New York City has had its share of missteps, but it’s hard to blame a bunch of New Yorkers who are still living in the 1950s.
And now the city’s largest financial institutions are suing the city over a proposed rule that would allow financial institutions to report certain kinds of information in a way that would be harder for them to hide.
The city and a coalition of other regulators are suing because of a rule that will require banks to share certain types of information with each other, including details of their customers’ credit history and credit scores.
New York’s proposal would have allowed financial institutions like Chase to report some of the data that banks have already done, such as credit scores and customer histories, and those would have included details of the names of people who are in a certain financial category.
But it would have required financial institutions, like Citigroup, to share the credit scores of people in the same financial category with their customers and to provide credit scores to consumers for those customers.
For years, regulators have argued that disclosure of the credit histories of consumers in financial categories would be too cumbersome for the companies.
They argued that information should be limited to a subset of consumers and that they would need to provide it on a case-by-case basis, rather than requiring it to be shared widely.
Citigroup argues that disclosure would not be necessary in many cases because most people don’t know who their financial partners are and that banks can be as transparent as possible when it comes to who their customers are.
“Citigrand’s disclosure of credit score information, and its ability to identify and remove customers from their credit scores, would likely result in a significant reduction in the number of credit scores that are created and maintained in a given financial category,” the company wrote in its lawsuit.
“Citibank is confident that its ability and ability to access the credit score of consumers for the purpose of providing that information would be limited.”
But that’s not what the banks say in their lawsuit.
The banks argue that disclosure is needed in order to protect consumers.
“The public interest requires the public to have confidence in banks’ ability to manage the risks associated with their financial assets,” the lawsuit reads.
“Bank customers need to be able to know their personal financial information, which banks do not provide in the ordinary course.”
The banks have been fighting the proposed rule since it was first proposed last year, and they say it would make it more difficult for them, by making it harder for banks to identify who is using their accounts.
They say the rule would make their financial information more difficult to find and would make reporting and sharing information difficult for the banks.
In a filing last week, the city says that the rule could lead to “a loss of confidence in credit reporting” and a “pervasive reduction in transparency” in the financial industry.
On Wednesday, the banks asked a judge to block the rule because they say they have “significant concerns” about it and they have seen no evidence that it would harm consumers or help them.
The lawsuit says that if the rule goes through, it will lead to increased financial fraud, “a decline in credit ratings for individuals who do not have the necessary credit histories and a reduction in consumer confidence.”
The city says in its filing that the proposed disclosure requirement would be “particularly burdensome” on banks that are “the largest consumers of credit reporting.”
The lawsuit notes that the proposal would also have a negative impact on small businesses, who already face burdensome disclosure requirements in New York.