The Consumer Financial Protection Bureau (CFPB) is inviting comment on whether its 2012 "larger participant" rule for the consumer reporting market continues to capture the most significant market actors in light of industry consolidation and emerging data practices. Comments are due September 22, 2025.
Current Rule Snapshot
Market |
Current Threshold |
Rule Adoption Year |
Comment Deadline |
|
Consumer Reporting |
$7 million annual receipts |
2012 |
September 22, 2025 |
There has been no proposed change to the definition at this stage. The current rule, at 12 C.F.R. § 1090.104(b), defines a nonbank as a "larger participant" if it has more than $7 million in annual receipts from consumer reporting, which is the collection or evaluation of information on consumers for the purpose of furnishing consumer reports to third parties, as defined under the Fair Credit Reporting Act (FCRA). The definition excludes reports that are not "consumer reports" under the FCRA—such as certain business-to-business credit reports or reports used solely for commercial credit purposes.
The CFPB said in the advance notice of proposed rulemaking that its supervisory work under the Consumer Reporting Larger Participant Rule has, with few exceptions, targeted firms well above both the rule's $7 million annual receipts threshold and the Small Business Administration's (SBA) $41 million annual revenue threshold. Most examined companies have reported annual receipts exceeding $50 million, according to the Bureau. Based on that experience, the agency estimates that raising the threshold to align with the SBA's $41 million standard would still leave at least six larger participants subject to its oversight
Questions for Comment
The CFPB is questioning whether its current $7 million annual receipts threshold for defining larger participants in the consumer reporting market remains appropriate.
The agency noted concerns that the rule may disproportionately burden smaller firms while diverting supervisory resources away from higher-risk entities.
The Bureau has not revisited the threshold since adopting the rule more than a decade ago, despite acknowledging at the time that adjustments would likely be needed to account for inflation, market changes, and new data.
It is seeking public comment on whether to raise the threshold, adopt alternative criteria such as the number of consumer files, or align with SBA size standards.
The Bureau is also inviting data on the potential consumer impacts, compliance costs, and operational burdens of the current rule, and on whether raising the threshold could reduce recordkeeping requirements or improve supervisory efficiency.
Why It Matters
A change in threshold or criteria could expand CFPB supervision to more specialty agencies or exclude smaller players, shifting the compliance landscape.
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Companies should assess their receipts, consider market share data, and file comments by September 22, 2025.
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