Data brokers have been getting away with selling Americans’ personal and financial data without adequate protections, an illegal practice that a new rule proposed by the Consumer Financial Protection Bureau will intend to stop, CFPB Director Rohit Chopra said.
The business model for data brokers is to buy and sell personal and financial data of individuals and groups of people to advertisers and other businesses that use the information for marketing or other purposes. The industry has skyrocketed as personal and financial transactions have moved from paper to online.
