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Major US banks are blocking third-party AI agents that log in with customer credentials, while the CFPB rule meant to end that practice sits enjoined in court

AspireAI community · AI News
Banks are restricting third-party AI agents that log into customer accounts with the customer's own username and password, which is exactly the credential-based access the CFPB's Section 1033 open banking rule was designed to displace. Charles Schwab chief executive Rick Wurster said on October 16 that the brokerage blocks large outside agents, including Meta's Muse, in the tens and twenties each week, and plans to let outside models check balances and research through its own MCP servers but not move money. JPMorgan's CFO said on the October 13 earnings call that the bank considers credential sharing insecure, blocks those services where it can, and puts responsibility on customers who share logins. Wells Fargo's updated Online Access Agreement, effective November 24, says instructions from an agent given a customer's login details can be treated as the customer's own without further verification. The limitation is that most reporting here is second-hand from Axios and Reuters, and the underlying rule has been enjoined by a federal court since it was due to bind the largest banks on April 1, 2026.
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One distance function matched sparse-autoencoder features across layers and compressed feature circuits into supernodes
Two sparse-autoencoder analyses have resisted scaling: matching semantically similar features across layers, and compressing large feature circuits into interpretable supernodes. This paper argues both are the same underlying problem, estimating semantic distances between SAE features that sit on different activation manifolds. Its representation treats each feature not as a single decoder vector but as an activation-weighted distribution over the hidden states expressing it, projects those distributions into a shared reference space, and compares them with Wasserstein distance. The representation is proved invariant to activation rescaling and stable under perturbation, and recovers true matches under finite-sample margin conditions. Empirically it outperformed decoder-vector and LLM-based baselines and captured subtle functional distinctions between related features, and it compressed large feature circuits into interpretable supernodes automatically. The limitation is that this is interpretability tooling: the paper demonstrates better feature matching and circuit compression, not that downstream interpretability claims become more accurate.
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