Grassley’s comments came just hours after the Senate voted 71-29 to end debate on the nomination of Richard Cordray to lead the CFPB. A final vote on Cordray’s nomination could come as early as today.
“I believe this creates a great deal of confusion and battle for resources,” Grassley said. “But that board’s function is very different from the Federal Reserve. … The end result is neither gets fully overseen.”
Grassley said that he and Sen. Tom Coburn (R-Okla.) offered an amendment to the Senate Budget resolution that would have created an inspector general solely to oversee the CFPB, but that Democrats blocked it. Grassley pointed out that 73 other federal agencies have their own inspector general and that the CFPB shouldn’t be exempt from congressional oversight.
The CFPB was created to protect American consumers from predatory banks and lenders.