I 
112TH CONGRESS 
1ST SESSION 
H. R. 653 
To amend the Gramm-Leach-Bliley Act to improve regulations dealing with 
the disclosure by financial institutions of nonpublic personal information, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 11, 2011 
Ms. SPEIER (for herself, Mr. HASTINGS of Florida, and Mr. FILNER) intro-
duced the following bill; which was referred to the Committee on Finan-
cial Services 
A BILL 
To amend the Gramm-Leach-Bliley Act to improve regula-
tions dealing with the disclosure by financial institutions 
of nonpublic personal information, and for other pur-
poses. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Financial Information 
Privacy Act of 2011’’. 
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SEC. 2. OBLIGATIONS WITH RESPECT TO DISCLOSURE OF 
PERSONAL INFORMATION. 
(a) IN GENERAL.—The Gramm-Leach-Bliley Act is 
amended— 
(1) in section 501(b)— 
(A) in paragraph (1), by inserting after 
‘‘security’’ the following: ‘‘, integrity,’’; and 
(B) in paragraph (2), by striking ‘‘or in-
tegrity’’ and inserting ‘‘, integrity, or confiden-
tiality’’; 
(2) by striking section 502 and inserting the 
following new sections: 
‘‘SEC. 502. OBLIGATIONS WITH RESPECT TO DISCLOSURES 
OF 
PERSONAL 
INFORMATION 
TO 
NON-
AFFILIATED THIRD PARTIES. 
‘‘(a) NOTICE REQUIREMENT.—Except as otherwise 
provided in this subtitle, a financial institution may not, 
directly or through any affiliate, disclose to a nonaffiliated 
third party any nonpublic personal information, unless 
such financial institution provides or has provided to the 
consumer a notice that complies with section 503. 
‘‘(b) OPT IN BEFORE DISCLOSURE IS PERMITTED.— 
A financial institution may not disclose nonpublic personal 
information to a nonaffiliated third party unless the finan-
cial institution has obtained the express consent of the 
consumer on an express consent form that— 
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‘‘(1) complies with the requirements of sub-
section (e); and 
‘‘(2) authorizes the financial institution to dis-
close or share the nonpublic personal information. 
‘‘(c) NON-DISCRIMINATORY TREATMENT.— 
‘‘(1) IN GENERAL.—A financial institution shall 
not discriminate against a consumer or deny an oth-
erwise qualified consumer a financial product or 
service or offer a financial product or service on less 
favorable terms and conditions, except as permitted 
in subsection (d), because the consumer has not pro-
vided the express consent described under subsection 
(b). 
‘‘(2) EXCEPTION.—With respect to a consumer 
who has not provided a financial institution with the 
express consent described under subsection (b)— 
‘‘(A) nothing in this section shall prohibit 
such institution from denying the consumer a 
financial product or service if the institution 
can not provide such product or service to the 
consumer without such express consent; and 
‘‘(B) such institution shall not be required 
to offer a financial product or service to the 
customer if such product or service cannot be 
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offered to the consumer without such express 
consent. 
‘‘(d) INCENTIVES
AND DISCOUNTS PERMITTED.— 
Nothing in this section shall be construed to prohibit a 
financial institution from offering reasonable incentives or 
discounts in exchange for a consumer providing the ex-
press consent described under subsection (b). 
‘‘(e) CONSENT FORM REQUIREMENTS.—An express 
consent form complies with the requirements of this sub-
section if it meets the following criteria: 
‘‘(1) It is a separate document, not attached to 
any other document. 
‘‘(2) It is dated and signed by the consumer. 
‘‘(3) It clearly and conspicuously discloses that 
by signing, the consumer is consenting to the disclo-
sure to nonaffiliated third parties of nonpublic per-
sonal information pertaining to the consumer. 
‘‘(4) It clearly and conspicuously discloses— 
‘‘(A) that the consent will remain in effect 
until revoked by the consumer; 
‘‘(B) that the consumer may revoke the 
consent at any time; and 
‘‘(C) the procedure for the consumer to re-
voke consent. 
