The current Administration’s “Big Beautiful Bill” that passed Thursday includes a paragraph that modifies the CFPB’s annual funding budget. In 2010, The Consumer Financial Protection Act, which created the CFPB, stipulated that that no more than twelve percent of the annual total operating expenses of the Federal Reserve System shall be transferred to the agency. The new law has amended that down to 6.5%.
For perspective, the CFPB received $729.4M from the Fed in FY 2024 but could have drawn up to $785.4M. Had the new cap already been in place, the agency would’ve only been entitled to take up to $425M.
All eyes had been on the CFPB in the small business finance industry where massive regulations relating to how such companies collect data were supposed to have gone into effect this month. The agency ultimately suspended compliance with the rules by one year and said it intends to rewrite those rules in the interim. The agency is required by the fifteen year-old statute to implement some form of data collection on small business lending.
Last modified: July 3, 2025
