CFPB Warns Consumers of Rising Number of Credit Reporting Firms

The CFPB has published its annual list of companies that collect and sell consumer data.

The list, the Consumer Financial Protection Bureau (CFPB) said Thursday (Jan. 30), is designed to let consumers request their consumer reporting data, dispute inaccuracies and block access to their credit reporting data via security freezes.

In addition, the list lets consumers know about the kinds of personal financial information that is collected for credit and other consumer reports.

“The number of companies and industries gathering, selling, and using personal financial data continues to rise,” CFPB Director Rohit Chopra said in a news release. “The CFPB’s consumer reporting company list helps consumers know who is collecting and selling their data, along with the steps they can take to freeze their reports.”

The release noted that while the credit reporting market is dominated by three main companies — Equifax, Experian and TransUnion — there are still many specialty consumer reporting companies supporting different industries.

“This means consumers’ personal financial data may be collected by and reported to a multitude of companies and individuals,” the release added. “That spread can also increase consumer risk, especially when consumers are unaware that it is happening.”

The announcement comes as the future of the CFPB’s leadership remains uncertain, amid debate about the direction of the agency itself.

As covered here last week, Republicans are split between factions who want to see a consumer watchdog lead the agency and handle issues such as debanking, and Republicans who want to eliminate the agency, arguing it lacks accountability.

Meanwhile, an executive order issued last week by President Donald Trump puts a pause on new rules issued by agencies. This follows “a spate of rule-making, perhaps most visibly in evidence from the CFPB,” as PYMNTS wrote recently.

For example, the watchdog last month proposed a new rule that would limit data brokers’ access to consumers’ data and the ability to sell that information.

“The rule would classify data brokers — which collect and sell consumer-level data, including details about credit scores, social security numbers and debt repayment histories — as consumer reporting agencies,” that report said.

More recently, the CFPB indicated that there may be new rules in the works for BNPL lenders, in response to a petition from consumer groups for greater oversight on loans from non-banking companies (which would also affect earned wage access lending).