The CFPB’s proposed annual collection of auto loan data points is beyond the bureau’s statutory authority, America’s Credit Unions and other trade organizations wrote to leaders of the Senate Banking and House Financial Services Committees Tuesday. The CFPB requested approval from the Office of Management and Budget in January to expand a pilot program to more than 4,000 auto lenders that make at least 20,000 auto loans per year.
“We believe the extensive nature of this multi-faceted information collection is beyond the CFPB’s statutory authority, encroaches upon personal privacy boundaries of millions of Americans, and violates several provisions of the Paperwork Reduction Act (PRA)3 and Section 5512 of the Dodd-Frank Act,” the organizations wrote, and urged Congress to require the CFPB to address the authority and privacy concerns.
“We recommend that, during Director Chopra’s the spring semi-annual appearances before your committees, that the committee inquire, either during the hearing or through subsequent written queries, about: (1) the CFPB/s authority for conducting the proposed information collection, (2) how the CFPB intends to mitigate the consumer privacy risks stemming from this data collection, and (3) the estimated burden associated with compliance, accompanied by supporting documentation,” the letter reads.
America’s Credit Unions previously joined with financial trade organizations to request the CFPB withdraw its information collection request.
