The Clearing House Association, L.L.C. (TCH), together with the American Bankers Association (ABA), Consumer Bankers Association (CBA), Credit Union National Association (CUNA), Housing Policy Council (HPC), Independent Community Bankers of American (ICBA), National Association of Federally-Insured Credit Unions (NAFCU), and National Bankers Association (NBA) (together, the joint trades), sent a letter to Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra to petition the CFPB to engage in rulemaking to define larger participants in the market for aggregation services. In their petition, the joint trades note that data aggregators are estimated to hold the consumer log-in credentials for tens of millions of customers, and that many consumers, including those who consent to the sharing of their financial data, are unaware of the activities in which intermediaries engage, how information is being collected, and how data may be used or shared. The joint trades argue that the CFPB should ensure that data aggregators and data users that are larger participants in the aggregation services market – not just banks and credit unions – are examined for compliance with applicable federal consumer financial law, especially the requirements of the forthcoming 1033 rulemaking, including the substantive prohibitions on the release of confidential commercial information. Supervision of these entities is critical to identifying data privacy and security risks before any harm is done to consumers.
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