The Federal Trade Commission (“FTC”) recently proposed two amendments to the Privacy Rule and Safeguards Rule under the Gramm-Leach-Bliley Act (“GLBA”). The Safeguards Rule requires financial institutions to develop, implement, and maintain a comprehensive information security system. This rule went into effect in 2003. The Privacy Rule requires financial institutions to inform customers about its information-sharing practices and allows customers to opt out of having their information shared with certain third parties. This rule went into effect in 2000. The recent amendments to these two rules are intended to further protect consumers’ data from third parties. However, the changes could also adversely affect businesses.
Amanda Bogle Executive Editor Loyola University Chicago School of Law, JD 2017 When a data breach occurs in an organization, determining whether there is a duty to notify can get complicated quickly. In investigating a breach, the specific facts of the incident become extremely important, as not every breach will require notification. The residency …
Kaitlin Lavin Executive Editor Loyola University Chicago School of Law, JD 2017 Financial institutions can expect increased oversight and new regulations due to recent cyberattacks and data breaches in banks. Several banks have already reported data breaches this year, and many banks have been rattled by the cyberattacks on SWIFT—the messaging network connecting the …