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‘‘(5) It clearly and conspicuously informs the 
consumer that— 
‘‘(A) the financial institution will maintain 
the form or a true and correct copy; 
‘‘(B) the consumer is entitled to a copy of 
the form upon request; and 
‘‘(C) the consumer may want to make a 
copy of the document for the consumer’s 
records. 
‘‘(6) Such other criteria as the Bureau of Con-
sumer Financial Protection may determine appro-
priate. 
‘‘(f) PREEXISTING
CONTRACTS.—Notwithstanding 
the prohibition under subsection (a), until January 1, 
2012, a financial institution may disclose nonpublic per-
sonal information to a nonaffiliated financial institution 
pursuant to a preexisting contract with the nonaffiliated 
financial institution for purposes of offering a financial 
product or service, if such contract was entered into on 
or before January 1, 2011. 
‘‘(g) LIMITATION ON THE SHARING OF ACCOUNT 
NUMBER INFORMATION FOR MARKETING PURPOSES.—A 
financial institution shall not disclose, other than to a con-
sumer reporting agency, an account number or similar 
form of access number or access code for a credit card 
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account, debit card account, deposit account, or other 
transaction account of a consumer to any nonaffiliated 
third party for use in telemarketing, direct mail mar-
keting, or other marketing through electronic mail to the 
consumer. 
‘‘SEC. 502A. OBLIGATIONS WITH RESPECT TO DISCLOSURES 
OF PERSONAL INFORMATION TO AFFILIATES. 
‘‘(a) NOTICE REQUIREMENT.—A financial institution 
may not disclose a consumer’s nonpublic personal informa-
tion to an affiliate, or share such information with an affil-
iate, unless— 
‘‘(1) the financial institution has notified the 
consumer, in the disclosure described under section 
503(a), that the nonpublic personal information may 
be disclosed to, or shared with, an affiliate of the fi-
nancial institution; and 
‘‘(2) the consumer has not directed that the 
nonpublic personal information not be disclosed or 
shared. 
‘‘(b) EXCEPTIONS.— 
‘‘(1) COMMON SYSTEMS EXCLUSION.—For pur-
poses of this section, a financial institution shall not 
be deemed to have disclosed information to, or 
shared information with, an affiliate merely be-
cause— 
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‘‘(A) such information is— 
‘‘(i) maintained in common informa-
tion systems or databases, where employ-
ees of the financial institution and its affil-
iate have access to those common informa-
tion systems or databases; and 
‘‘(ii) subject to reasonable access con-
trols consistent with whether or not the 
consumer has directed that the consumer’s 
nonpublic personal information not be dis-
closed to affiliates; or 
‘‘(B) a consumer accesses a website jointly 
operated or maintained by or on behalf of the 
financial institution and its affiliate. 
‘‘(2) 
JOINT
OFFERINGS
WITH
A
NON-
AFFILIATED FINANCIAL INSTITUTION.—The prohibi-
tion under subsection (a) shall not apply to the re-
lease of a consumer’s nonpublic personal information 
by a financial institution with whom the consumer 
has a relationship to a nonaffiliated financial institu-
tion for purposes of jointly offering to the consumer 
a financial product or service if the following re-
quirements are met: 
‘‘(A) The financial product or service is a 
product or service of, and is provided by, at 
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least one of the financial institutions that is a 
party to the written agreement described under 
subparagraph (C). 
‘‘(B) The financial product or service is 
jointly offered, endorsed, or sponsored, and 
clearly and conspicuously identifies for the con-
sumer the financial institutions that disclose 
and receive the disclosed nonpublic personal in-
formation. 
‘‘(C) The release of the consumer’s non-
public personal information is made pursuant to 
a written agreement between the financial insti-
tutions and such agreement provides that the 
financial institution that receives the nonpublic 
personal information is required to maintain the 
confidentiality of the information and is prohib-
ited from disclosing or using the information 
other than to carry out the joint offering or 
servicing of the financial product or service that 
is the subject of the written agreement. 
‘‘(D) The consumer has not directed that 
the consumer’s nonpublic personal information 
not be disclosed. 
