That could allow Vought, a longstanding critic of the CFPB who also serves as director of the Office of Management and Budget, to continue high-profile efforts to gut the bureau.
After being sworn in as acting director in February, Vought instructed the CFPB to drop several legal cases brought by his predecessor Rohit Chopra, halted ongoing work at the agency, and fired scores of employees.
Those moves followed a campaign by Elon Musk, then the leader of the Department of Government Efficiency (DOGE), to completely dismember the CFPB, which was created in the aftermath of the 2007-08 financial crisis.
Last week, the justice department ruled the CFPB’s funding mechanism illegal and Vought announced that the agency would exhaust available funds in early 2026 – potentially accelerating its eradication under the Trump’s administration.
Justice department lawyer Charles E.T. Roberts said the CFPB’s money can only flow when the Federal Reserve’s balance sheet shows a profit, something the central bank hasn’t done since 2022, and that the Fed “currently lacks combined earnings from which the CFPB can draw.”