WASHINGTON, D.C. — The Consumer Federation of America and 25 other economic justice, consumer protection, fair and competitive markets, and data privacy organizations sent a letter to Congressional leaders yesterday supporting the Consumer Financial Protection Bureau’s original (CFPB) Personal Financial Data Rights rule.
The Personal Financial Data Rights rule implements Section 1033 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Its purpose – to enhance consumer control over their data and advance the United States’ open banking system – has enjoyed bipartisan support. On July 29th, the CFPB announced its intention to start a new rule-writing process.
“The new data sharing rule should be the old data sharing rule,” said Adam Rust, director of financial services for the Consumer Federation of America. “Since the start of its rulemaking process, Section 1033 has enjoyed bipartisan support. In its rush to deregulate everything, the new administration has once again undermined the interests of consumers. In this case, they have also upended innovation and competition. The original rule ensured people would have control over how their personal financial information was collected, shared, and stored.”
Additionally, the letter urges Congress to conduct hearings on the rule, including on JPMorgan Chase’s attempt to exploit regulatory uncertainty by charging fees to access consumer data.
“We are calling on Congress to conduct hearings to hold the CFPB accountable and to not forget consumers in its rush to settle a dispute between fintechs and banks,” Rust said.