‘‘(3) INFORMATION SHARING AMONG RELATED 
ENTITIES.— 
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‘‘(A) IN GENERAL.—The prohibition under 
subsection (a) shall not apply to the sharing of 
nonpublic personal information between a finan-
cial institution and its wholly owned financial 
institution subsidiary, among financial institu-
tions that are each wholly owned by the same 
financial institution, among financial institu-
tions that are wholly owned by the same hold-
ing company, or among the insurance and man-
agement entities of a single insurance holding 
company system consisting of one or more re-
ciprocal insurance exchanges which have a sin-
gle corporation or its wholly owned subsidiaries 
providing management services to the reciprocal 
insurance exchanges if the following require-
ments are met: 
‘‘(i) The financial institution dis-
closing the nonpublic personal information 
and the entity receiving it are regulated by 
the same functional regulator. Notwith-
standing the previous sentence, an insurer 
admitted in a State to transact insurance 
and licensed to write insurance policies 
shall be deemed to meet the requirement of 
this clause. 
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‘‘(ii) The financial institution dis-
closing the nonpublic personal information 
and the entity receiving it are both prin-
cipally engaged in the same line of busi-
ness, and such line of business is one, and 
only one, of the following lines of business: 
‘‘(I) Insurance. 
‘‘(II) Banking. 
‘‘(III) Securities. 
‘‘(iii) The financial institution dis-
closing the nonpublic personal information 
and the entity receiving it share a common 
brand, other than a brand consisting solely 
of a graphic element or symbol, within 
their trademark, service mark, or trade 
name, which is used to identify the source 
of the products and services provided. 
‘‘(B) RULES
OF
CONSTRUCTION.—For 
purposes of this paragraph: 
‘‘(i) DETERMINING THE SAME FUNC-
TIONAL
REGULATOR.—In 
determining 
whether two entities are regulated by the 
same functional regulator— 
‘‘(I) entities whose functional 
regulator is the Office of the Comp-
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troller of the Currency, the Board of 
Governors of the Federal Reserve Sys-
tem, the National Credit Union Ad-
ministration, or a State regulator of 
depository 
institutions 
shall 
be 
deemed to be regulated by the same 
functional regulator; and 
‘‘(II) entities whose functional 
regulator is the Securities and Ex-
change 
Commission, 
the 
United 
States Department of Labor, or a 
State securities regulator shall be 
deemed to be regulated by the same 
functional regulator. 
‘‘(ii) WHOLLY OWNED FINANCIAL IN-
STITUTION SUBSIDIARY.—The term ‘wholly 
owned financial institution subsidiary’ in-
cludes a financial institution subsidiary 
wholly owned indirectly in a chain of one 
or more wholly owned financial institution 
subsidiaries. 
‘‘(4) DISCLOSURE TO AFFILIATES PERMITTED 
IN
CERTAIN
CIRCUMSTANCES.—The 
prohibition 
under subsection (a) shall not apply to a financial 
institution providing nonpublic personal information 
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to an affiliate to perform services for or functions on 
behalf of the financial institution, if— 
‘‘(A) the financial institution notifies the 
consumer it is providing such information to 
the affiliate; and 
‘‘(B) the financial institution enters into a 
contract with the affiliate under which the affil-
iate agrees to maintain the confidentiality of 
such information. 
