Kraninger will take over for acting Director Mick Mulvaney, who is currently the Director of the Office of Management and Budget (OMB) and the incoming White House Chief of Staff. Kraninger reported to Mulvaney at OMB prior to her appointment. Previously, she worked in the U.S. Senate and in the George W. Bush Administration in homeland security roles. It remains to be seen if Kraninger will have the same approach as her predecessor, who drastically scaled back the agency’s enforcement actions and oversight.
It is likely that Kraninger will proceed in a quieter manner than her predecessor, who was quite vocal about his opposition to the Bureau. In fact, Kraninger, who indicated a willingness to reverse the decision to change the name of the CFPB to the Bureau of Consumer Financial Protection, said on December 17, “I have officially halted all ongoing efforts to make changes to existing products and materials related to the name correction initiative." Analysis by The Washington Post has reported that under the Trump Administration, the CFPB has both contracted in size and drastically reduced the amount of enforcement actions it has taken on behalf of consumers.
Congress established the CFPB as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. The Act consolidated many of the regulatory and oversight functions regarding consumer loans and other financial products previously regulated by several other federal agencies. Congress structured the Bureau as an independent agency with much of its power instilled in its Director.
The relocation of a transferee often involves the sale and/or purchase of a home, and thus, the policies and practices involving real estate directly impact Worldwide ERC® members. The CFPB Director has significant power over many real estate regulations such as the TILA-RESPA rule, with little oversight from Congress, so the policy positions of a specific individual as director determines the direction of the Bureau.