Trump fires CFPB director Rohit Chopra
Chopra confirmed the news via A letter posted on X That read: “With so much power concentrated in the hands of a few, his agencies such as the CFPB have never been so critical.”
The news comes a few weeks after the inauguration day, with many surprised that Chopra survived the initial government fire of President Trump.
Chopra was appointed by former President Joe Biden in 2021 to serve as director of the CFPB. During his term of office, Chopra was known for his aggressive approach to maintain the laws of consumer protection.
During his time at the desk, Chopra led a crusade against clutter and redstand, which most large benches eventually left or decreased. Chopra Wells Fargo ordered in 2022 To pay $ 2 billion in recovery to more than 16 million consumers who are financially damaged by the bank.
According to the New York Times“ The agency is run by Zixta Martinez, the deputy director of the CFPB, until a new acting leader has been selected by President Trump.
The office, founded after the 2008 financial crisis to regulate mortgages, car loans and other consumer finances, has long been against Republicans and their financial backers.
“Although Chopra recently tried to emphasize the two issues for financial protection of consumers that he and President Trump corresponded – Debanking and Creditkardent Limits – it was always clear that his days were counted as director,” said Peter Idziak, Senior Associate, Polunsky Chisel Green. “The only surprise when firing Chopra was that Trump took almost two weeks to do this.
“It was talked about in Washington that the administration was waiting until they had a nominee or someone who could serve as acting director before firing Chopra. But so far, Trump has not mentioned a nominee or appointed an acting director, so it is not entirely clear why Trump decided to fire Chopra today, “said Idziak. “There are rumors that Trump intends to call Russ Vough as acting director if he is confirmed next week as OMB director, who would reflect Trump’s appointment of the then AB director Mick Mulvaney as acting CFPB director during his first term . “
While most in mortgage loans considered Chopra as an enemy, consumer groups praised their work at the CFPB. Jesse van Tol, President and CEO at the National Community Reinvestment CoalitionA statement issued that said: “[Chopra] met the clear mandates of the fixed law. His team demonstrated how the right legislators were to create this independent and targeted watchdog, all while driving for predictable and cynical lawsuits from the industry that the judges cannot mislead what the congress had built. “
