The Consumer Financial Protection Bureau Tuesday released its finalized Section 1033 rule that requires financial institutions to release an individual’s personal financial information at no cost. America’s Credit Unions President/CEO Jim Nussle released this statement following the rule:

“From a few lines of text concerning consumer data portability in Dodd-Frank, the CFPB has spun a weighty rule intended to reengineer financial sector competition. The rule demands that credit unions share, at no cost, information with fintechs and other third parties who receive permission from consumers. In doing so, the CFPB reduces one of the most valuable assets of a financial institution, its data, to a commodity, which will likely put even greater competitive pressure on credit unions to merge. While we appreciate the CFPB’s willingness to exclude the smallest credit unions from the scope of the final rule, consistent with our request for greater relief, our concerns related to risk management, downstream fraud, and the ability to defray the cost of maintaining APIs without charging fees remain present. This rulemaking reinforces the need for CFPB reforms to ensure accountability and oversight – the bureau stepped far outside the lines made by Congress that will ultimately jeopardize consumers’ access to safe financial institutions like credit unions.”

Details of the Section 1033 rulemaking can be found online.