CFPB’s first tech sprint on October 5-9, 2020: Help improve consumer adverse action notices
September 03, 2020 / Source: CFPB
In June, the Consumer Financial Protection Bureau (Bureau) announced its first Tech Sprint to reduce regulatory burden and improve consumer understanding of financial services. Regulators, developers, software providers, consumer groups, and financial entities will come together to find solutions to shared compliance challenges.
The first Tech Sprint will kick off October 5-9, 2020, with teams focused on developing a range of innovative approaches to electronically-delivered adverse action notices. The sprints will be held virtually and generate actionable ideas and help inform future disclosure policy options in a range of markets. The application period opens today, Tuesday, September 1 and closes Friday, September 11, 2020.
Teams will be asked to show how electronically-delivered adverse action notices can improve on current notices to better realize three core goals:
- Accuracy - using accurate information to take adverse action
- Anti-discrimination - preventing illegal discrimination in credit decisions
- Education - helping consumers fare better in future credit applications
The disclosures and disclosure methods that participants develop do not necessarily need to meet every legal requirement (including E-SIGN requirements) as long as the ideas developed fulfill or better realize the three goals discussed above. The problem statement suggests some ways to improve upon existing notices, or participants may have their own ideas. If they choose, Tech Sprint participants may apply to use their disclosure solutions in market under the Bureau’s Trial Disclosure Policy.
We are looking for disclosure experts, designers, developers, consumer advocates, consultants, technologists, and legal or compliance specialists from a range of professional backgrounds. Participants may apply as a team or apply as individuals and later be formed into a team. The problem statement provides details about the data, models, and other information that may be used, products developed during the sprint, pre- and post-sprint activities, and more.