Vought's 'ask nicely' CFPB let Bilt fail customers twice

In mid-July testimony before Congress, Russell Vought boasted that, as acting head of the Consumer Financial Protection Bureau, he had refashioned the agency's approach to pursuing banks and financial companies accused of exploiting Americans - the role Congress created after the 2008 crash. Vought, one of President Trump's top advisers, had spent 18 months trying to dismantle the bureau, ordering mass layoffs, choking off funding, and ending its headquarters lease. But federal courts blocked his efforts, so he switched tactics: if there had to be a watchdog, his would be a golden retriever, friendlier to industry. He accused the old CFPB of "thuggery" and promised a "collaborative approach" with companies that harm consumers. As evidence of success, he singled out Bilt, a buzzy startup offering credit cards for rent and mortgage payments, which had fumbled a critical transition. "We reached out to the company," Vought told Congress, "and before it got to the adversarial part of the process, they were able to fix their issues." The CFPB even posted a feel-good statement on its website, telling consumers that Bilt "appears to show" the firm was "back on track."