CFPB Director Richard Cordray Announces Resignation
Thu 16 Nov, 2017 / by McIntyre & Lemon / Client Alerts
11/16/17 – The Washington Post reported yesterday that Richard Cordray, Director of the Consumer Financial Protection Bureau (CFPB), will step down as head of the CFPB by the end of this month.
Richard Cordray is the first director of the CFPB and has headed the agency since 2012. Had Cordray remained in his position, his term would have expired next year in July.
“It has been a joy of my life to have the opportunity to serve our country as the first director of the Consumer Bureau by working alongside all of you here,” Cordray said to employees according to the Washington Post. “I trust that new leadership will see that value also and work to preserve it—perhaps in different ways than before, but desiring, as I have done, to serve in ways that benefit and strengthen our economy and our country.”
Lawmakers immediately reacted to the news of Cordray’s departure. Senator Elizabeth Warren said, “[Cordray] held big banks accountable. He is a dedicated public servant and a tireless watchdog for American consumers—and he will be missed. The new Director of the CFPB must be someone with a track record of protecting consumers and holding financial firms responsible when they cheat people. This is no place for another Trump-appointed industry hack.”
Congressman Jeb Hensarling, chairman of the House Financial Services Committee and a frequent critic of Cordray, said, “We are long overdue for new leadership at the CFPB, a rogue agency that has done more to hurt consumers than help them. The extreme overregulation it imposes on our economy leads to higher costs and less access to financial products and services, particularly for Americans with lower and middle incomes.”
Cordray did not explain why he decided to resign at this time, but it is sure to fuel rumors and speculation that he is seeking to run for governor of Ohio. Cordray once served as attorney general of Ohio. However, Cordray had not made any announcements about his future plans and has repeatedly declined to answer questions about his political ambitions. If Cordray decides to run for Ohio governor, he would have to declare his candidacy by February.