Which act established the Consumer Financial Protection Bureau?

The establishment of the Consumer Financial Protection Bureau (CFPB) was a significant outcome of the Dodd-Frank Wall Street Reform and Consumer Protection Act, which was enacted in 2010 in response to the financial crisis of 2007-2008. One of the primary goals of this act was to promote financial stability in the economy and increase consumer protection in the financial services sector.

The CFPB was created specifically to oversee and enforce consumer protection laws, ensuring that consumers are treated fairly by financial institutions. This includes overseeing practices related to mortgages, credit cards, and other financial products. The establishment of the CFPB represented a pivotal moment in the regulation of consumer finance, aimed at providing greater transparency, accountability, and consumer rights.

In contrast, the other acts mentioned have specific focuses that do not encompass the establishment of the CFPB. For example, the Home Ownership and Equity Protection Act primarily addresses high-cost mortgages and protects consumers from predatory lending practices, while the Real Estate Settlement Procedures Act regulates disclosures for real estate settlements and the Truth in Lending Act is focused on ensuring that consumers are advised of the costs of credit. None of these acts created the CFPB; thus, the Dodd-Frank Act is the correct answer, as it specifically