Pending amendments expand grounds for suspending or revoking accreditation under the Consumer-Driven Banking Act

Plain-language summary · AI-assisted · not legal advice

A set of amendments—not yet in force—has been appended to the Consumer-Driven Banking Act. The changes broaden the triggers that allow the Bank of Canada to suspend or revoke accreditation for both participating entities (e.g., banks and credit unions sharing data) and accredited third-party service providers (e.g., fintech apps). Under the amended rules, the Bank can act not only on contraventions of the Consumer-Driven Banking Act itself, but also on contraventions of specific Bank of Canada Act provisions (sections 30.2 to 30.5) and regulations made under those provisions. The violation framework is similarly expanded so that breaches of those Bank of Canada Act provisions can be treated as administrative violations. Entities seeking or holding accreditation under the open banking framework should review their obligations under the Bank of Canada Act sections referenced, as those obligations are now formally linked to their accreditation standing once these amendments come into force.

Who this affects: participating entities (banks, credit unions, and other data-sharing institutions) · accredited third-party service providers (fintech and data aggregation firms) · applicants seeking accreditation under the consumer-driven banking framework · compliance and legal teams at financial institutions