ARLINGTON, Va.–A demand by the CFPB that the big tech companies provide information on how they use personal payments data and more is a “positive step,” according to NAFCU.
As CUToday.info reported here, the Consumer Financial Protection Bureau has issued a series of orders to collect information on the business practices from some of the largest technology companies in the country, including Amazon, Apple, Facebook, Google, PayPal, and Square.
The Bureau said the information will help it better understand how these firms use personal payments data and manage data access to users so the Bureau can ensure adequate consumer protection.
In response, NAFCU had earlier said it welcomed the CFPB announcement, noting the order will also examine Regulation E (Reg E) data and metrics.
“Obviously, we’re watching it,” said NAFCU VP-Legislative Affairs Brad Thaler. “We’ve had concerns about some of the things that big tech is doing. I think it is a positive step for the CFPB to look in this space. We’ll watch for impacts it could have on credit unions. We don’t want to see new increased burden on CUs. But the fact there is greater scrutiny in the fintech space overall is a positive development.”