In an op-ed published in American Banker, NAFCU President and CEO Dan Berger called on lawmakers to ensure fintech firms are subject to the same data security and consumer protection standards as credit unions.
“While this new and budding industry presents opportunities and innovations, ill-supervised and under-regulated industries can present sizeable risks for consumers and the financial marketplace as a whole,” wrote Berger.
Berger noted that while fintechs have greatly increased their footprint in our society, their data security standards are less rigorous than traditional financial institutions nor are they supervised in the same manner. On the other hand, he argued that credit unions go to great lengths to ensure their products are in compliance with the law, meet all supervisory guidelines and adhere to necessary consumer protections.
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