Mulvaney Strips CFPB Lending-Discrimination Watchdog of Its Power

Interim Consumer Financial Protection Bureau Director Mick Mulvaney is moving the powerful Office of Fair Lending and Equal Opportunity under his direct oversight and is stripping its enforcement authority. Instead of giving the watchdog the ability to go after lenders to who change their interest rates based on race, or other discriminatory practices, the office will now focus on “advocacy, coordination, and education,” according to a memo to CFPB employees. Critics are concerned that the office’s ability to prevent discrimination in student loans and mortgages will be hindered with the change.