CFPB Bans Argus Information from Government Contracts

CFPB Blog

Filed January 21st, 2025

Detected March 18th, 2026

Summary

The CFPB announced that Argus Information and Advisory Services, a subsidiary of TransUnion, has agreed not to seek government contracts with the CFPB for three years. This follows a $37 million settlement by Argus with the Department of Justice for alleged misuse of federal regulator data.

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What changed

The Consumer Financial Protection Bureau (CFPB) has announced an agreement with Argus Information and Advisory Services, a subsidiary of TransUnion, barring Argus from seeking any government contracts with the CFPB for a period of three years. This action stems from allegations that Argus misused data obtained through contracts with federal regulators, a matter that was previously resolved by the Department of Justice with a $37 million settlement in March 2024. The CFPB's action specifically addresses Argus's contractual relationship with the Bureau and its potential future engagements.

This development requires compliance officers to be aware of the increased scrutiny on government contractors, particularly data brokers and entities handling sensitive financial information. While Argus is specifically banned from CFPB contracts, the broader message from the CFPB is a continued commitment to monitoring and halting the abuse and misuse of sensitive data by government contractors and data brokers. Companies operating in this space should review their data handling practices and compliance with federal contracts to avoid similar enforcement actions.

What to do next

Review existing government contracts for compliance with data usage terms.
Assess data handling practices for potential misuse of sensitive information.
Monitor CFPB and DOJ enforcement actions related to government contractors and data brokers.

Penalties

Argus Information agreed not to seek government contracts with the CFPB for three years. Previously paid $37 million to the DOJ to resolve allegations of data misuse.

Source document (simplified)

Today, the CFPB is announcing that Argus Information and Advisory Services, a subsidiary of TransUnion, has agreed in writing that it will not seek any government contract with the Consumer Financial Protection Bureau for three years.

TransUnion markets Argus to clients for its capabilities to ingest proprietary portfolio information from various financial institutions to provide a “full wallet view.” As a data broker and credit reporting conglomerate, TransUnion has a strong financial incentive to amass large quantities of information.

In March 2024, the Department of Justice took action against Argus to resolve claims that the company violated the False Claims Act and the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), in connection with its access to and use of credit card data obtained pursuant to contracts with various federal regulators. The Department of Justice alleged that Argus ingested information in violation of its federal government contracts and improperly monetized it in its commercial business. Argus paid $37 million to resolve these allegations.

The CFPB was one of many federal financial regulators with a contractual arrangement with Argus. The CFPB notified the TransUnion affiliate that it was considering additional actions, and Argus has now committed to the CFPB that it will not seek any contracts for three years.

Separately, in 2022, the CFPB sued TransUnion and a former executive for violating a law enforcement order. That litigation is ongoing. In 2023, the CFPB and the Federal Trade Commission took action against TransUnion for illegal rental background check and credit reporting practices, leading to $23 million in restitution and penalties.

The CFPB will continue to closely monitor government contractors and data brokers to halt abuse and misuse of sensitive data.

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Page last modified

Jan. 21, 2025

02:56 PM EST

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