Concord Privacy News: 12/18/24
Consumer Financial Credit Bureau Says State Privacy Laws Leave Consumers' Financial Data Exposed
Several states have recently passed data privacy laws that exempt financial institutions like banks from coverage. The Consumer Financial Protection Bureau (CFPB) warned that these exemptions may leave consumers at "heightened risk" regarding their financial data.
In a report issued this month, the CFPB noted that 18 states have passed new data privacy laws since 2018, giving consumers more control over their personal information. However, these laws all exempt data and institutions covered by federal financial regulations like the Gramm-Leach-Bliley Act (GLBA) and Fair Credit Reporting Act (FCRA).
This means consumers often can't exercise state-level privacy rights, like the ability to correct, delete, or download their data, when it comes to the sensitive financial information collected by banks, credit card companies, and other financial firms.
The CFPB said financial institutions are building "new business models around data monetization," collecting large amounts of consumer data on income, expenses, account balances, and more. But current federal privacy rules may not adequately protect against these emerging data practices.
The bureau recommended that state policymakers "assess the tradeoffs" of exempting financial data, and consider removing or narrowing these exemptions to better safeguard consumers' financial privacy.
"Consumers should have meaningful choice and an expectation of privacy about how their financial data is used," said CFPB Director Rohit Chopra. "Given the exemptions in state law, consumers lack fundamental protections for their financial privacy."
Other Privacy News of Note
63% of HR Professionals Cite Data Privacy and Security as Top AI Concerns: Survey
A new survey of over 500 HR professionals, titled "HR Report on AI: Insights on HR’s Readiness and Risk Management,” reveals that while 63% are concerned about data privacy and security related to AI, 40% of organizations lack clear policies governing its use. This highlights a critical need for HR to establish guidelines and training for responsible AI adoption to mitigate risks and leverage its potential benefits. Read more.
Google Will Track Your Location For 180 Days—Then It Stops
Google has confirmed a game-changer when it comes to tracking your every move. This is a major privacy change and it’s critical you know it’s happening and what you need to do now to ensure your location data is safe and secure. Read more.
