US Senate Rejects Democratic Effort To Restore CFPB Policies

Senate Blocks Democratic CFPB Restoration Push

On Wednesday, May 13, Senate Republicans blocked a coordinated Democratic effort to restore a series of Consumer Financial Protection Bureau policies that have been rolled back under the Trump administration. Here’s a breakdown of what happened and why it matters:

The Mechanism: Congressional Review Act

Democrats invoked the Congressional Review Act (CRA), the 1996 law allowing Congress to overturn finalized federal agency rules by simple majority — bypassing the 60-vote filibuster threshold. The votes were always expected to fail, but the exercise was a political maneuver to force vulnerable GOP senators into difficult votes ahead of the 2026 midterms.

What Was on the Table

Democrats pushed resolutions targeting policy rollbacks in three key areas relevant to your field:

• Medical debt collections — S.J. Res. 141 sought to restore CFPB guidance prohibiting deceptive and unfair collection of medical debt (Regulation F)

• Overdraft fees — A resolution to reinstate the Biden-era requirement that banks obtain affirmative consumer consent before charging overdraft fees; defeated 47-53

• Military Lending Act protections — S.J. Res. 132, introduced by Sen. Jack Reed (D-R.I.), would have restored CFPB examinations of payday lenders and nonbank companies for compliance with the MLA’s 36% interest rate cap

Beyond the three recorded roll-call votes, more than a dozen additional resolutions targeting other CFPB policy withdrawals were offered by voice vote — all blocked by Republicans.

The Broader CFPB Context

Under acting Director Russell Vought (who simultaneously serves as Trump’s budget director), the CFPB has rescinded 67 policies since February 2025. The bulk of bureau staff remain under orders not to work, and current CFPB activity is largely focused on unwinding Biden-era and first-term Trump-era work. Vought has publicly stated his goal is to effectively dismantle the agency.

Sen. Susan Collins (R-ME) was the lone Republican to break ranks and vote with Democrats on the resolutions — notable given she is among the vulnerable GOP senators Democrats were targeting with the exercise.

Industry Implications

For the debt collection and credit reporting space, the failed votes mean the CFPB’s withdrawn guidance on FDCPA medical debt collections and FCRA preemption remains rescinded — preserving the current lighter-touch regulatory environment. However, state-level analogues to these rules continue to fill the vacuum, and the political narrative around CFPB dismantlement is clearly being primed as a 2026 midterm issue.