FTC Resources for Reporters
Protecting Consumers’ Financial Privacy
Financial institutions are required to take steps to protect the privacy of consumers’ finances under a federal law called the Financial Modernization Act of 1999, also known as the Gramm-Leach-Bliley Act. The FTC is one of eight federal agencies that enforces provisions of Gramm-Leach Bliley, and the law covers not only banks, but also securities firms, and insurance companies, and companies providing many other types of financial products and services. Under the law, agencies enforce the Financial Privacy Rule, which governs how institutions can collect and disclose of customers' personal financial information; the Safeguards Rule, which requires all financial institutions to maintain safeguards to protect customer information; and another provision designed to prevent individuals and companies from gaining access to consumers’ personal financial information under false pretenses, a practice known as "pretexting."
News Releases:
- Membership Reward Service Aimed at College Savers Settles FTC Charges That Its 'TurboSaver Toolbar' Feature Deceptively Collected Consumers' Personal Information – 01/05/2012
- Credit Report Resellers Settle FTC Charges; Security Failures Allowed Hackers to Access Consumers' Personal Information – 02/03/2011
- Federal Regulators Release Model Consumer Privacy Notice Online Form Builder – 04/15/2010
- Mortgage Company Settles Data Security Charges – 11/06/2008
Reports and Workshops:
Congressional Testimony:
- Testimony on Consumer Privacy Before the Senate Committee on Commerce, Science, and Transportation -- July 27, 2010
- Testimony on Consumer Privacy Before the House Committee on Energy and Commerce Subcommittee on Commerce, Trade, and Consumer Protection -- July 22, 2010
