Newsroom
NAFCU supports enhanced data security protections under safeguards proposal
NAFCU's Andrew Morris shared the association's support of the Federal Trade Commission's (FTC) efforts to modernize its Safeguards Rule in a letter sent Friday. The proposed amendments would amend the FTC's implementation of the Gramm-Leach Bliley Act's (GLBA) safeguards provisions by aligning data security standards for nonbank financial companies more closely with those already established by prudential regulators.
"Although federally-insured credit unions are not subject to the FTC's Safeguards Rule, they follow regulations and guidance promulgated by the National Credit Union Administration (NCUA) and the Federal Financial Institutions Examination Council (FFIEC)," wrote Morris, NAFCU's senior counsel for research and policy. "Given the severity and extent of recent data breaches at financial companies subject to the FTC's jurisdiction and Safeguards Rule, such as Equifax, it is imperative to adopt more comprehensive security requirements."
Morris acknowledged that the proposed incident response plan is an improvement in regards to cyber hygiene, but recommended that the FTC consider additional reporting and notification requirements to "ensure that security breaches can be contained and mitigated as quickly as possible."
"NAFCU considers mandatory reporting and disclosure essential in any federal data security standard and has, for many years, advocated for legislation that would hold merchants and other entities handling financial information accountable for the consequences of data breaches," Morris said.
NAFCU also sought clarification of the applicability of the Safeguards Rule to accommodate existing regulatory frameworks for data security.
NAFCU has long been active with lawmakers on the issue of data security and was the first group after the massive 2013 Target data breach to call for a legislative solution to reform the nation's data security system. The association has cybersecurity compliance resources available online.
Share This
Related Resources
Add to Calendar 2023-02-03 09:00:00 2023-02-03 09:00:00 Winning the Battle for Deposits Listen On: Key Takeaways: [01:28] An overview of the current macro environment. [02:55] Traditional tactics used by credit unions in the battle for deposits and why these are no longer enough. [07:39] Rife competition in the credit union space and how to stand out from the crowd. [10:23] The benefits credit unions can experience by reducing the cognitive load of their members [18:17] Advantages and disadvantages of PFM tools in the battle for deposits. [20:14] What credit unions should demand of their vendors. Web NAFCU digital@nafcu.org America/New_York public
Winning the Battle for Deposits
preferred partner
Personetics
Podcast
Add to Calendar 2023-02-02 14:00:00 2023-02-02 14:00:00 How to Leverage Loan Participations in a Low Liquidity Environment About The Webinar As credit unions continue to face challenges with liquidity starting off 2023, strategic pricing and long-term alternative funding strategies can play a key role in allowing credit unions to serve more members and successfully manage the balance sheet. Loan participations can play a key role helping credit unions sustainably grow their originations, provide the marketplace access to quality, short duration investments, and successfully grow market share. Please join Amy Henderson, Chief Consumer Services Officer at Greenstate CU, Devin Hughes, VP of Business Development at LendKey, and Michael Adams, VP of Lender Development at Open Lending for a panel discussion to learn how credit unions can strategically serve more members, effectively price for loans, and successfully manage their balance sheet. Attendees will: Hear from Credit Union and FinTech experts Learn about loan pricing strategies and participation strategies Glean best practices from industry leaders who have been executing on these innovative strategies that better position the balance sheet for long term growth Find out how credit unions can start the process to identify trusted partners to help them execute on this strategy and serve more members Register for the Webinar Web NAFCU digital@nafcu.org America/New_York public
How to Leverage Loan Participations in a Low Liquidity Environment
preferred partner
Open Lending
Webinar
HELOC 2.0 - Q&A with Wolters Kluwer
Management, Relationships, Consumer Lending
preferred partner
Wolters Kluwer
Blog Post
Get daily updates.
Subscribe to NAFCU today.