- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Aaron Nicodemus2022-10-28T20:25:00
The Consumer Financial Protection Bureau (CFPB) initiated rulemaking that would require banks and other financial institutions to make a consumer’s personal financial data available to them upon request.
The rule would allow consumers to transfer their account history from their existing financial institution to a new one, according to the agency’s outline proposal published Thursday. The CFPB said the change would encourage competition and enable consumers to obtain new financial services offered by startups and financial technology (fintech) firms.
Consumers could also ask their financial data be transferred to a third party, with certain privacy protections in place, to gain access to a budgeting app or other fintech tools, for example. Most third parties currently obtain customer financial data by alternative methods like screen scraping, the CFPB said, which is not secure or, as more personal financial data is encrypted, sustainable.
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The Consumer Financial Protection Bureau is moving forward its plan to give consumers more control over their personal financial data as part of a new rule proposal.
The Consumer Financial Protection Bureau is asking companies that “track and collect information on people’s personal lives” to provide information to the agency as it considers rulemaking under the Fair Credit Reporting Act.
The Office of the Comptroller of the Currency will heighten its focus on the financial technology space with the creation of a new department in early 2023.
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The U.K. Financial Conduct Authority apologized to investors in peer-to-peer investment firm Collateral for not acting swiftly enough to prevent Collateral from defrauding its customers.
