12 CFR Part 1016 - Privacy of Consumer Financial Information (Regulation P) | Consumer Financial Protection Bureau (2024)

FAQs

What is 12 cfr 1016? ›

12 CFR Part 1016 - PART 1016—PRIVACY OF CONSUMER FINANCIAL INFORMATION (REGULATION P) § 1016.1 Purpose and scope. § 1016.2 Model privacy form and examples.

Regulation P (Privacy of Consumer Financial Information) is one of the regulations set forth by the Federal Reserve, the central banking system of the U.S, that governs the treatment of a consumer's private and personal information by banks and other financial institutions.

Sometimes the CFPB will send a warning letter to advise recipients that certain actions may violate federal consumer financial law. These are not accusations of wrongdoing.

Submit a complaint

We help consumers connect with financial companies to understand issues, fix errors, and get direct responses about problems. Tell us about your issue—we'll forward it to the company and work to get you a response, generally within 15 days.

The Code of Federal Regulations Title 12 contains the codified Federal laws and regulations that are in effect as of the date of the publication pertaining to banks, banking, credit unions, farm credit, mortgages, consumer financial protection and other related financial matters.

There are no specific penalties in the regulation, nor in GLBA. However, as with any regulation, the regulators have the authority to assess civil money penalties (CMPs) for non compliance under the National Bank Act, Federal Reserve Act, or the Federal Deposit Insurance Act.

This landmark law secures new privacy rights for California consumers, including: The right to know about the personal information a business collects about them and how it is used and shared; The right to delete personal information collected from them (with some exceptions);

California law lets you tell your bank and other financial companies that you do not want them to share your personal financial information in some cases. You can say no to, or opt out of, having your information shared with outside companies that offer financial products or services.

The CFPB has regulatory authority over providers of many types of financial products and services, including credit cards, banking accounts, loan servicing, credit reporting and consumer debt collection. A person shops in the beef section of a supermarket on February 13, 2023 in Los Angeles, California.

Is the Consumer Financial Protection Bureau a real thing? ›

The CFPB was created to provide a single point of accountability for enforcing federal consumer financial laws and protecting consumers in the financial marketplace. Before, that responsibility was divided among several agencies. Today, it's our primary focus.

We have supervisory authority over banks, thrifts, and credit unions with assets over $10 billion, as well as their affiliates.

Protecting you from junk fees. The CFPB is working to save households billions of dollars a year by reducing exploitative junk fees charged by banks and financial companies.

The FTC's Bureau of Consumer Protection stops unfair, deceptive and fraudulent business practices by collecting reports from consumers and conducting investigations, suing companies and people that break the law, developing rules to maintain a fair marketplace, and educating consumers and businesses about their rights ...

Specifically, the bureau must award compensation to whistleblowers for 10%-30% of the collected penalties.

In 1987, Congress passed the Expedited Funds Availability Act (PDF) (EFAA), to address concerns about the lengths of holds banks were then placing on checks deposited by their customers. The EFAA establishes maximum permissible hold periods for checks and other deposits.

Generally, the RFPA requires that federal government agencies provide individuals with a notice and an opportunity to object before a bank or other specified institution can disclose personal financial information to a federal government agency, often for law enforcement purposes.

The rule requires that a consumer have a reasonable opportunity to opt out before a bank discloses nonpublic personal information to nonaffiliated third parties. An example of a reasonable opportunity is 30 days from the date a bank mails a notice to a consumer.

There are some exceptions to the opt-out right. Common reasons why businesses may refuse to stop selling your personal information include: Sale or sharing is necessary for the business to comply with legal obligations, exercise legal claims or rights, or defend legal claims.