‘‘(5) ADDITIONAL EXCLUSIONS.—The prohibi-
tion under subsection (a) shall not apply to the dis-
closure of nonpublic personal information— 
‘‘(A) as necessary to effect, administer, or 
enforce a transaction— 
‘‘(i) requested or authorized by the 
consumer; or 
‘‘(ii) in connection with— 
‘‘(I) servicing or processing a fi-
nancial product or service requested 
or authorized by the consumer; 
‘‘(II) maintaining or servicing the 
consumer’s account with the financial 
institution, or with another entity as 
part of a private label credit card pro-
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gram or other extension of credit on 
behalf of such entity; or 
‘‘(III) a proposed or actual 
securitization, secondary market sale 
(including sales of servicing rights), or 
similar transaction related to a trans-
action of the consumer; 
‘‘(B) with the express consent or at the di-
rection of the consumer for a specific trans-
action; 
‘‘(C) as reasonably necessary to protect the 
confidentiality or security of the financial insti-
tution’s records pertaining to the consumer, the 
service or product, or the transaction therein; 
‘‘(D) as reasonably necessary to protect 
against or prevent actual or potential fraud, un-
authorized transactions, claims, or other liabil-
ity; 
‘‘(E) as reasonably necessary for required 
institutional risk control; 
‘‘(F) to resolve customer disputes or in-
quiries; 
‘‘(G) to persons holding a legal or bene-
ficial interest relating to the consumer; 
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‘‘(H) to persons acting in a fiduciary or 
representative capacity on behalf of the con-
sumer; 
‘‘(I) as reasonably necessary to provide in-
formation to insurance rate advisory organiza-
tions, guaranty funds or agencies, applicable 
rating agencies of the financial institution, per-
sons assessing the institution’s compliance with 
industry standards, and the institution’s attor-
neys, accountants, and auditors; 
‘‘(J) to the extent specifically required 
under other provisions of law and in accordance 
with the Right to Financial Privacy Act of 
1978, to law enforcement agencies (including a 
Federal functional regulator, the Secretary of 
the Treasury under subchapter II of chapter 53 
of title 31, United States Code, and chapter 2 
of title I of Public Law 91–508 (12 U.S.C. 
1951–1959), a State insurance authority, or the 
Federal Trade Commission), self-regulatory or-
ganizations, or for an investigation on a matter 
related to public safety; 
‘‘(K) to a consumer reporting agency in ac-
cordance with the Fair Credit Reporting Act; 
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‘‘(L) from a consumer report reported by 
a consumer reporting agency; 
‘‘(M) in connection with a proposed or ac-
tual sale, merger, transfer, or exchange of all or 
a portion of a business or operating unit if the 
disclosure of nonpublic personal information 
concerns solely consumers of such business or 
unit; 
‘‘(N) to comply with Federal, State, or 
local laws, rules, or other applicable legal re-
quirements; 
‘‘(O) to comply with a properly authorized 
civil, criminal, or regulatory investigation or 
subpoena or summons by Federal, State, or 
local authorities; or 
‘‘(P) to respond to judicial process or gov-
ernment regulatory authorities having jurisdic-
tion over the financial institution for examina-
tion, compliance, or other purposes as author-
ized by law. 
‘‘(c) CONSTRUCTION.—Nothing in this section shall 
be construed as prohibiting a financial institution from 
disclosing or sharing nonpublic personal information as 
otherwise specifically permitted under this title. 
‘‘(d) NON-DISCRIMINATORY TREATMENT.— 
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‘‘(1) IN GENERAL.—A financial institution shall 
not discriminate against a consumer or deny an oth-
erwise qualified consumer a financial product or 
service or offer a financial product or service on less 
favorable terms and conditions because the con-
sumer has directed that the nonpublic personal in-
formation of the consumer not be disclosed. 
‘‘(2) EXCEPTION.—With respect to a consumer 
who has directed that the nonpublic personal infor-
mation of the consumer not be disclosed— 
‘‘(A) nothing in this section shall prohibit 
a financial institution from denying the con-
sumer a financial product or service if the insti-
tution can not provide such product or service 
to the consumer without making such disclo-
sure; and 
‘‘(B) such institution shall not be required 
to offer a financial product or service to the 
customer if such product or service cannot be 
offered to the consumer without such disclo-
sure. 
‘‘(e) COMPLIANCE WITH SECTION 502 REQUIRE-
MENTS SATISFIES THIS SECTION.—The prohibition under 
subsection (a) shall not apply to disclosures made to an 
affiliate of a financial institution if, with respect to such 
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affiliate, the financial institution has provided the con-
sumer with the notice required under section 502(a) and 
received the express consent described under section 
502(b), to the same extent as would be required for mak-
ing a disclosure to a nonaffiliated third party under that 
section. 
