The Consumer Financial Protection Bureau will include credit rating agencies in the scope of its supervision of larger nonbanks.
"Starting Sept. 30, credit reporting agencies with over $7 million in annual receipts — accounting for 94% of the industry total — will enter the CFPB's nonbank supervision program," writes American Banker’s Joe Adler.
Dodd-Frank authorizes the agency to extend its oversight to non-lending institutions. The agency had indicated interest in the credit rating industry last February. Exam guidance from the CFPB will be coming.
"Credit reporting plays a critical role in consumers' financial lives, a role that most people do not recognize because it is usually not very visible to them," said CFPB director Richard Cordray.
For the full piece see "CFPB Asserts Authority Over Credit Reporting Firms" (may require subscription).