Capital One and Rocket Homes lawsuits dropped by CFPB as Trump guts consumer protections

The Consumer Financial Protection Bureau (CFPB), under new leadership, dropped lawsuits against several companies, including Capital One, Rocket Homes, and Vanderbilt Mortgage. These lawsuits, filed under the previous director, Rohit Chopra, were dismissed with prejudice, meaning they cannot be refiled. The dismissals followed the White House halting nearly all CFPB work and personnel changes. The Trump administration defended its actions, citing claims of the agency's destructive nature. Supporters, however, emphasized the CFPB's crucial consumer protection role. The dismissed cases involved allegations of misleading practices, unfair loans, and kickback schemes. Rocket Homes and Capital One welcomed the dismissals, criticizing the previous director's motives. The CFPB's actions are not isolated; the SEC has also paused or closed several cryptocurrency-related cases. This shift reflects a broader change in enforcement priorities under the new administration. The CFPB's previous actions had resulted in billions of dollars in consumer relief.