Which legislative act established the Consumer Financial Protection Bureau (CFPB)?

The establishment of the Consumer Financial Protection Bureau (CFPB) is a direct result of the Dodd-Frank Wall Street Reform and Consumer Protection Act, which was enacted in response to the 2007-2008 financial crisis. This legislation aimed to enhance consumer protection in the financial services sector, promote financial stability, and address the issues that contributed to the crisis.

The CFPB was specifically created to oversee and enforce consumer protection laws in the financial services industry, including mortgages, credit cards, and other financial products. Its formation was part of a broader effort within the Dodd-Frank Act to reduce the risk of future financial crises and improve transparency and accountability in financial practices.

Other legislative acts mentioned do not pertain to the establishment of the CFPB. The Sarbanes-Oxley Act primarily addresses corporate governance and financial reporting, the Fair Housing Act focuses on preventing discrimination in housing practices, and the Gramm-Leach-Bliley Act relates to financial services modernization. Thus, the Dodd-Frank Act is uniquely linked to the creation of the CFPB, justifying why it is the correct answer.