Supreme Court Upholds CFPB Mandate to Protect Consumers, Rejects Predatory Lenders’ Attempts to Dodge Accountability

FOR IMMEDIATE RELEASE
Contact: Mattie Goldman, [email protected]

The Leadership Conference Calls on Supreme Court to Rule on the Side of Civil Rights in All Decisions

WASHINGTON — Maya Wiley, president and CEO of The Leadership Conference on Civil and Human Rights, released the following statement on the Supreme Court’s decision in Consumer Financial Protection Bureau v. Community Financial Services Association of America:

“Today’s Supreme Court decision upholding the Consumer Financial Protection Bureau’s authority is a win for everyday consumers. The legal attack on its funding was a Trojan horse to undermine consumer protection. Today, the CFPB can keep working to ensure consumers keep more of their money safe from deceptive practices and discrimination by financial entities like payday lenders, debt collectors, and large banks. That means low-income communities of color in particular still have some desperately needed help, making it also a victory for civil rights principles.

“The CFPB’s independent funding structure, now affirmed by the Court, safeguards it against attacks from the undue influence of the banking lobbyists who seek to profit from a lack of consumer protections. This ruling means that the CFPB can continue to build upon its return of $19 billion to consumers since its inception and hold accountable those who exploit ordinary people. The agency was created, in a moment of clarity in Congress, in the aftermath of a financial crisis that resulted in millions of foreclosures (disproportionately in communities of color), massive taxpayer bailouts, and years of economic stagnation. Its independent funding structure, which the Court just upheld today, has kept it from being bought off by banking industry lobbyists who aren’t accustomed to being held accountable.

“This is the second time that the Supreme Court has heard a challenge to the existence of this agency, and it is the second time that the Supreme Court has wisely left the basic structure intact. It is time for the financial industry to work with this agency.

“While we are grateful that the Court maintained the status quo in its decision today and will allow the CFPB to continue its important work, the civil rights community has not forgotten this Court’s recent reversal of abortion rights, the weakening of affirmative action in higher education, the devastating gutting of the Voting Rights Act, and other cruel decisions undermining civil and human rights. We urge the Court this term to do the right thing by protecting civil rights and the multiracial democracy that we the majority deserve.”

The Leadership Conference joined an amicus brief in Consumer Financial Protection Bureau v. Community Financial Services of America urging the Supreme Court to find that the Consumer Financial Protection Bureau funding structure is constitutional. We also published an explainer ahead of oral arguments in the case, which is available here.

The Leadership Conference on Civil and Human Rights is a coalition charged by its diverse membership of more than 240 national organizations to promote and protect the rights of all persons in the United States. The Leadership Conference works toward an America as good as its ideals. For more information on The Leadership Conference and its member organizations, visit www.civilrights.org.

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