Billionaire, automaker and space entrepreneur Elon Musk says he would like to "delete" the Consumer Financial Protection Bureau as part of his purported drive to cut government waste.
"Delete CFPB," Musk said in a post on X, his social media site Wednesday. "There are too many duplicative regulatory agencies."
Several consumers came to the defense of the CFPB, which has returned more than $16 billion to consumers who were victimized by what the agency termed unfair or deceptive practices.
Several consumers came to CFPB's defense in response to Musk's post.
Actually the CFPB has helped me out a lot.
— Kristine Seale (@elise09bsn) November 27, 2024
Ex: I’m disabled. I filed and was approved income based student loan repayment. It took me 9 months of arguing with MOHELA before going through the CFPB to get MOHELA to “process” my approved-9-months-ago application
"This is what defund the police really looks like. It's defund the corporate police," said an X user called The Decoder.
Musk's stance aligns with his role in the incoming administration, where President-elect Trump has appointed Musk to lead the Department of Government Efficiency (DOGE), identifying and reducing redundancies within federal agencies, including the CFPB.
The CFPB was established in 2011 following the 2008 financial crisis, and aims to protect consumers in the financial sector. However, it has faced criticism, particularly from Republicans, who argue that it overreaches in its regulatory functions.
Some critics also alleged that the CFPB duplicates the regulatory functions of the Federal Trade Commission, the Office of the Comptroller of the Currency and other agencies that regular the financial sector.
Its defenders say CFPB is uniquely tasked specifically with defending consumers from unfair, discriminatory and illegal actions by banks, mortgage companies and other powerful corporate interests.
It has targeted banks, like Wells Fargo, payday lenders and credit card companies, and has required simple and more complete disclosure of terms by lenders, making it easier for consumers to compare options and ensure that they know what they're agreeing to.
Musk didn't specify what his objection to the CFPB might be but his comments followed those of Marc Andreessen, a Silicon Valley venture capitalist.
In a podcast earlier in the week, Andreessen said the CFPB had been “terrorizing financial institutions.”
Andreessen is a Trump supporter and donor who is advising Musk and his outside organization, known as DOGE, which is co-led by fellow tech entrepreneur Vivek Ramaswamy.