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kondaur [170]
3 years ago
13

Which Act requires financial institutions to explain to customers how they gather information, with whom they share it with, and

what measures they take to safeguard it________.
Social Studies
1 answer:
satela [25.4K]3 years ago
7 0

Answer:

The Gramm-Leach-Bliley Act

Explanation:

The Gramm-Leach-Bliley Act of 1999 is United States law passed by congress on November 12, 1999. The act mandates financial institutions to share with their clients their information sharing practices and also avail them with the opportunity to opt out if they do not desire to have their information shared with third party organizations.

There are 3 key rules enshrined in the act:

The Financial Privacy Rule: It mandates financial institutions to provide each client with a privacy notice describing how they collect, disclose and protect non-public personal information (NPI) at the inception of the professional relationship and annually thereafter.

The Pretexting Protection Rule: which prohibits pretexting (lies) in order to access personal information and,

The Safeguard Rule: Which mandates financial institutions establishing veritable safeguards and security programs to protect the NPI of its clients

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