A new proposed rule by the Consumer Financial Protection Bureau (CFPB) aims to protect Americans’ sensitive personal information from being sold to data brokers. The rule would treat data brokers like credit bureaus and background check companies, requiring them to comply with certain laws.
The CFPB says the rule would aim to protect consumers’ personal information from misuse and require clear consumer consent for data sharing. Officials cited several examples of how data brokers enabled scammers, stalkers, and even spies, including a breach that exposed nearly three billion records of Americans’ sensitive data.
Data brokers collect detailed information about Americans’ personal lives and finances, which they then sell to anyone willing to pay. The CFPB says the new rule is long overdue, as consumers can easily find out massive amounts of personal information online, often unknowingly.
The rule is still months away from being finalized, with public comment accepted through early March. Industry experts say it’s a step in the right direction, but more needs to be done to protect consumer data.
Source: https://www.fox5dc.com/news/proposed-new-rule-aimed-data-broker-industry-would-better-protect-americans-from-scams