Strict compliance for financial institutions is regulated by The Gramm–Leach–Bliley Act (GLBA), also known as the Financial Services Modernization Act of 1999. The GLBA is comprised of several components including the Financial Privacy Rule and the Safeguards Rule which requires financial institutions to provide privacy notices and to develop a written information security plan to protect clients' nonpublic personal information. These two regulations apply to "financial institutions," which include not only banks, securities firms, and insurance companies, but also companies providing many other types of financial products and services to consumers. Among these services are lending, brokering or servicing any type of consumer loan, transferring or safeguarding money, preparing individual tax returns, providing financial advice or credit counseling, providing residential real estate settlement services, collecting consumer debts and an array of other activities.  These include:

Financial Privacy Rule – covers gathering and disclosure of customers' personal financial information by financial institutions. It also applies to companies, whether or not they are financial institutions, who receive such information.

Safeguards Rule - requires all financial institutions to design, implement and maintain safeguards to protect customer information; applies not only to financial institutions that collect information from their own customers, but also to financial institutions "such as credit reporting agencies" that receive customer information.

GLBA violations can result in civil penalties of not more than $100,000 for each violation; the officers and directors of the financial institution shall be subject to, and personally liable for, a civil penalty of not more than $10,000 for each violation.  Praetorian Secure and its engineers provide financial institutions several services including assessments and ongoing risk management processes.

For more information:

http://www.ustreas.gov

http://www.ftc.gov

http://www.sec.gov