US House of Representatives launches fintech and AI task forces

The US House of Representatives has announced the launch of two task forces – one focused on financial technology (fintech) and the other on artificial intelligence (AI).

Congresswoman Maxine Waters, Chairwoman of the House Committee on Financial Services, announced the task forces and named Congressman Stephen F. Lynch as Chair of the Task Force on Financial Technology, and Congressman Bill Foster as chair of the Task Force on Artificial Intelligence.

Chairwoman Waters said that with the emergence of new technologies and their implementation in the financial services industry, Congress must make sure that responsible innovation is encouraged.

“The new task forces on financial technology and artificial intelligence, under the leadership of Congressman Lynch and Congressman Foster, respectively, will help Congress to stay on top of new developments in these areas so that we are well-positioned to make policy,” she added.

The fintech task force will examine issues such as domestic and international perspectives on regulating fintech, utilizing alternative data for loan underwriting and modifications, assessing the infrastructure and legal and regulatory framework for efficient payments, and reviewing challenges to data privacy.

Congressman Lynch said that the bipartisan task force will give an opportunity to educate the Congress about the opportunities and challenges posed by emerging financial technologies.

“We are witnessing an exciting evolution in the financial services space, which will vastly improve the use and quality of services in lending, payments and money management. The lives of consumers are changing with user-friendly financial service apps but these emerging technologies come with vulnerabilities and the need to reevaluate our consumer protection standards,” he said.