‘‘(f) LIMITS ON REUSE OF INFORMATION.—Except 
as otherwise provided in this subtitle, an affiliate that re-
ceives from a financial institution nonpublic personal in-
formation shall not, directly or through an affiliate, dis-
close such information to any other person that is a non-
affiliated third party of both the financial institution and 
such affiliate, unless such disclosure would be permitted 
if made directly to such person by the financial institu-
tion.’’; 
(3) in section 503— 
(A) by striking subsections (b), (d), and 
(e); 
(B) by redesignating subsection (c) as sub-
section (b); 
(C) in paragraph (1) of subsection (b), as 
so redesignated, by inserting after ‘‘subtitle,’’ 
the following: ‘‘and with respect to disclosing 
nonpublic personal information to affiliates, 
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consistent with section 502A of this subtitle,’’; 
and 
(D) by adding at the end the following new 
subsections: 
‘‘(c) MODEL DISCLOSURE FORM.— 
‘‘(1) IN GENERAL.—The Board of Governors of 
the Federal Reserve System (before the designated 
transfer date) and the Bureau of Consumer Finan-
cial Protection (on and after the designated transfer 
date) shall develop a model disclosure form (herein-
after in this section referred to as the ‘model form’) 
to be used by financial institutions that seek the 
consent of a consumer to disclose nonpublic personal 
information. The model form shall meet all of the 
following requirements: 
‘‘(A) The model form shall have the title 
‘IMPORTANT PRIVACY CHOICES FOR 
CONSUMERS’ and the headers, if applicable, 
shall be as follows: ‘Restrict Information Shar-
ing With Companies We Own Or Control (Af-
filiates)’ and ‘Restrict Information Sharing 
With Other Companies We Do Business With 
To Provide Financial Products And Services’. 
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‘‘(B) The title and headers shall be clearly 
and conspicuously displayed, and no text in the 
form shall be smaller than 10-point type. 
‘‘(C) The model form shall be designed to 
call attention to the nature and significance of 
the information in the form. 
‘‘(D) The model form shall present infor-
mation in clear and concise sentences, para-
graphs, and sections. 
‘‘(E) The model form shall use short ex-
planatory sentences (an average of 15–20 
words) or bullet lists whenever possible. 
‘‘(F) The model form shall avoid multiple 
negatives, legal terminology, and highly tech-
nical terminology whenever possible. 
‘‘(G) The model form shall avoid expla-
nations that are imprecise and readily subject 
to different interpretations. 
‘‘(H) The model form provides wide mar-
gins, ample line spacing, and uses boldface or 
italics for key words. 
‘‘(I) The model form may not be more 
than one page. 
‘‘(J) The model form shall meet minimal 
clarity and readability standards. 
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‘‘(2) SATISFACTION
OF
REQUIREMENTS.—Use 
of the model form shall be presumed to satisfy the 
notice requirements of this section. 
‘‘(3) ALTERNATE FORMS.—If a financial insti-
tution uses a form other than the model form— 
‘‘(A) the financial institution may submit 
that form to the Board of Governors of the 
Federal Reserve System (before the designated 
transfer date) and the Bureau of Consumer Fi-
nancial Protection (on and after the designated 
transfer date) for approval, and that approval 
shall constitute a rebuttable presumption that 
the form complies with this section; and 
‘‘(B) that form shall be filed with the 
Board of Governors of the Federal Reserve Sys-
tem (before the designated transfer date) and 
the Bureau of Consumer Financial Protection 
(on and after the designated transfer date) 
within 30 days after it is first used. 
‘‘(d) ADDITIONAL REQUIREMENTS.— 
‘‘(1) USE OF EXAMPLES AND EXPLANATIONS.— 
A financial institution shall not be in violation of 
this section solely because the institution includes on 
the disclosure form one or more brief examples or 
explanations of the purpose or purposes for, or con-
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text within, which information will be shared, as 
long as those examples meet clarity and readability 
standards established by the Board of Governors of 
the Federal Reserve System. 
