Since many of the complaints contain private financial matters, and with no attempt made to verify the substance of the complaint, companies cannot protect themselves without violating consumer financial privacy, as housingwire tells MHProNews.
In response to a request for information (RFI) from the CFPB, the Mortgage Bankers Association (MBA), the National Association of Federal Credit Unions (NAFCU) and the Consumer Bankers Association (CBA) have all sent letters to the CFPB.
The MBA said it supports the CFPB’s attempts to assist customers in making responsible financial choices, and its structuring a portal so companies can respond quickly to consumer complaints, but it suggests seeking further comment to improve the database. “Companies are in constant communication with their customers, through multiple channels, to improve the customer experience,” the letter said.
President and CEO of CBA, Richard Hunt stated, “The CFPB has a fundamental duty to publish accurate, reliable information. Publishing out of context, unverified data will only mislead consumers. As outlined in the letter CBA submitted yesterday, we urge the CFPB to shift their focus. They must verify the data before they work to normalize it because only then will consumers truly benefit from the ‘complaints.’ ”
NAFCU Regulatory Affairs Counsel Kavitha Subramanian sent a letter to the bureau stating the database is a barrier to the ability of businesses to resolve problems. “Credit unions have a strong track record of working closely with their members to resolve any disputes or concerns,” stated the letter.
As of June 1, 2015 the CFPB fielded 627,000 complaints, with mortgages and debt collection topping the list.
Pete Mills, MBA senior vice president told housingwire, “Adding unverified consumer narrative to the CFPB complaint database will not help consumers select a financial services provider. Would people pay for Angie’s List if they excluded all the positive reviews?” ##
(Image credit: housingwire)
