The Treasury has released consultation papers and is calling for feedback on a proposed expansion and strengthening of the Australian Consumer Data Right (CDR) Framework.
The CDR, which promises consumers greater control over their own data as they monitor their finances and compare and switch between different servicing organisations more easily.
The CDR is being implemented by the Australian Competition and Consumer Commission (ACCC) and has strong privacy protections built in to it.
In issuing the consultation papers, Treasury said draft rules to broaden CDR access arrangements were being developed based on community feedback.
It said the changes would empower consumers to give accountants, lawyers, tax practitioners and licenced financial advisors access to their CDR data.
“[It will] allow consumers to share certain ‘insights’ obtained from CDR data, to verify a consumer’s identity, their account balance, income level and expenses,” Treasury said.
“For example, this will facilitate a safer and more efficient way to confirm details to support a loan assessment,” it said.
“Minimising the need for an applicant to manually collect certain information and provide it to the credit provider, or even worse, provide their bank account password to the provider in order for the provider to ‘screen scrape’ that information.”
Treasury said the new rules were intended to provide a safe, convenient and efficient way for consumers to consent to an accredited person sharing their data with trusted advisers; support consumer convenience; and reduce the costs of accreditation.
It said the Data Standards Body within Treasury is to enter discussions with the CDR community on developing supporting standards prior to the release of the draft rules.
It said people could have a say on a 13-page consultation paper entitled Peer-to-peer data access model in the energy sector consultation paper a 17-page paper covering An ‘opt-out’ data sharing model for joint accounts.
The Peer-to-peer Consultation Paper, including information on how to have a say, can be accessed at this PS News link and its Joint Accounts Opt-out Paper at this link.
Comments on each will be received until 26 May.
