Kathy Kraninger

The high court will decide how much latitude a president has to fire the director of an independent agency.

In her second day of congressional testimony, Kathy Kraninger took heat from Senate Democrats for weighing in on constitutional questions about her agency and for her enforcement track record.

CFPB Director Kathy Kraninger faced a barrage of questions from Democrats on the House Financial Services Committee over why the agency has not demanded refunds for consumers in recent settlements.

A list of upcoming cases published by the high court did not include a challenge to the bureau's constitutionality, but the justices could still decide to review it at a later date.

The two Democrats waded into a court battle over the president's ability to fire a director of the Consumer Financial Protection Bureau.

The industry had welcomed the Consumer Financial Protection Bureau plan allowing debt collectors to use electronic communication, but some worry about the effect of a court decision concerning email correspondence.

By declaring that she has too much statutory power, the agency’s director has potentially opened a floodgate of litigation.

If the court agrees to hear the case, its conservative majority could make it easier for a president to fire a CFPB director, though other outcomes are possible.

There were signs Kathy Kraninger would continue a rollback of consent orders and investigations, but many observers see an aggressive approach reminiscent of the Obama era.

The agency's director told congressional leaders and staff that she backs a Supreme Court challenge to the bureau's leadership structure.