WASHINGTON — Recent directives from the Trump administration have led to a significant suspension of operations at the Consumer Financial Protection Bureau (CFPB), an agency created in response to the 2008 financial crisis and the ensuing subprime mortgage issues, aimed at protecting consumers.

In an email sent on Saturday, which was confirmed by The Associated Press, Russell Vought, the newly appointed director of the Office of Management and Budget, instructed the CFPB to stop working on proposed regulations, delay the enforcement of finalized rules yet to take effect, and halt all investigations, including any new ones. The CFPB has been a target for conservative criticism since its inception, advocated by President Barack Obama in the financial reform legislation of 2010 following the economic downturn.

Additionally, the email ordered the bureau to “cease all supervision and examination activity.”

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On Sunday, officials from the administration announced the temporary closure of the CFPB’s headquarters in Washington, D.C., for the week of February 10 to February 14, as revealed in an email obtained by The Associated Press. The reason for this closure was not disclosed.

“Employees and contractors are to work remotely unless otherwise directed,” stated the internal communication sent to the staff at headquarters.

This move corresponds with other initiatives from the White House aimed at reducing the influence of federal agencies, including the U.S. Agency for International Development.

Although Congress established the CFPB, dismantling it would require a new legislative act. Nevertheless, the agency’s leadership has the discretion to decide which enforcement actions to pursue.

Elon Musk shared his thoughts on social media, remarking, “CFPB RIP” on Friday. Additionally, the CFPB’s website experienced downtime on Sunday, displaying a “page not found” message.

In a social media update late Saturday, Vought announced that the CFPB would not be withdrawing its upcoming funding from the Federal Reserve, asserting that its current reserves of $711.6 million are “excessive.” Congress had stipulated that the bureau be funded by the Fed to shield it from political pressures.

“This spigot, long contributing to CFPB’s lack of accountability, is now being turned off,” Vought commented on X.

Since its establishment, the CFPB has reportedly secured nearly $20 billion in financial relief for consumers in the U.S. through debt cancellations, compensation, and reduced payments. Recently, the bureau filed a lawsuit against Capital One, accusing the bank of misleading consumers about its high-interest savings accounts and depriving customers of over $2 billion in interest payments.

Dennis Kelleher, president of the advocacy organization Better Markets, commented, “That’s why Wall Street’s largest banks and Trump’s billionaire allies despise the bureau: it serves as a vital watchdog for financial issues and has stood firm with millions of Americans—regardless of party affiliation—against financial predators and scams.”

This recent action against the CFPB highlights the ongoing tension between Trump’s populist promises to lower costs for working-class families and his administration’s tendency towards deregulation.

During his campaign, Trump suggested capping credit card interest rates at 10%, in light of significant increases above 20% as the Federal Reserve raised rates in 2022 and 2023. The CFPB had begun to explore ways to implement this proposal.

While the bureau can still receive complaints, it cannot conduct examinations or continue existing investigations, according to an anonymous source familiar with the agency’s operations. This directive is believed to restrict its ability to communicate with regulated entities, consumer advocates, or external organizations.

Musk’s team would also have access to complaints, investigations, and regulatory oversight data, raising concerns about potential conflicts if Musk’s company X were to establish a payment system, especially given that the CFPB holds data on competitors like Cash App, the insider noted.

Vought’s email follows a prior directive from Treasury Secretary Scott Bessent on February 3, marking another effort by the Trump administration to swiftly curtail the functions of federal agencies perceived as overreaching.

The CFPB was created in response to the 2007-2008 housing bubble and financial crisis, largely attributed to dubious mortgage lending practices. It was conceptualized by Massachusetts Democratic Senator Elizabeth Warren and has faced numerous legal challenges from major banks and financial sector groups.

“Vought is giving big banks and large corporations the green light to exploit families,” Warren criticized.

Warren recently urged Trump to work with the bureau to protect Americans from de-banking, a phenomenon where banks close customer accounts due to perceived financial, legal, or reputational risks.

“I understand that the Consumer Financial Protection Bureau is a frequent target for Republicans on this Committee, but it is the principal agency in our government actively working to prevent unfair de-banking,” she asserted during a Senate Banking, Housing and Urban Affairs Committee hearing.

Vought’s email indicated that President Donald Trump appointed him as acting director of the CFPB on Friday, following the dismissal of the former director, Rohit Chopra, on February 1. Vought had previously been involved in Project 2025, a policy framework for the Trump administration that Trump attempted to distance himself from during last year’s campaign.

Under Chopra’s leadership, the CFPB implemented regulations aimed at limiting overdraft fees imposed by banks, addressing junk fees, and proposed restrictions on data brokers selling sensitive personal information such as Social Security numbers.

—This report includes contributions from Associated Press writers Josh Boak and Chris Megerian, with additional reporting from Holly Ramer in Concord, New Hampshire.