CFPB approves FDX application to issue standards for open banking

The CFPB issued an order Wednesday recognizing Financial Data Exchange (FDX) as a standard setting body under the bureau’s personal financial data rights rule. This marks an important practical milestone in the rulemaking process that will facilitate practical implementation.    

Though America’s Credit Unions is not generally supportive of the rule, which implements section 1033 of the Dodd-Frank Act, the organization offered support for the quick recognition of an established industry standard-setting body and cited Financial Data Exchange (FDX) as an example.  

FDX has 200 member organizations, including:  

  • Depository and non-depository commercial entities;
  • Data providers and data recipients;
  • Data aggregators;
  • Service providers to open banking participants;
  • Trade and industry organizations; and
  • Other non-commercial members, including consumer groups.

The approval includes several conditions, including that FDX will develop standards to promote open banking without regard to financial sponsorships or other financial incentives.

Read the full order.  

More information about the CFPB’s final personal financial data rights rule can be found in America’s Credit Unions’ Final Regulation Summary. The rule, finalized in October 2024, places requirements on financial institutions to provide access to certain consumer data to consumers and authorized third parties.  

America’s Credit Unions will continue to work with the bureau on its efforts to balance consumer protections while ensuring a reasonable regulatory environment for credit unions. 

heelo