The Consumer Financial Protection Bureau has shifted its stance under the Trump administration, rolling back Biden-era rules that targeted fintech services like buy-now, pay-later. A key reversal includes halting enforcement of the Regulation Z rule, which would have applied credit card-style protections to BNPL providers. The move, along with a rollback of the CFPB’s oversight expansion to cover big tech payment platforms, signals a deregulatory push that may open doors for fintech innovation. However, experts caution that state-level regulation and existing federal laws still pose legal risks. Meanwhile, firms like Affirm may consider becoming banks to expand their offerings under the evolving regulatory landscape.
