KEY TAKEAWAYS The Consumer Financial Protection Bureau proposed a rule that would clarify and limit how data brokers can use consumers' financial data.More data brokers have emerged that collect and sell sensitive and private information about consumers,

The Consumer Financial Protection Bureau (CFPB) on Tuesday rolled out a new proposal aimed at cracking down on data brokers selling Americans’ sensitive information. Under the proposed rule, the agency said it seeks to ensure data brokers comply with existing privacy law by treating “them as “consumer reporting agencies.

The Consumer Financial Protection Bureau issued a proposal to protect consumer data privacy and categorize data brokers that sell sensitive consumer data as "consumer reporting agencies" under the Fair Credit Reporting Act,

Data brokers would face limits on selling Americans’ personal and financial records, including information about military personnel and data that could be used for advertising, under a new federal rule.

If finalized, the proposed rule would have the federal agency treating data broker sales of a person’s credit history, credit score, debt payments, or income as credit report sales subject to the Fair Credit Reporting Act.