Swipe fees, on cards are paid by merchants and are typically 2% to 4% of the transaction. In comparison, fees for pay-by-bank transactions are substantially lower. “Pay-by-bank is free from fees unless banks decide to charge for app use, or an app charges a fee, either on a subscription or on a per-transaction basis,” Martz says.

The Consumer Financial Protection Bureau announced a final rule that will allow consumers to switch banks more easily by requiring banking institutions to release certain personal data for free.

According to the CFPB, as the rules take effect, consumers will be able to transfer their data between banks free of charge and without obstacles.

No sooner had the Consumer Financial Protection Bureau released its personal financial data rights rule Tuesday than the rule was legally challenged by the banking industry. The lawsuit, filed late Tuesday by the Bank Policy Institute and the Kentucky Bankers Association,

Liability over data security emerges as a top concern as the Bank Policy Institute and a Kentucky trade group and bank sue the bureau, arguing overreach.

Banks, credit card companies and other financial mainstays will be required to comply with new data privacy and retail account portability regulations under a sweeping rule issued Tuesday by the Consumer Financial Protection Bureau (CFPB).

But that could all change, after the Consumer Financial Protection Bureau announced Tuesday that it finalized what supporters are calling an “open banking” rule, intended to make people’s financial histories portable so they can switch banks more easily.