Former CFPB director Kathy Kraninger urges durable, accountable framework for consumer protection

Kathy Kraninger, introduced by the committee as a former director of the Consumer Financial Protection Bureau and described in the transcript as president and CEO of the Florida Bankers Association, told lawmakers they should craft "a durable, accountable, and transparent framework for federal consumer financial protection." She argued that placing the bureau within the regular appropriations process would force clearer congressional oversight of bureaus' priorities and use of funds and that a senate‑confirmed inspector general would provide regular testimony to Congress and more durable independent oversight.

Kraninger detailed several statutory changes the bill would adopt: transparent, evidence‑based rulemaking with retrospective review; moving to a "substantial injury" standard to focus enforcement on concrete, quantifiable harm; proportionate penalties and recognition of self‑reporting as a mitigating factor; and clarifying supervisory responsibility and raising the supervisory threshold (the transcript cites $21,000,000,000 in assets). She said these reforms are intended to preserve consumer protection while reducing uncertainty that can chill innovation and market entry.