CFPB Will Protect Confidential Credit Union Information

The Consumer Financial Protection Bureau (CFPB) has promulgated a new rule outlining how it will protect privileged information it receives in the course of regulating financial institutions. CFPB Director Richard Cordray stated, “This new rule supports the free flow of information that is essential to an effective supervision program.”

In January 2012, the CFPB advised the institutions that it supervises that the submission of privileged information to the CFPB does not waive any applicable privilege with respect to third parties. The new rule adds authority to that claim.  Under this rule, providing privileged information to the Bureau will not adversely affect the confidentiality of such information. The new rule also makes clear that the CFPB’s transfer of privileged information to another Federal or State agency does not result in a waiver of any applicable privilege.

 

Questions? Contact the Compliance Hotline: 1.800.546.4465, compliance@nwcua.org.

Posted in Compliance.