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CUNA Supports Tech Giants Payments Investigation

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The Credit Union National Association (CUNA) this week supported the Consumer Financial Protection Bureau’s (CFPB) investigation into the payment policies of Google, Apple, Facebook, Amazon, Square and PayPal, according to a report released Wednesday, December 22 by Financial Regulation News.

Citing concerns that tech companies could intentionally avoid consumer protection laws, CUNA, in a letter written this week to CFPB, offered support for the Bureau’s investigation and suggested that the agency regulates technology companies in the future, according to the report.

Rohit Chopra, the new CFPB director, in October allowed information packets to be sent to big tech companies in the United States, as PYMNTS reported. Facebook, Amazon, Alphabet’s Google, PayPal and Square were all slated to receive the 55-page questionnaire that surveys businesses on how consumer information is collected, used and stored, in an effort to protect consumers and their personal information. In addition, the investigation aims to ensure adequate competition in the consumer financial services sector.

Read more: CFPB Should Ask Tech Giants About Financial Data Management

This week, CFPB expanded its investigation of the tech giant to include the Zelle banking network. The company’s investigation is linked to potential fraud concerns resulting from several public complaints about fraudsters using fake IDs to trick them into sending money through the Zelle platform.

See also: CFPB adds Zelle to the probe of payment platforms

Since Chopra took over as head of the office, buy now, pay later (BNPL) companies have also come under criticism. Last week, the Bureau opened an investigation into Afterpay, Klarna, PayPal and Zip to better understand the risks and benefits of installment payments, as reported by PYMNTS.

As part of the survey, CFPB gave companies a deadline of March 1, 2022 to provide information related to consumer buying behavior, demographics, BNPL fees, loan performance, and fundraising. data.

Read more: CFPB surveys the five major BNPL providers on data usage and debt accumulation

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NEW PYMNTS DATA: AUTHENTICATION OF IDENTITIES IN THE DIGITAL ECONOMY – DECEMBER 2021

On:More than half of American consumers think biometric authentication methods are faster, more convenient, and more reliable than passwords or PINs, so why are less than 10% using them? PYMNTS, working with Mitek, surveyed over 2,200 consumers to better define this perception gap in usage and identify ways in which businesses can increase usage.