Consumer Financial Protection Bureau Director Rohit Chopra said today that the bureau will propose new rules under the Fair Credit Reporting Act later this year to limit certain activities of data brokers, including those that sell personal data overseas. He didn’t elaborate on what changes the rules would propose.
Chopra’s comments were in response to an executive order from President Biden directing various nonbanking agencies to protect personal data collected by companies and potentially accessed by foreign actors. The president also “encouraged” the CFPB “to protect Americans from data brokers that are illegally assembling and selling extremely sensitive data, including that of U.S. military personnel.”
The CFPB announced last year that it was considering potentially sweeping changes to FCRA rule, Regulation V, including extending FCRA liabilities to cover consumer-identifying information. In a joint letter with other associations, ABA said any attempt by the bureau to overhaul how it regulates consumer credit reporting should first be put forward as an advanced notice of proposed rulemaking or else it risks “a rushed, inadequate rulemaking process raises the stakes for dramatic changes to the foundation of the American economy.”