‘‘(2) ENVELOPE REQUIREMENTS.—If sent in an 
envelope, the outside of the envelope in which the 
disclosure form is sent to the consumer shall clearly 
state in 16-point boldface type ‘IMPORTANT PRI-
VACY CHOICES’. This requirement shall not apply 
if the form is sent to a consumer in the same enve-
lope as a bill, account statement, or application re-
quested by the consumer. 
‘‘(3) MAILING REQUIREMENTS.—The form may 
be sent in any of the following ways: 
‘‘(A) With a bill, other statement of ac-
count, or application requested by the con-
sumer, in which case the information required 
by this title may also be included in the same 
envelope. 
‘‘(B) As a separate notice or with the in-
formation required by this title, and including 
only information related to privacy. 
‘‘(C) With any other mailing, in which case 
it shall be the first page of the mailing. 
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‘‘(4) 
CONSUMER
DIRECTION
ON
DISCLO-
SURES.—The consumer shall be provided a reason-
able opportunity prior to disclosure of nonpublic per-
sonal information to direct that nonpublic personal 
information not be disclosed. A consumer may direct 
at any time that his or her nonpublic personal infor-
mation not be disclosed. A financial institution shall 
comply with a consumer’s directions concerning the 
sharing of his or her nonpublic personal information 
within 45 days of receipt by the financial institution. 
When a consumer directs that nonpublic personal in-
formation not be disclosed, that direction is in effect 
until otherwise stated by the consumer. A financial 
institution that has not provided a consumer with 
annual notice pursuant to this section shall provide 
the consumer with a form that meets the require-
ments of this section, and shall allow 45 days to 
lapse from the date of providing the form in person 
or the postmark or other postal verification of mail-
ing before disclosing nonpublic personal information 
pertaining to the consumer. 
‘‘(5) NON-CONTINUING RELATIONSHIP.—If a fi-
nancial institution does not have a continuing rela-
tionship with a consumer other than the initial 
transaction in which the product or service is pro-
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vided, no annual disclosure requirement exists pur-
suant to this section as long as the financial institu-
tion provides the consumer with the form required 
by this section at the time of the initial transaction. 
‘‘(6) RESPONSE ALTERNATIVES.— 
‘‘(A) IN GENERAL.—A financial institution 
shall include a self-addressed return envelope 
with the notice required under subsection (a) 
and a financial institution with assets of more 
than $25,000,000 shall— 
‘‘(i) additionally provide such envelope 
stamped with first class business reply 
postage; or 
‘‘(ii) provide two alternative cost-free 
means for consumers to communicate their 
privacy choices, such as calling a toll-free 
number, sending a facsimile to a toll-free 
telephone number, or using electronic 
means. 
‘‘(B) CONTACT INFORMATION.—A financial 
institution shall clearly and conspicuously dis-
close in the disclosure required by this section 
the information necessary to direct the con-
sumer on how to communicate his or her 
choices, including the toll-free or facsimile num-
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ber or website address that may be used, if 
those means of communication are offered by 
the financial institution. 
‘‘(7) JOINT DISCLOSURES.—A financial institu-
tion may provide a joint disclosure from it and one 
or more of its affiliates or other financial institu-
tions, as identified in the disclosure, so long as the 
disclosure is accurate with respect to the financial 
institution and the affiliates and other financial in-
stitutions. 
‘‘(8) RULE
OF
CONSTRUCTION.—Nothing in 
this section may be construed as prohibiting a finan-
cial institution from marketing its own products and 
services or the products and services of affiliates or 
nonaffiliated third parties to customers of the finan-
cial institution as long as— 
‘‘(A) nonpublic personal information is not 
disclosed in connection with the delivery of the 
applicable marketing materials to those cus-
tomers, except as permitted under section 502; 
and 
‘‘(B) in the case in which the applicable 
nonaffiliated third party may extrapolate non-
public personal information about the consumer 
responding to those marketing materials, the 
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applicable nonaffiliated third party has signed a 
contract with the financial institution under the 
terms of which— 
‘‘(i) the nonaffiliated third party is 
prohibited from using that information for 
any purpose other than the purpose for 
which it was provided, as set forth in the 
contract; and 
‘‘(ii) the financial institution has the 
right by audit, inspections, or other means 
to verify the nonaffiliated third party’s 
compliance with that contract. 
