Gramm Leach Bailey Act
Yet another act to protect our financial information. The act also quotes the FTC Disposal Rule.
Many companies collect personal information from their customers, including names, addresses, and phone numbers; bank and credit card account numbers; income and credit histories; and Social Security numbers. The Gramm-Leach-Bliley (GLB) Act requires companies defined under the law as “financial institutions” to ensure the security and confidentiality of this type of information. As part of its implementation of the GLB Act, the Federal Trade Commission (FTC) issued the Safeguards Rule, which requires financial institutions under FTC jurisdiction to have measures in place to keep customer information secure. But safeguarding customer information isn’t just the law. It also makes good business sense. When you show customers you care about the security of their personal information, you increase their confidence in your company. The Rule is available at ftc.gov.
Who Must Comply?
For more information on whether the Safeguards Rule applies to your company, consult section 313.3(k) of the GLB Privacy Rule and the Financial Activities Regulations. Both are available at the FTC website.