When the CFPB launched their long-awaited proposal on open banking guidelines in October there was cautious optimism from each banking and fintech teams.
Quick ahead two and a half months, when everybody has had an opportunity to completely digest the 299-page proposed rulemaking, there are lots of solutions for enchancment. With the 60-day remark interval ending this week, the CFPB has acquired over 11,000 feedback.
American Banker has a good roundup of the feedback from most of the main banking and fintech commerce teams.
A number of points have been entrance and heart. Whereas everyone seems to be supportive of the idea of shoppers having extra management over their very own knowledge how that’s achieved could be very a lot up for debate. Ought to it’s an opt-in or opt-out system?
Banking teams balk at the price of implementing the information sharing know-how and desire a stage taking part in discipline. Fintechs don’t need the identical restrictions utilized to nameless knowledge arguing that will stifle innovation.
The CFPB has lots of studying to do now because it considers all these feedback and appears to make a remaining rule someday later this yr.
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Banks and fintechs unload on CFPB’s open banking plan
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In remark letters to the Shopper Monetary Safety Bureau regarding its proposed rule to permit shoppers to share their banking knowledge with third-party suppliers, banks fear about implementation prices whereas fintechs worry the rule will stymie innovation.
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