US Agencies Target Data Brokers with New Privacy Protections

The FTC and CFPB propose stricter oversight on data brokers, but the future of these efforts is uncertain under the incoming Trump administration.

The Consumer Financial Protection Bureau (CFPB) has proposed a rule to regulate data brokers under the Fair Credit Reporting Act (FCRA), limiting the sale of sensitive personal information like Social Security numbers and financial data.
The Federal Trade Commission (FTC) announced settlements with Mobilewalla and Gravy Analytics for illegally collecting and selling Americans' location data, requiring the companies to halt such practices and delete previously gathered data.
The CFPB's proposed rule aims to classify data brokers as consumer reporting agencies, enforcing stricter accuracy, privacy, and consent standards for selling sensitive data.
Critics argue that the CFPB's efforts face an uncertain future with the incoming Trump administration, which has signaled plans to weaken the agency and reduce federal regulatory powers.
The proposed changes reflect broader global trends toward stronger privacy protections, but experts warn they could significantly disrupt the digital advertising industry reliant on third-party data.