CFPB ends Biden-era Google Payment supervision

This move reverses a Biden-era initiative to oversee nonbank financial platforms. The decision follows Google’s lawsuit against the CFPB’s order from December 2024, which cited consumer risks and mandated supervision of Alphabet’s payment arm. The decision was challenging in court, according to the company. Google will drop the lawsuit since the bureau discontinued its supervision efforts.

More details about the lawsuit

CFPB’s order from last year reflected its observation that Google Payment posed a risk to consumers due to its handling of users' data, lack of transparency, and potential for fraud. In the lawsuit filed after the CFPB’s announcement in December, Google Payment mentioned that the regulator relied on an insignificant number of unsubstantiated complaints regarding a product the company no longer offered in the US. The company claims that its peer-to-peer service was discontinued in June 2024 for business reasons, before the CFPB issued the designation.

Now, the new CFPB director, appointed by President Donald Trump, declared that the supervision of Google Payment would be an unwarranted use of the institution’s resources and powers. During Biden’s term, the bureau focused more on monitoring financial services from Silicon Valley tech firms instead of traditional banks.

CFPB ceases reinforcement of other regulations

In May 2025, the bureau dropped legal enforcement actions of a BNPL rule, declaring providers such as credit card issuers subject to the Truth in Lending Act. The rule was created during Biden’s presidential term and ensured transparency in lending and consumer protection from unfair practices in credit and mortgage lending, as well as any personal or familial loans. Fintech companies had been required to comply with more rigorous consumer protections, such as standardised disclosures, refund processing, and formal dispute investigations.

Now, CFPB aims to maintain enforcement resources centred on persistent threats to consumers, especially servicemen and veterans. The bureau took these measures to direct its power towards assisting US taxpayers, servicemen, and SMEs.