CFPB Applies Adverse Action Notification Requirement to Artificial Intelligence Models

Westlaw Today

Darren M. Welch Bryan A. Burcat

Partner Darren Welch and associate Bryan Burcat discuss regulators’ increased attention to the fair lending implications of AI. Notably, the Consumer Financial Protection Bureau has indicated that it will use adverse action notification requirements under the Equal Credit Opportunity Act as a tool to increase lender transparency about AI.