Question

Which of the following is responsible for funding the Consumer Financial Protection Bureau?

a) The U.S. Treasury Department
b) The Congress
c) The Federal Reserve Banking System
d) only (a) and (b) of the above
e) only (b) and (c) of the above

Answer 1

The Consumer Financial Protection Bureau is funded by The Federal Reserve Banking System, offering it a degree of autonomy from political pressures.

Step-by-step explanation:

The organization responsible for funding the Consumer Financial Protection Bureau (CFPB) is The Federal Reserve Banking System. The CFPB is an agency established in 2011 to oversee certain financial industries with a history of abusive practices. Unlike other federal agencies that may receive funding directly from congressional appropriations or the U.S. Treasury, the CFPB is funded primarily through the Federal Reserve System. This funding mechanism is designed to provide the bureau with a degree of independence, as it does not have to rely on Congress for its budget, which could potentially be influenced by political pressures.