Are there any laws that protect the privacy and security of electronic financial transactions?

Yes, there are laws in New York that protect the privacy and security of electronic financial transactions. The New York Department of Financial Services (DFS) established the nation’s first cyber security regulations in 2017. These regulations require financial companies operating in New York to create a cybersecurity program and to protect confidential customer information. Additionally, the regulations require these companies to have written policies and procedures for how customer data is handled and stored, as well as standards for secure software development. The regulations also require regular employee training in cybersecurity best practices. In addition to the DFS regulations, the Gramm-Leach-Bliley Act (GLBA) protects the privacy and security of electronic financial transactions. The GLBA requires financial institutions to provide customers with a privacy notice that outlines how their personal information is collected, used, and shared with other institutions. Financial institutions must also put in place safeguards to protect this customer data from unauthorized access or use. To further protect the privacy and security of electronic financial transactions, the New York State Legislature passed the Stop Hacks and Improve Electronic Data Security (SHIELD) Act in 2019. This law requires companies operating or doing business in New York to take measures to protect consumers’ private data from cyber-attacks. Companies must have a written information security policy and a process for identifying and securely storing confidential information. They must also take appropriate measures to protect the data from unauthorized access and use.

Are there any laws that protect the privacy and security of electronic financial transactions?

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