CFPB Drops Lawsuit Against Solo Funds, Signaling Regulatory Capture

confirmed Importance 7/10 ~1 min read 3 sources 4 actors

The Consumer Financial Protection Bureau (CFPB) under the Trump administration permanently dismissed its enforcement action against Solo Funds, a fintech platform providing small-dollar loans. The lawsuit, originally filed in May 2024, alleged deceptive lending practices with loans potentially carrying annual percentage rates over 1,000%. Acting Director Russ Vought claimed the dismissal was stopping ‘weaponization’ of consumer protection.

Sources & Citations

[1] CFPB Drops Case Against SoLo Funds | Bloomberg · Feb 22, 2025 Tier 1

[2] CFPB Dismisses Lawsuit Against Lending Platform Solo Funds | American Banker · Feb 24, 2025 Tier 2

[3] Predatory Fintechs Score as Trump-Musk CFPB Caves on Lawsuit | Americans for Financial Reform · Feb 25, 2025 Tier 2

Tiers Tier 1 court records & gov docs · Tier 2 established outlets · Tier 3 regional & specialty press · Tier 4 opinion or single-source. Methodology →

Cite this entry

The Cascade Ledger. “CFPB Drops Lawsuit Against Solo Funds, Signaling Regulatory Capture.” The Capture Cascade Timeline, February 21, 2025. https://capturecascade.org/event/2025-02-21--under-trump-consumer-watchdog-drops-case-against-online-lend/