‘‘(9) TREATMENT OF MEMBERS OF A SINGLE 
HOUSEHOLD.—A notice provided to a member of a 
household shall be considered notice to all members 
of that household unless that household contains an-
other individual who also has a separate account 
with the financial institution. 
‘‘(10) ELECTRONIC DISCLOSURE.— 
‘‘(A) IN GENERAL.—Notwithstanding sub-
section (a), the disclosure required under that 
subsection may only be made in electronic form 
if the following requirements are met: 
‘‘(i) The disclosure, and the manner 
in which the consent for electronic disclo-
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sures is obtained, meets all of the require-
ments for disclosures that are required by 
law to be in writing, as set forth in section 
101 of the Electronic Signatures in Global 
and National Commerce Act. 
‘‘(ii) All other requirements applicable 
to the disclosure, as set forth in this sub-
title, are met, including requirements con-
cerning content, timing, form, and delivery. 
‘‘(iii) The disclosure is delivered to the 
consumer in a form the consumer may 
keep and print. 
‘‘(B) NO ENVELOPE REQUIRED.—An elec-
tronic notice sent pursuant to this section is not 
required to include a return envelope. 
‘‘(C) ELECTRONIC REPLY.—Any electronic 
consumer reply to an electronic disclosure sent 
pursuant to this subtitle is effective. A person 
that electronically sends a disclosure required 
by this subtitle to a consumer may not by con-
tract, or otherwise, eliminate the effectiveness 
of the consumer’s electronic reply. 
‘‘(D) EFFECT
ON
ELECTRONIC
SIGNA-
TURES IN GLOBAL AND NATIONAL COMMERCE 
ACT.—This subtitle modifies the provisions of 
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section 101 of the Electronic Signatures in 
Global and National Commerce Act. However, 
it does not modify, limit, or supersede the pro-
visions of subsection (c), (d), (e), (f), or (h) of 
section 101 of the Electronic Signatures in 
Global and National Commerce Act, nor does it 
authorize electronic delivery of any disclosure of 
the type described in subsection (b) of section 
103 of such Act. 
‘‘(11) AFFINITY PARTNERS.— 
‘‘(A) AFFINITY CARDS.—When a financial 
institution and an organization or business enti-
ty that is not a financial institution (hereinafter 
in this paragraph referred to as an ‘affinity 
partner’) has an agreement to issue a credit 
card in the name of the affinity partner (herein-
after in this paragraph referred to as an ‘affin-
ity card’), the financial institution may only dis-
close to the affinity partner in whose name the 
card is issued the following information per-
taining to the financial institution’s customers 
who are in receipt of the affinity card: 
‘‘(i) The name, address, telephone 
number, and electronic mail address of the 
customers. 
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‘‘(ii) The record of purchases made 
using the affinity card in a business estab-
lishment, including a website, bearing the 
brand name of the affinity partner. 
‘‘(B) AFFINITY
FINANCIAL
PRODUCT
OR 
SERVICE.—When a financial institution and an 
affinity partner have an agreement to issue a fi-
nancial product or service, other than a credit 
card, on behalf of the affinity partner (herein-
after in this paragraph referred to as an ‘affin-
ity financial product or service’), the financial 
institution may only disclose to the affinity 
partner the name, address, telephone number, 
and electronic mail address of the financial in-
stitution’s customers who obtained the affinity 
financial product or service. 
‘‘(C) ADDITIONAL
REQUIREMENTS.—The 
disclosures permitted under subparagraphs (A) 
and (B) may only be made if all of the following 
requirements are met: 
‘‘(i) The financial institution has pro-
vided the consumer a notice meeting the 
requirements of subsection (a), and the 
consumer has not directed that the con-
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sumer’s nonpublic personal information not 
be disclosed. 
‘‘(ii) The financial institution has a 
contractual agreement with the affinity 
partner that requires the affinity partner 
to maintain the confidentiality of the non-
public personal information and prohibits 
affinity partners from using the informa-
tion for any purpose other than verifying 
membership, verifying the consumer’s con-
tact information, or offering the affinity 
partner’s own products or services to the 
consumer. 
