Just making sure I haven't missed any final rule for the annual privacy notice. I'm starting to coordinate ours since it normally goes out starting Sept 1.

No final rule has been issued yet. Comments were due 7/14.

I didn't think so but just wanted to be sure.

There hasn't been a final rule issued on the annual privacy mailing, correct? I just want to be sure I didn't miss the ruling... We are getting ready to send ours out.


Thanks

Released this week. It will be effective upon publishing in the Federal Register.

http://www.consumerfinance.gov/newsroom/...cy-disclosures/

thank you

The rule applies to depository institutions but not to..........non-banks not subject to the CFPB rules? If a bank has a Insurance Company as an affiliate are they excluded from the new rule? Most of the time in the final rule they say "bank" but later in the (Using the Model Form paragraph) they say "financial institution".

From what I am reading today, this has been published in the Federal Register as of today and it is a go. Hope I am reading it correctly.

Federal Register, 10/28/14

As I understand the rule, if our current privacy notice has the opt-out, we cannot use the alternative method for mailing out the annual notices, correct?

We added the opt-out a couple of years ago because we were going to start a referral program with a nonaffiliate, we never started the program and have not shared information with affiliates or nonaffiliates.

If we remove the opt-out, we would have to do the annual mailing this year and wait until next year to use the alternative method if of course nothing changes, correct?

thanks,

After reading the below excerpt from the final rule, if we stop sharing and remove the opt-out from the notice, we can change the privacy notice now and use the alternative method of delivery for our next annual notice, correct? Our next annual mailing is this year (Dec 2014) so we won't have to wait until next year.

thanks,



As to a financial institution that changes its privacy policy to eliminate information sharing that triggers opt-out rights, the Bureau determines that such an institution would be able to use the alternative delivery method for its next annual notice and agrees that this should be clarified in the rule text. [/b]Under the final rule, if an institution chooses to stop sharing certain categories of information or to stop sharing information with certain categories of third parties, the financial institution will be able to use the alternative delivery method for its next annual privacy notice without first sending out a privacy notice pursuant to standard delivery methods (provided it meets the requirements of in § 1016.9(c)(2)). The Bureau is modifying § 1016.9(c)(2)(i)(D) to permit financial institutions to use the alternative delivery method if the information the institution is required to convey has not changed other than to eliminate categories of information it discloses or categories of third parties to whom it discloses information.[b]

anyone????

We want to be sure not to cause a violaton before we proceed with changing the notice and using the alternative method this year.

thank you

You need to wait at least a couple of days before bumping a post...this audience changes constantly.

Also, keep in mind that you are asking about an obscure area (very few banks run opt-out programs). It's also a regulation that's only a couple days old: You know as much, if not more, than most of the people here because you have read it.

I read the section above to mean that if we stop sharing we can update our privacy policy and immediately use the alternate delivery method without any additional notification to our customers. I have not spent a lot of time on this because we are not going to discontinue our affiliate sharing at this time.

My apologies for posting too soon and thank you.

pertaining to this little section:
financial institutions may use the alternative delivery method for annual privacy notices if: (1) No opt-out rights are triggered by the financial institution's information sharing practices under GLBA or FCRA section 603, and opt-out notices required by FCRA section 624 have previously been provided, if applicable, or the annual privacy notice is not the only notice provided to satisfy those requirements

The following is a response from Blair Rugh/Temenos:
"The second requirement involves the opt-out right under the Fair Credit Reporting Act if a financial institution discloses information to an affiliate for marketing purposes. Under FCRA, unlike Regulation P, the notice only has to be given one time unless the customer's opt-out has an expiration period, in which case, the notice must be given again when a prior opt-out expires. If the institution has already provided a consumer the FCRA opt-out notice and delivered separately any required FCRA renewal opt-out notice, then, the institution may use the alternate delivery method. This applies even though the institution's privacy notice describes the affiliate marketing opt-out right."

We don't plan to discontinue our affiliate sharing, but it seems as though there may still be a way to use the alternate delivery method. Our next mailing is scheduled for April 2015, so we have some time.