Judge finds My Path and Mississippi Center for Justice bring ‘the voice of ordinary people’ to defending CFPB rule that would save consumers billions in junk fees
JACKSON, Miss. – Yesterday, the U.S. District Court for the Southern District of Mississippi allowed two public interest organizations to intervene in litigation to protect consumers from costly overdraft fees. The groups asked to intervene in light of serious doubt about whether the Consumer Financial Protection Bureau (CFPB) will defend the rule.
MyPath and Mississippi Center for Justice sought to enter the case to defend the CFPB’s Overdraft Rule from a challenge brought by a group of financial institutions and groups that lobby on their behalf. The challenge, Mississippi Bankers Association et al v. Consumer Financial Protection Bureau et al, is an attempt to stop a CFPB rule that would help to keep money in consumers’ pockets. MyPath and Mississippi Center for Justice are represented by Democracy Forward and the National Consumer Law Center.
“Had the administration and leadership of the CFPB not changed in January, the CFPB would have mounted a vigorous defense of the Overdraft Rule in this Litigation,” wrote U.S. District Judge Carlton W. Reeves in his opinion granting the motion. The Judge went on, “It seems undeniable that consumers groups such as the movants bring a perspective to the litigation that a large federal agency and America’s banking sector either institutionally cannot or in their discretion will not. It is the voice of ordinary people.”
“This wise decision gives consumer groups the chance to vigorously defend the CFPB’s overdraft fee rule against bankers scrambling to protect their junk fee profit centers,” said Carla Sanchez-Adams, senior attorney at the National Consumer Law Center. “We look forward to defending this important rule, which returns $5 billion to consumer pocketbooks, saving households $225 a year or more.”
The order permits the My Path and the Mississippi Center for Justice to proceed as intervenor-defendants in support of the rule.
Related Resources:
- Press Release: Coalition Moves to Protect Consumers from Costly Bank Overdraft Fees, Feb. 5, 2025
- Case Documents: Mississippi Bankers Association et al v. CFPB, No. 3:24-cv-00792-CWR-LGI (S.D. Miss.)
Support NCLC
Please support NCLC's work to advance consumer rights and economic justice with a tax-deductible contribution today!
Donate