The Consumer Financial Protection Bureau (CFPB) has finalized rules under President Biden's directive, mandating that banks and financial institutions must allow consumers to transfer their financial data to other providers without fees, enacting Section 1033 of the Dodd-Frank Act. This move is designed to enhance competition and innovation in the financial sector by empowering consumers to seek better rates and services. The rule requires banks to implement standardized APIs for data sharing, with a phased compliance timeline starting with larger institutions by 2026. While the initiative aims to promote an 'open banking' system, it has been met with concerns from the banking industry regarding data security and liability risks. The CFPB argues that these rules will drive down loan costs and improve financial product offerings as providers compete for customers. Director Rohit Chopra emphasized that this rule is a step towards a more competitive, safe, and consumer-centric financial landscape.