The Consumer Financial Protection Bureau (CFPB) issued an order recognizing Financial Data Exchange, Inc. (FDX) as a standard-setting body under the CFPB’s Personal Financial Data Rights rule, making it the first such recognition under the rule and enabling FDX to issue standards that firms can use to support compliance. The CFPB also published updated procedures for companies seeking special regulatory treatment, including through no-action letters. The Personal Financial Data Rights rule, released in October 2024, requires financial institutions, credit card issuers, and other financial providers to transfer an individual’s personal financial data to another provider at the consumer’s request for free. FDX, a US and Canada-based standard-setting organization with more than 200 members, was approved subject to conditions including a ban on “pay-to-play” and other conflicts of interest, mandatory reporting on market adoption (or maintaining a public resource for companies to disclose use and certifications), and requirements to make any consensus standards freely available to the public with equal access for non-members and transparency around standards development and issuance. The recognition is granted for five years, and the CFPB continues to evaluate other applications. The updated procedures for special regulatory treatment are intended to increase transparency and reduce favoritism for individual companies.

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