Brian Johnson, nominated to serve as Director of the Consumer Financial Protection Bureau, told senators he does not intend to eliminate the agency during his confirmation hearing.
The Senate Banking Committee held the hearing on July 23, where Johnson faced pointed questions about his plans for the embattled regulator.
Johnson previously served at the CFPB during President Trump’s first term and was tapped to lead the Bureau in place of Acting Director Russell Vought.
Vought has sought to drastically shrink the agency and at times discussed closing it entirely, setting up a sharp contrast with Johnson’s stated intentions.
Senator Chris Van Hollen asked Johnson directly whether he wanted to eliminate the CFPB, and Johnson responded that doing so was not his intention.
Johnson described the Bureau as “a creature of statute” and said his intention was to execute the law as assigned to it by Congress.
When Senator Raphael Warnock separately asked whether he agreed with Vought’s support for eliminating the Bureau, Johnson again declined to endorse that position.
Johnson stated that the CFPB can produce positive results when properly structured and governed, though he acknowledged he believes its current statutory structure contains deficiencies.
His prepared testimony outlined three priorities if confirmed: protecting consumers vulnerable to fraud and scams, ensuring the Bureau operates within its statutory limits, and modernising its operations.
Johnson pledged strong enforcement of safeguards for military borrowers and expressed sympathy for concerns about the financial burdens posed by medical debt.
However, he indicated that reviving a Biden-era ban on medical debt reporting would not be under consideration, signalling a continued departure from previous policy positions.
Senator Elizabeth Warren asked whether he would notify Congress and the Inspector General about certain White House contacts concerning enforcement matters, but Johnson disputed the premise and declined to address the hypothetical.
On staffing, Johnson said he would maintain an open mind when reviewing workforce levels, but declined to concede that reducing staff from nearly 1,100 employees to approximately 560 would impair the Bureau’s ability to perform its responsibilities.
The proposed workforce reduction remains subject to ongoing litigation, with court review postponed pending the outcome of the confirmation process.
Several significant regulatory issues went unaddressed at the hearing, including the open banking rule rewrite, potential scrutiny of credit card late fees, and possible mortgage-related rule changes.
The Bureau’s broader policy direction therefore remains unclear, leaving banks, lenders, fintech companies, and other regulated entities without firm guidance on what to expect under Johnson’s leadership.