Reinstate the CFBP CU Advisory Council: A Vital Voice for Consumers

By Jason Stverak

For nearly a decade, the CFPB’s Credit Union Advisory Council (CUAC) provided a critical forum for credit unions of all sizes to share frontline expertise with the Bureau’s leadership, offering unique insight into how regulations affect the 144 million Americans who rely on credit unions. That forum was eliminated by executive action, effectively silencing credit unions’ formal voice at the CFPB. 

Eliminating the CUAC removed an essential channel for dialogue between credit unions and regulators – a bridge that had ensured policymakers heard directly from institutions prioritizing “people over profit”.

In a Nov. 29, 2025 letter to Office of Management and Budget Director Russell T. Vought, DCUC President/CEO Anthony Hernandez urged the administration to reverse the executive order that disbanded the CUAC or to establish a new council – a call I fully echo. Reinstating the CUAC is not about bureaucracy – it’s about ensuring that all consumers, especially those served by member-owned credit unions, have their voices heard in financial policymaking.

A Distinct Perspective

Credit unions are not typical banks – we are not-for-profit, member-owned financial cooperatives focused on consumer well-being and community service. This distinct structure means our perspective on regulation and consumer protection is fundamentally different from that of for-profit banks. Credit unions often serve communities that banks overlook, including military families, veterans, those on military bases, rural towns, and underserved urban neighborhoods. We exist to serve our members, not to maximize profits, and that mission drives us to prioritize people over profit in every decision.

Yet this community-centered perspective has long been underrepresented in Washington. Federal financial policymakers still hear far more from banks than from credit unions. As Anthony Hernandez noted, every administration tends to include numerous former bank executives in key financial regulatory positions – a familiarity that can tilt policy in favor of bank viewpoints. 

Need a Seat at the Table

Credit unions need a seat at the table to provide balance. The CUAC was one way to achieve that balance – a direct channel for credit unions to explain how policies impact ordinary Americans, including the military and underserved communities. Removing the CUAC closed that channel just when lawmakers and regulators most need to understand the differences between credit unions and banks. Without this council, policymakers risk overlooking the unique needs of credit unions.

A Lifeline During Crises

During recent federal government shutdowns, credit unions stepped up when paychecks were halted – offering 0% loans, waiving fees, and providing financial counseling to military families and furloughed federal employees, all on a voluntary basis as part of our mission. These actions exemplify credit unions’ unwavering commitment to consumer financial well-being and give us practical, real-world insights that can inform the CFPB’s work. 

Yet without the CUAC, those insights often don’t reach the policymakers crafting the rules. Reinstating the Council would allow credit unions to share these lessons directly with CFPB officials, leading to more effective regulations that protect consumers while accounting for the cooperative, member-focused model of credit unions. In short, restoring the CUAC would reopen a crucial line of communication – a flow of knowledge between those making policy and those living with its consequences.

No Cost, No Excuses: Addressing Fiscal Concerns

Yes, the CUAC was eliminated as part of a government-wide effort to trim advisory committees. But any perceived savings are penny-wise and pound-foolish. The council’s operating costs are minimal relative to its benefits – and credit unions are willing to shoulder those costs. When the CFPB disbanded its advisory boards over cost concerns, no one even asked whether members would cover their own expenses (which they gladly will). DCUC has even offered to help underwrite the CUAC’s expenses so it can run at no net cost to the government. 

In short, budget constraints are no excuse for denying credit unions a voice. The goal is to foster collaboration, not to create bureaucracy or expense.

Benefits of Reinstating the CUAC

Reinstating the Credit Union Advisory Council would yield immediate and long-term advantages for consumers, regulators, and the financial system, including:

• Better Policy Outcomes: Regulators would receive timely feedback on how proposed rules and enforcement actions impact credit union members at the grassroots level. This front-line input helps avoid unintended consequences and allows regulators to craft regulations that protect consumers without stifling the affordable services credit unions provide.
• Enhanced Communication: The CUAC’s meetings and reports would re-establish a formal conduit for information exchange, ensuring Washington once again hears directly from institutions that put consumers first, complementing the input it already gets from banks.
• Representation of All Communities: Credit unions often serve communities underserved by traditional banks – including military bases, rural areas, and low-income urban neighborhoods. Through the CUAC, the financial needs and challenges of these communities can be voiced to federal policymakers, aligning with the CFPB’s mandate to protect consumers across the financial spectrum.
• Cross-Government Insight: Although housed at the CFPB, the council’s insights could inform the broader government. Its advice could be shared with other agencies or Congress to ensure credit union priorities are considered when consumer finance policies are discussed.

Reopen the Dialogue – Reinstate the CUAC

In the end, this issue comes down to a simple proposition: better regulation through inclusion. Bringing back the CFPB’s Credit Union Advisory Council is not about adding bureaucracy; it’s about improving the quality of consumer financial protection through collaboration. Reinstating the CUAC would send a powerful message that policymakers value every perspective – including those of the military families, veterans, and communities that credit unions serve.

DCUC stands ready to help make this council a success – from identifying qualified credit union leaders to ensuring diverse representation – and we will even help cover its operational costs. Our sole interest is to reopen lines of communication so that as policies are developed, credit union insights are at the table before decisions are made. It was a mistake to eliminate this council. 

I urge the White House and the CFPB to act without delay. Reinstating the Credit Union Advisory Council will lead to better regulation, clearer communication, and wider consumer representation. It’s time to give credit unions – and the communities we champion – their seat back at the table.

Jason Stverak is chief advocacy officer with the Defense Credit Union Council.