10.29.25
Judge Blocks Consumer Agency’s 'Open Banking' Rules for Now
by: Mike Scarcella
A U.S. federal judge has temporarily blocked the Consumer Financial Protection Bureau’s (CFPB) “open banking” rule, which aimed to make it easier for consumers to switch financial-service providers. U.S. District Judge Danny Reeves in Kentucky paused compliance deadlines after a lawsuit from Forcht Bank, the Kentucky Bankers Association and the Bank Policy Institute, which argued the rule exceeds the CFPB’s authority and imposes costly burdens. The injunction remains while the agency, under new Trump administration leadership, undertakes a rulemaking review. The rule, finalized under President Biden, would have allowed free consumer access to bank account, credit card and payment app data.
Read the full article on Reuters