Washington, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) issued a series of orders requesting information from large technology companies to understand how these companies use and collect personal data from consumers. Paige Pidano Paridon, BPI senior vice president and associate general counsel, issued the following statement in response to the announcement:
BPI strongly supports the CFPB’s efforts to increase accountability from Big Tech companies operating payments systems in the United States by calling on these companies to be transparent about how they collect, use and sell consumer data to ensure compliance with existing consumer protection laws. Technology companies touch every aspect of American life, and while they provide some convenience, their entry into the payments system introduces tremendous risk to consumers and to the U.S. economy and financial system. Unlike banks that are subject to a robust consumer protection, regulatory and supervisory framework, much less is known about how Big Tech firms operating in the payments ecosystem ensure that consumers are protected. The CFPB’s action today is an important step towards ensuring that the payments system is transparent, fair and competitive and that consumers are safe from the threat of fraud and abuse.
Access the CFPB’s announcement by clicking here.