In _______________, Congress enacted restrictions on the way financial institutions disclose information on customers to third parties. The law also requires financial institutions to provide disclosures, both at the time of establishing the customer relationship and annually thereafter.
The Gramm-Leach-Bliley Act of 1999 is the legislation that imposed restrictions on the disclosure of customer information by financial institutions to third parties. It requires financial institutions to provide privacy notices to customers both when the customer relationship is established and annually thereafter, outlining their information-sharing practices and giving consumers the right to opt out of certain types of information sharing.
The correct answer is C. Gramm-Leach-Bliley Act of 1999. This law imposes restrictions on how financial institutions disclose nonpublic personal information about consumers to nonaffiliated third parties. It also mandates that these institutions must provide their customers with privacy notices that explain their information-sharing practices. Additionally, the law gives consumers the right to opt-out of some forms of information sharing with nonaffiliated third parties.