The Consumer Financial Protection Bureau (CFPB) has invited public feedback on strengthening privacy protections and regulating surveillance in digital payments, particularly those offered through technology platforms. The agency has issued a Request for Information to understand how financial service providers collect, use, and share consumer data. The CFPB aims to address concerns about excessive data collection, personalized pricing, and outdated privacy frameworks under the Gramm-Leach-Bliley Act. Additionally, the agency is seeking input on improving current opt-out mechanisms and privacy notices to align with modern data usage practices. Comments on the privacy data framework must be submitted by April 11, 2025.
The CFPB also proposed an interpretive rule clarifying how the Electronic Fund Transfer Act (EFTA) applies to emerging digital payment mechanisms, including stablecoins and video game currencies. This rule outlines consumer protections against errors and fraud while assisting companies in compliance. Comments on this proposal are due by March 31, 2025. In parallel, the CFPB continues its broader efforts to address data privacy challenges, ensuring all market participants adhere to consumer protection laws. These measures aim to foster transparency and equity across digital payment systems, balancing innovation with consumer rights and regulatory compliance.
