CFPB Looking to Ease Use of Consumer Data for New Bank Products

The Consumer Financial Protection Bureau will look to address concerns that its open banking rule won’t allow banks to use anonymized data to develop new financial products, the agency’s director said.

Banks often use anonymized customer data to help develop new products, but some lenders have said data restrictions in the CFPB’s open banking proposal, released in October, could make it difficult for that practice to continue.

CFPB Director Rohit Chopra said in a Wednesday appearance before the House Financial Services Committee that the agency was aware of banks’ concerns and would look to find ways to address them. But ...