CFPB Orders Tech Giants to Turn Over Information on their Payment System Plans
The Consumer Financial Protection Bureau (CFPB) issued a series of orders to collect information on the business practices of large technology companies operating payments systems in the United States. Specifically, the orders will compel information on data harvesting and monetization, access restrictions and user choice, and other consumer protections. The information will help the CFPB better understand how these firms use personal payments data and manage data access to users so the Bureau can ensure adequate consumer protection. The CFPB’s work is one of many efforts within the Federal Reserve System to make payments safer, faster, and more competitive. The initial orders were sent to Amazon, Apple, Facebook, Google, PayPal, and Square. The Bureau will also be studying the payment system practices of Chinese tech giants, including Alipay and WeChat Pay. The CFPB’s orders build on the efforts of the Federal Trade Commission’s work to shed light on the business practices of the largest technology companies in the world. The orders also seek to illuminate the range of these consumer payment products and their underlying business practices.
CFPB Orders Tech Giants to Turn Over Information on their Payment System Plans Consumer Protection Agency Probes How Apple, Facebook, Amazon Use Financial Data (Wall Street Journal) Regulators demand more info about tech payment systems (Vox) Apple, Google, Amazon Probed by Biden Consumer Finance Watchdog (Blomberg)