$120 million in redress returned to companies that broke the law
Hundreds of millions more in restitution stalled or at risk
Watchdog groups accuse CFPB of abandoning enforcement and transparency
More than $360 million in compensation owed to Americans harmed by illegal financial practices is at risk due to actions taken by the Trump-appointed leadership of the Consumer Financial Protection Bureau (CFPB), according to a new investigation by the Consumer Federation of America (CFA) and the Student Borrower Protection Center (SBPC).
The investigation reveals that over $120 million in redress has already been clawed back from victims and returned to the same corporations found to have broken the law. Additionally, hundreds of millions more remain in limbo or face cancellation as the CFPB under acting director Russell Vought has rolled back enforcement and reduced transparency.
“Corporate pardons” and dropped cases
The CFPB, once seen as a bulwark against financial abuse, has seen a dramatic shift under the Trump administration’s influence. The agency has dropped at least 22 pending enforcement cases this year, including several involving significant harm to military service members, student borrowers, and auto loan holders.
“In case after case, the Trump CFPB has taken the side of Wall Street over working families,” said Eric Halperin, senior fellow at CFA. “The agency’s job is to protect Americans—not to offer a laundry list of corporate pardons.”
Among the findings: in three separate enforcement cases, the CFPB withdrew from settlements that would have delivered more than $120 million in redress to affected consumers. In each of those cases, the companies were explicitly relieved of any obligation to pay restitution. In a fourth case, the financial penalty was dramatically reduced with little explanation.
Redress in limbo: CashApp, Navient, Honda
The fate of hundreds of millions more in consumer restitution remains uncertain. Investigators highlight at least three major enforcement actions where large payouts have either stalled or face derailment:
CashApp (Block Inc.): As much as $120 million in consumer refunds are owed but remain unpaid.
Navient: Over $100 million in redress for student loan borrowers appears stuck in administrative purgatory.
American Honda Finance: More than $10 million in relief has yet to reach harmed auto loan customers.
All of these enforcement actions were finalized in 2024 but are now at risk due to the CFPB’s abrupt policy shifts under Vought’s leadership.
“When Americans got ripped off by big banks and other financial companies, they could count on the CFPB to take action—until now,” said Allison Preiss of the SBPC. “Today, Wall Street wrongdoers are being richly rewarded while regular Americans are left empty-handed.”
A Transparency Breakdown
The CFA-SBPC report also slams the CFPB for abandoning long-standing transparency practices. Since 2011, the agency has published quarterly reports detailing enforcement activity, penalties collected, and disbursement of funds to victims. Those reports have traditionally been posted within three months of each fiscal quarter.
But since January 5, 2025, the CFPB has failed to publish a single report, breaking with more than a decade of precedent. Watchdogs say this lack of transparency makes it harder for consumers and policymakers to track whether restitution is being delivered—or quietly abandoned.
“This isn’t just about policy differences,” said Halperin. “It’s about basic accountability and honoring the promises made to Americans who’ve already been harmed.”