U.S. Reps. McHenry and Waters introduce measures on AI in finance

U.S. Reps. Patrick McHenry (R-NC) and Maxine Waters (D-CA) introduced two measures that focus on artificial intelligence (AI) in the financial services and housing industries.

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McHenry, chair of the House Financial Services Committee, introduced a resolution, cosponsored by Waters, that acknowledges the growing use of AI in the financial services and housing industries.

Waters, ranking member of the committee, introduced a bill, cosponsored by McHenry, directing the federal financial regulators to examine the potential benefits and risks of AI as it relates to the financial and housing markets.

“Artificial intelligence holds the promise to revolutionize our financial system,” McHenry said. “As firms increasingly leverage AI, lawmakers and regulators tasked with oversight of the financial services industry must constantly evaluate the risks and benefits this technology poses. These bills are a small, but critical, step forward to empower the financial system to realize the numerous benefits artificial intelligence can offer for consumers, firms, and regulators. I appreciate Ranking Member Waters for her partnership on this effort.”

These measures build upon the work of the Committee’s Bipartisan AI Working Group to identify the advantages and risks of the technology.

“Artificial Intelligence is growing rapidly, and people across America are already seeing its use in our nation’s housing and financial services sectors, with impacts on mortgage lending, credit scoring, and more,” Waters said. “I am so proud to partner with Chair McHenry to introduce these two bipartisan bills, which continue the Committee’s leadership in examining and understanding the impact this technology has on people.

“Our Committee will continue to collaborate closely with the federal government to identify the risks and benefits of AI and to explore further legislation needed to protect people and our communities,” he continued. “I am grateful for the extensive work the Chair has done with me this Congress to build on what I and my Democratic colleagues started several years ago.”