Artificial Intelligence

A new CFPB blog post titled “An update on credit access and the Bureau’s first No-Action Letter” provides a boost to lenders using alternative data and machine learning in their underwriting models.

The Bureau issued its first (and so far only) no-action letter in September 2017 to Upstart Network Inc. stating that the

The Consumer Education Foundation, a California-based nonprofit consumer advocacy organization, has filed a petition with the FTC asking it to investigate the use of “secret surveillance scores” in the U.S. marketplace.

Such scores are claimed to be the product of analytics companies that “amass thousands or even tens of thousands of demographic and lifestyle data

This week, Congress will be holding a hearing focused on fintech and two hearings at which artificial intelligence (AI) will be the focus.

Fintech:

Tomorrow, June 25, the House Financial Services Committee’s Task Force on Financial Technology will hold a hearing titled, “Overseeing the Fintech Revolution: Domestic and International Perspectives on Fintech Regulation.”

Last week, the House Financial Services Committee established two task forces, one on financial technology and the other on artificial intelligence.  Both task forces were established pursuant to resolutions adopted by unanimous consent.

The “Task Force on Financial Technology” will examine the current legal framework for fintech, how fintech is used in lending, and