President Donald Trump nominated Jonathan McKernan, a former director at the Federal Deposit Insurance Corporation, to be the director of the Consumer Financial Protection Bureau (CFPB) for a five-year term. The nomination suggests that the administration is seeking to change the agency rather than shut it down, as many Democrats suspect.
McKernan will take over from Russell Vought, who became the CFPB’s acting director on February 7 and suspended all agency work. Vought declined the latest tranche of agency funding from the Federal Reserve and halted CFPB rulemaking, litigation, and enforcement efforts.
The CFPB has faced criticism from congressional Democrats, who argue that the agency is essential for protecting consumers and returning billions of dollars in damages since its establishment in 2010. A letter from over 170 House and Senate Democrats protested Vought’s actions and called for him to reopen the agency.
Trump also nominated Jonathan Gould, a partner at Jones Day, for a five-year term as comptroller of the currency, and Brian Quintenz, global head of policy at a16z crypto, to be chairman of the Commodity Futures Trading Commission and commissioner. McKernan’s nomination may indicate that the administration is seeking to change the agency’s scope rather than eliminate it.
However, Vought’s predecessor, Andrew Glass, stated that McKernan’s appointment would likely result in the CFPB shrinking its size, rather than shutting it down entirely. The banking industry has expressed support for the CFPB as an institution, but some of its rules have been controversial.
Source: https://rollcall.com/2025/02/12/trumps-choice-to-lead-cfpb-mckernan-left-fdic-monday