CFPB Data Security Protocols Still Need Fixing, Watchdog Finds

The Consumer Financial Protection Bureau hasn’t fully plugged holes in its data security protocols that had allowed a former employee to make an unauthorized transfer of confidential information, an agency watchdog said.

The CFPB has strengthened its data loss prevention protocols and training to prevent “unauthorized exfiltration” of sensitive information, according to a report released Tuesday by the inspector general for the bureau and the Federal Reserve.

But the agency still needs to update its data clarification system to automatically prevent people without clearance from accessing confidential information, such as consumer data and supervisory reports of covered companies, the watchdog …