According to Information-Management.com the CFPB is awarding contracts to a number of analytical companies to study how US consumers use credit cards, take out mortgages and overdraw bank accounts.

The bureau is buying data from Experian about at least 10 million consumers for US$ 8.4 million.  It has awarded a contract to Argus Information and Advisory Services for US$15 million.  Clarity Services Inc. will be paid US$ 443,260 for providing data on short term credit known as payday loans.  Together with the Federal Housing Finance Agency the consumer bureau is building a mortgage database.  CoreLogic will be paid US$796,000 for loan-level data on mortgages.

Bankers are pushing back stating the CFPB is going overboard with its requests for data.  According to Sendhil Mullainathan, the CFPB’s assistant director for research and who is also a professor for economics at Harvard University,  the CFPB is going to become the best source for research on consumer data.

Source: Information-management.com

Argus Information and Advisory Services, a Verisk Analytics Company (NASDAQ: VRSK),  was founded in 1997 and focuses on providing competitive benchmarking, scoring solutions, analytics, and customized services to financial services institutions in North and South America and Europe.

Clarity Services, Inc. is a real-time credit bureau leveraging world-class technology and focusing on non-traditional bureau reporting.