The Consumer Financial Protection Bureau (CFPB) proposed new options to strengthen consumers’ access to, and control over, their financial data as a first step before issuing a proposed data rights rule that would implement section 1033 of the Dodd-Frank Act. Consumers would be able to more easily and safely walk away from companies offering bad products and poor service and move towards companies competing for their business with alternate or innovative products and services.
The proposed rulemaking aims to make it easier for customers to switch providers to find better deals or escape poor customer service while incentivizing companies to improve their offerings to keep their customers. If today’s proposal is finalized, the rule would require firms to make a consumer’s financial information available to them or to a third party at that consumer’s direction. The CFPB is also considering proposals that would include important options around privacy for personal financial data authorized for third party use, including limitations that would prevent third parties from reselling authorized data for other uses.
Feedback is being collected until January 25, 2023.
To read more, please click this link.