Comments are now being accepted by America’s Credit Unions to submit to the CFPB on its proposed rule on data brokers. Comments can be sent to America’s Credit Unions by Feb. 21 and are due to the CFPB by March 3.

The CFPB’s proposal would:

• Expand the definition of consumer reports to include basic contact information, like credit header data, and vague terms such as financial tier, increasing the regulatory scope under the Fair Credit Reporting Act (FCRA);
• Place new restrictions on permissible purposes, including limitations on account reviews and prohibitions on using consumer reports for marketing, could hinder operational flexibility for credit unions.

These changes would create significant compliance burdens, disrupt essential fraud prevention efforts, and disproportionately impact smaller credit unions with limited resources.

Regulation V implements the FCRA by implementing the bill’s definitions of “consumer report” and “consumer reporting agency” as well as certain of the FCRA’s provisions governing when consumer reporting agencies may furnish, and users may obtain, consumer reports.

Click here to submit a comment.