"FTC updates data security expectations for nonbanks" by Elizabeth E. McGinn, Amanda R. Lawrence, Sherry-Maria Safchuk, Lauren Bomberger (Bloomberg Law)
Bloomberg LawElizabeth E. McGinn, Amanda R. Lawrence, Sherry-Maria Safchuk, Lauren Bomberger
Persistent cyberbreaches are compelling government responses to protect consumer data, particularly consumer financial information. Laws passed in California, Colorado, and Virginia are among the most influential at the state level, but federal regulators are also moving to implement additional privacy provisions.
The Federal Trade Commission in late October set out its expectations for how financial institutions should protect consumer data, which was published on Dec. 9, 2021. The FTC’s amended rule (Safeguards Rule) comes at the heels of the Consumer Financial Protection Bureau’s October 2020 advanced notice of proposed rulemaking under the Dodd-Frank Act that would give consumers more control over their financial data.