Responsible AI Disclosure Act of 2024

The Responsible AI Disclosure Act of 2024 requires major U.S. financial regulatory agencies (including the Federal Reserve, CFPB, SEC, and FDIC) to conduct a 6-month study on standardized disclosures for AI systems used by financial institutions. It mandates that agencies issue a report detailing how AI training data is categorized, sourced, and designed - specifically covering synthetic vs. real data ratios, data sources, and model functionality. After the report, agencies may require banks, credit unions, and AI vendors to disclose this information to regulators or the public. The bill directly affects financial institutions (regulated entities) and AI vendors supplying them, focusing on transparency around AI systems used in banking and finance. It does not impose immediate rules but sets the stage for future disclosure requirements based on the study’s findings.