Which government agency has enforcement powers to protect individual consumers?

The Consumer Financial Protection Bureau (CFPB) is the agency with enforcement powers specifically designed to protect individual consumers in the financial sector. Established in the aftermath of the 2008 financial crisis, the CFPB's mission is to ensure that consumers have access to fair, transparent, and competitive financial products and services. It oversees various areas including mortgages, credit cards, student loans, and other financial instruments, enforcing consumer protection laws to prevent unfair, deceptive, or abusive practices.

The agency's powers allow it to take action against institutions that violate consumer rights, facilitating a level of accountability in the finance industry. Through this enforcement capability, the CFPB aims to empower consumers, enhancing their ability to make informed financial decisions.

In contrast, other options focus on different areas of consumer protection or regulation. For example, the Federal Reserve Board (FRB) primarily oversees monetary policy and regulates banking institutions rather than direct consumer protection. The Federal Trade Commission (FTC) handles consumer protection and antitrust laws but does not have the same specific mandate for the financial sector as the CFPB does. The Consumer Product Safety Commission (CPSC) focuses on protecting the public from unreasonable risks of injury associated with consumer products but is not directly involved in financial consumer protection.