The Consumer Financial Protection Bureau(CFPB) recently issued principles for the access and disclosure of sensitive data in the financial services industry. The CFPB referred to the guidelines as principles instead of regulations so fintech and other firms can innovate while protecting consumers’ information, and give consumers the ability to consent to the sharing of information in order for products and services to be offered to them.
According to its press release, the CFPB “seeks to ensure a workable data aggregation market that gives consumers protection and value.”
The principles are designed to protect consumers as the market for services using consumers’ data develops. The principles center around “data access, data scope and usability, control of the data and informed consent, payment authorizations, data security, transparency on data access rights, data accuracy, accountability for access and use, and disputes and resolutions for unauthorized access.”