Skip to content
Banking and Financial Services Update

CFPB Begins Rulemaking on Data Access and Portability

Share

The Consumer Financial Protection Bureau (CFPB) on October 27, 2022 took the long-anticipated first step to issue a regulation implementing Section 1033 of the Dodd-Frank Wall Street Reform and Consumer Protection Act.1 This followed a preview by CFPB Director Rohit Chopra at the Money 20/20 conference on October 25 in which he outlined the “CFPB’s new approach to regulation,” which is designed to create “catalysts for more competition.” With respect to Section 1033, Director Chopra said that the CFPB is “exploring safeguards to prevent excessive control or monopolization by one, or even a handful of, firms”2 and will be working toward avoiding regulations that could be “rigged in favor of some players over others.”3 Director Chopra’s focus on competition as an essential element of consumer protection has been a hallmark of his directorship.4

Section 1033 authorizes the CFPB to write regulations under which consumers may access information about themselves from their financial service providers. As a first rulemaking step, the CFPB is required to consult with a panel representing small businesses under the Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA). The CFPB released an outline for that discussion (Outline).5 Section 1033 requires the CFPB to balance a number of different priorities — including data privacy, consumer choice, and information security — and the Outline provides some initial information on how the CFPB is approaching that task.

Attorney Advertising—Sidley Austin LLP is a global law firm. Our addresses and contact information can be found at www.sidley.com/en/locations/offices.

Sidley provides this information as a service to clients and other friends for educational purposes only. It should not be construed or relied on as legal advice or to create a lawyer-client relationship. Readers should not act upon this information without seeking advice from professional advisers. Sidley and Sidley Austin refer to Sidley Austin LLP and affiliated partnerships as explained at www.sidley.com/disclaimer.

© Sidley Austin LLP

Contacts

If you have any questions regarding this Sidley Update, please contact the Sidley lawyer with whom you usually work, or