Consumer Financial Protection Act

The Consumer Financial Protection Bureau (CFPB) works alongside the FTC to regulate deceptive practices in financial services, focusing on fraud and lending. Established in response to the 2007-2008 economic slowdown, the CFPB oversees both non-depository and large depository institutions. It comprises four main offices targeting fair lending, financial education, service members, and older Americans. The CFPB has authority similar to the FCC, enabling it to enforce consumer protection rules and allow state-level regulation, provided it aligns with federal law.

What was the primary reason for the establishment of the Consumer Financial Protection Bureau?

• To address deceptive practices identified during the 2007-2008 economic slowdown

• To oversee environmental regulations

• To manage the stock market

• To regulate international trade practices

Which of the following is NOT one of the primary offices within the CFPB?

• Office of Fair Lending and Equal Opportunity

• Office of Financial Education

• Office of Environmental Protection

• Office of Service Member Affairs

What is the main focus of the Office of Financial Protection for Older Americans?

• To regulate international banking

• To protect older Americans from financial fraud

• To manage corporate taxes

• To provide financial education to teenagers

How does the CFPB's authority compare to that of the FCC?

• It has more authority than the FCC

• It has similar authority to the FCC

• It has no authority compared to the FCC

• It has less authority than the FCC

Under what condition can state-level regulation of financial institutions occur?

• When it supports international trade

• When it conflicts with federal law

• When it is approved by the FCC

• When it does not conflict with federal law