March 13, 2017

CFPB's CUAC eyes alternative data, consumer access to records

CFPB's Credit Union Advisory Council, which includes several NAFCU-member representatives, will discuss alternative data and consumers' access to financial records during a public meeting March 30 at the bureau's headquarters in Washington.

NAFCU will attend the meeting, which is slated to begin at 3:15 p.m. Eastern.

The CFPB is currently requesting comments on the use of unconventional sources of information, called "alternative data," as a way for consumers to gain access to credit, such as cell phone bills and rent payments. Comments are due by May 19.

Regarding consumer access to financial records, NAFCU told the CFPB last month that access to consumer data to power better personal finance products should focus on ensuring the security of consumers' data and should not create new data-collection burdens and costs for credit unions. In November, the CFPB asked for stakeholder input into how consumer financial records can be shared safely with third parties, such as personal budgeting apps and tools.

The CFPB's CUAC has 15 members, all of them from credit unions with $10 billion or less in assets. Newly appointed members will serve two-year terms. The CUAC was formed under the Dodd-Frank Act to provide direct feedback to CFPB on its policy development, research, rulemaking and engagement functions. Several NAFCU members currently serve on CFPB's CUAC, including six members who were appointed last August.