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                            Protecting Personal Privacy
    Protecting Personal Privacy Jump To:
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                    Issue Summary
    Protecting personal privacy has become a more significant issue in recent years with the advent of new technologies and the proliferation of personal information. The federal government collects and uses personal information on individuals in increasingly sophisticated ways for things like law enforcement, border control, and enhanced online interactions with citizens. In the private sector, commercial entities collect, share, and sell vast amounts of personal information for marketing and other purposes. During the Coronavirus pandemic, some companies used the technology to monitor the spread of COVID-19—such as to identify individuals that came in contact with people displaying symptoms.

Policymakers face some key challenges to protecting personal privacy in this environment.

For instance:

The collection or use of personal information by the federal government is governed primarily by two laws: the Privacy Act of 1974 and the privacy provisions of the E-Government Act of 2002. But there is no overarching federal privacy law that governs the collection and sale of personal information among private-sector companies. There is also no federal statute that gives consumers the right to learn what information is held about them for marketing purposes and who holds it. Congress could consider strengthening the consumer privacy framework.
	Companies increasingly use numeric scores to predict how consumers will behave. These scores are based on hundreds of pieces of information about a person's purchases and personal characteristics. Scores are used, for example, to target ads or provide individualized pricing. Unlike traditional credit scores, these scores may not be subject to consumer protection laws that seek to ensure fair and transparent treatment. Congress could play an important role in establishing appropriate consumer protections related to numeric scores, which includes considering the rights of consumers to view and correct the data used to create the scores.
	The privacy notices that banks and credit unions provide to consumers do not give a complete picture of the information institutions collect on consumers and potentially share with retailers, marketers, government agencies, and others. The Consumer Financial Protection Bureau could update this privacy notice form to ensure that consumers are better informed about all the ways banks and credit unions collect and share personal consumer information.
	Thousands of K-12 students had their personal information (including grades, bullying reports, and Social Security numbers) compromised in data breaches between 2016 and 2020. This raises concerns about the security of student data.
	Many federal IT systems****need****stronger privacy practices and safeguards to protect the personally identifiable information they hold.
	Tax returns are filled with sensitive personal and financial data—which the Internal Revenue Service (IRS) is expected to protect. However, recent disclosures of sensitive taxpayer data have made headlines and raised concerns about IRS's ability to safeguard taxpayer information.
	Threats to anonymity and other privacy risks of emerging technologies****used for law enforcement or commercial purposes (such as geolocation and biometric applications) need to be addressed. For example, the Department of Homeland Security has been working to replace its outdated biometric identity management system that matches fingerprints and facial features. DHS expects the new system to store hundreds of millions of identities. But DHS needs to do much more to protect the privacy of individuals whose information is in this new system.
	Additionally, many federal agencies that employ law enforcement officers use facial recognition technology. However, they don’t all track employee use of non-federal systems and assess the risks these systems can pose regarding privacy, accuracy, and more.Image
              data privacy stock photo

  Recent Reports
          Biometric Identity System: DHS Needs to Address Significant Shortcomings in Program Management and PrivacyGAO-23-105959
      
	Published:  Sep 12, 2023


	Publicly Released: Sep 12, 2023
                        Facial Recognition Services: Federal Law Enforcement Agencies Should Take Actions to Implement Training, and Policies for Civil LibertiesGAO-23-105607
      
	Published:  Sep 05, 2023


	Publicly Released: Sep 12, 2023
                        Homeland Security: Office of Intelligence and Analysis Should Improve Privacy Oversight and Assessment of Its EffectivenessGAO-23-105475
      
	Published:  Aug 28, 2023


	Publicly Released: Sep 12, 2023
                        Security of Taxpayer Information: IRS Needs to Address Critical Safeguard WeaknessesGAO-23-105395
      
	Published:  Aug 14, 2023


	Publicly Released: Sep 11, 2023
                        Privacy: Dedicated Leadership Can Improve Programs and Address ChallengesGAO-22-105065
      
	Published:  Sep 22, 2022


	Publicly Released: Sep 22, 2022
                        Consumer Data: Increasing Use Poses Risks to PrivacyGAO-22-106096
      
	Published:  Sep 13, 2022


	Publicly Released: Sep 13, 2022
                        Consumer Protection: Congress Should Consider Enhancing Protections around Scores Used to Rank ConsumersGAO-22-104527
      
	Published:  May 26, 2022


	Publicly Released: May 26, 2022
                        Facial Recognition Technology: Federal Law Enforcement Agencies Should Better Assess Privacy and Other RisksGAO-21-518
      
	Published:  Jun 03, 2021


	Publicly Released: Jun 29, 2021
                        Consumer Privacy: Better Disclosures Needed on Information Sharing by Banks and Credit UnionsGAO-21-36
      
	Published:  Oct 22, 2020


	Publicly Released: Nov 23, 2020
                        Data Security: Recent K-12 Data Breaches Show That Students Are Vulnerable to HarmGAO-20-644
      
	Published:  Sep 15, 2020


	Publicly Released: Oct 15, 2020
                        Facial Recognition Technology: Privacy and Accuracy Issues Related to Commercial UsesGAO-20-522
      
	Published:  Jul 13, 2020


	Publicly Released: Aug 11, 2020
                        Consumer Privacy: Changes to Legal Framework Needed to Address GapsGAO-19-621T
      
	Published:  Jun 11, 2019


	Publicly Released: Jun 11, 2019
                        Consumer Data Protection: Actions Needed to Strengthen Oversight of Consumer Reporting AgenciesGAO-19-196
      
	Published:  Feb 21, 2019


	Publicly Released: Mar 26, 2019
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  Related Pages
          RelatedConsumer Financial Protection
GAO Contacts
    
      Alicia Puente Cackley
      
              Alicia Puente Cackley
            
            Director
      
            cackleya@gao.gov
      
            (202) 512-8678
    Nick Marinos
      
              Nick Marinos
            
            Managing Director
      
            MarinosN@gao.gov
      
            (202) 512-9342
                                                      MultimediaVideo
    
      Facial Recognition Technology and Law Enforcement
      
        
        Facial Recognition Technology and Law Enforcement
          Tuesday, September 12, 2023
          IRS & Taxpayer Data: Critical Weaknesses in Security
      
        
        IRS & Taxpayer Data: Critical Weaknesses in Security
          Monday, September 11, 2023
Podcasts
    
      Oversight of Internet Privacy
    Wednesday, February 13, 2019
      
            Transcript
          The Federal Government Collects Large Amounts of Personal Data. But How Is It Protected?
    Thursday, September 22, 2022
      
            Transcript
          The Harm of Data Breaches in Public K-12 Schools
    Thursday, October 15, 2020
      
            Transcript
Figure showing typical flow of consumer data through resellers to third-party users
          Blog Post
              Personal Information, Private Companies
            Tuesday, May 1, 2018
      
            The recent Congressional hearings on Facebook have highlighted the ways that companies collect and...
          Illustration showing a man clicking on a data privacy icon
          Blog Post
              To Address Emerging Privacy Issues, Congress Should Consider Comprehensive Legislation
            Tuesday, September 13, 2022
      
            As technologies change, businesses have been able to collect more personal data about consumers. But...
          Graphic illustrating Artificial Intelligence--a persons hands are typing on a keyboard. Above that image are small icons for different applications. The center one says AI.
          Blog Post
              Artificial Intelligence’s Use and Rapid Growth Highlight Its Possibilities and Perils
            Wednesday, September 6, 2023
      
            The rise of artificial intelligence has created growing excitement and much debate about its...
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