New Director of CFPB Kraninger Confirmed by U.S. Senate

 

By James Hyland, Esq. | The Pennsylvania Avenue Group | TLTA Federal Legislative Counsel

Dec. 6, 2018

The Senate voted this afternoon to confirm Kathleen Kraninger as the new Director of the Consumer Finance Protection Bureau (CFPB). She will replace the acting director, current Office and Management Budget Chief (OMB), Mick Mulvaney. She will be only the second person to serve as a confirmed director of this agency. 

Currently, Kraninger is an aide at OMB to Director Mulvaney. Prior to her service at OMB, she worked in the Senate as an aide on the Appropriations Committee, which chiefly concerns itself with spending priorities. Her selection reflects that she will be close to Mr. Mulvaney and that CFPB will be looking at the cost and size of the agency, as well as the cost benefits of new regulations.  

The vote was along party lines 50-49. Both Texas senators supported her nomination. Democrats have contended that she lacks experience in financial services. Republicans have said someone with experience in managing budgets and spending is what is needed at the CFPB.  

TLTA met with the current Deputy Director, Brian Johnson, in May of 2018 to discuss TRID, simultaneous issue disclosure and other issues. We expect that current senior staff will continue in that role. TLTA will continue to interact with CFPB. TRID is up for a mandatory five year review next year, and we expect them to act on needed fixes and clarifications.   

Another major confirmation awaits in the next Congress. The Federal Housing Finance Agency, which oversees Fannie Mae and Freddie Mac, will be vacant soon after the departure of President Obama‚Äôs appointee Mel Watt leaves in January. This post has significant direction over the housing markets. 
 
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