, where he co-chaired an investigation into workplace misconduct, drew praise from regulators. He resigned from the board on February 10 due to a rule limiting the number of members from a single political party.
Read next: What fate awaits Fannie, Freddie, and the CFPB under Trump?
His resignation from came as part of a partisan restructuring, ensuring compliance with a rule that no more than three board members belong to the same political party.
McKernan’s nomination will be reviewed by the Senate Committee on Banking, Housing, and Urban Affairs during a February 27 hearing. Until his confirmation, the CFPB will remain under acting director Russ Vought, who also leads the Office of Management and Budget.
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