What Is
What Is the GLBA Safeguards Rule?
The Gramm-Leach-Bliley Act Safeguards Rule requires a financial institution to develop, implement, and maintain a written information security program to protect customer information (16 CFR Part 314). The program must be appropriate to the institution's size and complexity, the nature and scope of its activities, and the sensitivity of the customer information it handles.
The rule's elements are a risk assessment of reasonably foreseeable internal and external threats, safeguards to control those risks, oversight of service providers, and regular testing and monitoring. The Federal Trade Commission enforces the rule against the financial institutions within its jurisdiction. Texas insurance-data regulation and the DTPA operate alongside the federal rule for Texas institutions; the financial-data guide explains the overlap.
Pinpoint: 16 CFR Part 314. Related term: GLBA Safeguards Rule (GLBA).