‘‘(iii) The customer list is not dis-
closed in any way that reveals or permits 
extrapolation of any additional nonpublic 
personal information about any customer 
on the list. 
‘‘(D) ELECTRONIC MAIL NOTICES.—If an 
affinity partner sends any message to any elec-
tronic mail addresses obtained from a financial 
institution, the message shall include the fol-
lowing: 
‘‘(i) The identity of the sender of the 
message. 
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‘‘(ii) The identity of the entity that 
provided the electronic mail address to the 
affinity partner. 
‘‘(iii) A cost-free means for the recipi-
ent to notify the sender not to electroni-
cally mail any further message to the re-
cipient. 
‘‘(E) EXCEPTION.—This paragraph shall 
not apply to credit cards issued— 
‘‘(i) in the name of an entity primarily 
engaged in retail sales; or 
‘‘(ii) in a name proprietary to an enti-
ty primarily engaged in retail sales. 
‘‘(e) ANNUALLY DEFINED.—For purposes of this sec-
tion and with respect to a relationship between a financial 
institution and a consumer, the term ‘annually’ means at 
least once in any period of 12 consecutive months during 
which that relationship exists. The financial institution 
may define the 12-consecutive-month period, but shall 
apply it to the consumer on a consistent basis. 
‘‘(f) NON-APPLICABILITY OF WRITTEN NOTICE IN 
CERTAIN CIRCUMSTANCES.—Nothing in this subtitle shall 
be construed as requiring a financial institution to provide 
a written notice to a consumer pursuant to section 502 
or 502A if the financial institution does not disclose non-
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public personal information to any nonaffiliated third 
party or to any affiliate, except as allowed in this sub-
title.’’; 
(4) by amending section 504 to read as follows: 
‘‘SEC. 504. RULEMAKING. 
‘‘Such regulations as may be necessary to carry out 
the purposes of this subtitle shall be prescribed— 
‘‘(1) before the designated transfer date, by 
each of the Federal banking agencies, the National 
Credit Union Administration, the Secretary of the 
Treasury, the Securities and Exchange Commission, 
and the Federal Trade Commission, after consulta-
tion as appropriate with representatives of State in-
surance authorities designated by the National Asso-
ciation of Insurance Commissioners; and 
‘‘(2) on and after the designated transfer date, 
by the Bureau of Consumer Financial Protection.’’; 
(5) in section 505— 
(A) by redesignating subsections (b), (c), 
and (d) as subsections (c), (d), and (e), respec-
tively; 
(B) by inserting after subsection (a) the 
following new subsection: 
‘‘(b) TRANSFER OF RESPONSIBILITY TO THE BU-
REAU OF CONSUMER FINANCIAL PROTECTION.—Notwith-
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standing subsection (a), on the designated transfer date, 
the enforcement powers of the Federal functional regu-
lators under this subtitle shall be transferred to the Bu-
reau of Consumer Financial Protection.’’; and 
(C) in subsection (c)(1), as redesignated, 
by striking ‘‘, to the extent practicable, as 
standards prescribed pursuant to section 39(a) 
of the Federal Deposit Insurance Act are imple-
mented pursuant to such section’’; 
(6) in section 509, by adding at the end the fol-
lowing new paragraph: 
‘‘(12) DESIGNATED
TRANSFER
DATE.—The 
term ‘designated transfer date’ shall have the mean-
ing given such term under section 1062 of the Con-
sumer Financial Protection Act of 2010.’’; and 
(7) in the table of contents, by striking the item 
relating to section 502 and inserting the following 
new items: 
‘‘Sec. 502. Obligations with respect to disclosures of personal information to 
nonaffiliated third parties. 
‘‘Sec. 502A. Obligations with respect to disclosures of personal information to 
affiliates.’’. 
(b) EFFECTIVE DATE.—This Act, and the amend-
ments made by this Act, shall take effect on January 1, 
2012. 
Æ 
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