# Joint Statement on Automated Systems (CFPB, DOJ, EEOC, FTC): Joint Statement on Enforcement Efforts Against Discrimination and Bias in Automated Systems

Source: https://www.bankingnewsai.com/ai-regulation/documents/cfpb-joint-statement-automated-systems-2023
Last updated: Aug 26, 2026

On April 25, 2023 the CFPB, the Justice Department's Civil Rights Division, the EEOC and the FTC issued a joint statement pledging to enforce existing civil-rights and consumer-protection laws against discriminatory outcomes from automated systems and AI. The CFPB's contribution identified black-box credit models, algorithmic marketing and 'digital redlining' as enforcement priorities and reiterated that advanced technology is not an excuse for lawbreaking. The statement was not among the guidance withdrawn in May 2025, but the Bureau's April 2026 Regulation B rule removed the disparate-impact theory on which much of it relied.

## At a glance

| Field | Value |
| --- | --- |
| Authority | [CFPB](https://www.bankingnewsai.com/ai-regulation/cfpb) |
| Type | Guidance |
| Status | Final |
| Published | Apr 25, 2023 |
| Applies to | All entities within the four agencies' jurisdictions, including lenders, servicers and consumer-facing financial firms using automated decision systems |
| Official text | https://www.consumerfinance.gov/about-us/newsroom/cfpb-federal-partners-confirm-automated-systems-advanced-technology-not-an-excuse-for-lawbreaking-behavior/ |

## Key points

- Four agencies commit to applying existing law (ECOA, FCRA, Title VII, FTC Act, civil-rights statutes) to automated systems.
- Identifies sources of bias: unrepresentative or skewed data, opacity of models, and design choices made without regard to context.
- CFPB priorities: opaque algorithms in credit decisions, algorithmic marketing and advertising, digital redlining, abusive AI uses that obscure product features, repeat offenders, and whistleblower reports from tech workers.
- Director Chopra: regulators must 'stay ahead' of AI growth to prevent discriminatory outcomes.
- Statement PDF: files.consumerfinance.gov/f/documents/cfpb_joint-statement-enforcement-against-discrimination-bias-automated-systems_2023-04.pdf

## What changed for banks

It aligned four federal enforcers on the principle that no new law was needed to police AI discrimination and put banks' marketing and underwriting algorithms on notice. With disparate-impact liability under ECOA eliminated by the CFPB in 2026, the statement's practical force for lenders now rests on intentional-discrimination theories, FCRA and state law.

## Use cases it governs

- [Fair lending & discrimination](https://www.bankingnewsai.com/ai-regulation/by-use-case#fair-lending)
- [Credit scoring & underwriting](https://www.bankingnewsai.com/ai-regulation/by-use-case#credit-underwriting)
- [AI governance (general)](https://www.bankingnewsai.com/ai-regulation/by-use-case#governance-general)

## FAQ

### Is the 2023 joint statement on automated systems still in effect?

It has not been formally withdrawn and remains on the CFPB site, but the disparate-impact theory it emphasized was removed from Regulation B by the April 2026 final rule, effective July 21, 2026.

## Related documents

- [Regulation B final rule on disparate impact (April 2026)](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-regulation-b-final-rule-2026) — Equal Credit Opportunity Act (Regulation B) — final rule amending disparate impact, discouragement and special purpose credit program provisions (Apr 22, 2026)
- [CFPB withdrawal of 67 guidance documents (May 2025)](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-guidance-withdrawal-2025) — Interpretive Rules, Policy Statements, and Advisory Opinions; Withdrawal (May 12, 2025)
- [CFPB comment to Treasury on AI in financial services (2024)](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-comment-treasury-ai-rfi-2024) — CFPB Comment on Request for Information on Uses, Opportunities, and Risks of Artificial Intelligence in the Financial Services Sector (Aug 12, 2024)
- [CFPB Circular 2023-03](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-circular-2023-03) — Adverse action notification requirements and the proper use of the CFPB's sample forms provided in Regulation B (Sep 19, 2023)
- [CFPB Chatbots in Consumer Finance (issue spotlight, 2023)](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-chatbots-in-consumer-finance-2023) — Chatbots in consumer finance (Jun 6, 2023)
- [CFPB Circular 2022-03](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-circular-2022-03) — Adverse action notification requirements in connection with credit decisions based on complex algorithms (May 26, 2022)
- [CFPB Innovation Spotlight on AI/ML adverse action notices (2020)](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-innovation-spotlight-ai-ml-adverse-action-2020) — Innovation spotlight: Providing adverse action notices when using AI/ML models (Jul 7, 2020)
- [ECOA / Regulation B adverse action (15 U.S.C. 1691(d); 12 CFR 1002.9)](https://www.bankingnewsai.com/ai-regulation/documents/cfpb-ecoa-regulation-b-adverse-action) — Equal Credit Opportunity Act section 701(d) and Regulation B section 1002.9 — notification of adverse action and statement of specific reasons (Oct 28, 1974)

Last reviewed Aug 26, 2026. Cite the official text (https://www.consumerfinance.gov/about-us/newsroom/cfpb-federal-partners-confirm-automated-systems-advanced-technology-not-an-excuse-for-lawbreaking-behavior/) for the rule and this page for the summary and dates.

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