CRAPO SEEKS ANSWERS ON LEGALITY OF CFPB BIG DATA COLLECTION
May 6, 2013
WASHINGTON – U.S. Senator Mike Crapo (R-ID), Ranking Member of the Senate Banking, Housing and Urban Affairs Committee, today sent a letter to Mr. Richard Cordray, the President’s nominee to head the Consumer Financial Protection Bureau (CFPB), requesting prompt answers to legal concerns surrounding the massive data collection effort undertaken by the agency on consumer spending habits.
Following Mr. Cordray’s nomination hearing in March, Crapo requested more information regarding CFPB’s data collection efforts. The CFPB’s response significantly downplayed the nature and extent of its data collection efforts. Subsequently, news reports indicated the agency has allocated more than $20 million for collecting and tracking customer credit card and spending habits for more than 10 million Americans. When Mr. Cordray again testified before the Committee in April, Crapo reiterated his concerns with the scope and nature of CFPB’s data collection, as well as its legality, and was assured a quick response. It has been nearly one month since the hearing with no response from the CFPB, while the bureau continues to collect data on millions of individuals with credit cards and checking accounts.
In the letter, Crapo states, “Congress and the public have the right to know how broad this data collection is, how consumers’ financial information is used by a government agency, and how sensitive information is stored and protected. I respectfully request that these documents be provided to me in writing prior to any request by CFPB officials to meet with my staff.”
To view a signed copy of the letter, click HERE