|Topics and Issues||
Credit Access (1)
Fair Lending (1)
Machine Learning (4)
The CFPB released its latest fair lending report, Protecting consumers and encouraging innovation: 2019 Fair Lending Report to Congress with a covering blog posting.
Of note is a section, Innovations in access to credit with a subsection on “providing adverse action notices when using artificial intelligence and machine learning models.” In this section, the Bureau wrote that “artificial intelligence (AI), and more specifically, machine learning (ML), a subset of AI…”, will be an area of where the Bureau will be monitoring for fair lending and credit access. A good summary of the AI section is found in a BallardSpahr blog. There is regulatory flexibility to handle questions of AI and machine learning, according to the Bureau. This was the message CDIA provided in a comment to the OMB earlier this year in connection with a January 2020 Request for Comments on a Draft Memorandum to the Heads of Executive Departments and Agencies, Guidance for Regulation of Artificial Intelligence Applications.