The Consumer Bankers Association (CBA) offered some complaints about the Consumer Financial Protection Bureau (CFPB) consumer complaint reporting processes.
The comments are in response to a Request for Information the CFPB issued earlier this year on the matter. The CBA lays out three specific areas of concern regarding the complaint reporting process.
The CFPB’s complaint database does not protect consumers from re-identification risks and thus creates consumer harm. The CBA also said the publication of complaints might subject companies to inaccurate and unfair criticism that is often subjective and potentially misleading without context or facts. Thus, it may misinform consumers.
Additionally, CBA said the authors of Dodd-Frank did not intend for or authorize the CFPB to share complaints publicly. Plain reading of the statute indicates that they did not specifically authorize it as they have in other contexts.
“CBA members strive to ensure their customers receive a swift and complete review of their complaints and inquiries. In fact, the overwhelming majority of complaints filed with the Bureau are successfully resolved by consumers’ financial institutions,” David Pommerehn, CBA vice president and associate general counsel, said.
To improve the complaint reporting process, CBA said the bureau should assist in complaint resolution and flag potential problems for further evaluation, he added.
“The public release of unverified, non-normalized complaint data increases privacy risks and offers no actionable value for consumers,” Pommerehn said.