Consumer complaint received 2024-01-16 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Improper use of your report — Reporting company used your report improperly
Company: NAVY FEDERAL CREDIT UNION
State: CA

Complaint narrative:
XXXX and Navy Federal have violated my privacy by sharing my private/ non public personal information without my consent and have not disclosed how I can exercise a non disclosure option per 15 USC 1681. Chase and Navy Federal have stated they do not share with non affiliates, however, my information has been given directly to XXXX XXXX XXXX without my consent. XXXX and Navy federal have stated they do not share with third parties, however, early warning services is a third party.

Under the Privacy act of 1974, I have the right to be protected against unwarranted invasion of their privacy resulting from the collection, maintenance, use, and disclosure of their personal information.

15 U.S. Code 1681- Congressional findings and statement of purpose ( a ) Accuracy and fairness of credit reporting The Congress makes the following findings : ( 1 ) The banking system is dependent upon fair and accurate credit reporting. Inaccurate credit reports directly impair the efficiency of the banking system, and unfair credit reporting methods undermine the public confidence which is essential to the continued functioning of the banking system.

( 2 ) An elaborate mechanism has been developed for investigating and evaluating the credit worthiness, credit standing, credit capacity, character, and general reputation of consumers.

( 3 ) Consumer reporting agencies have assumed a vital role in assembling and evaluating consumer credit and other information on consumers.

( 4 ) There is a need to insure that consumer reporting agencies exercise their grave responsibilities with fairness, impartiality, and a respect for the consumers right to privacy.

( b ) Reasonable procedures It is the purpose of this subchapter to require that consumer reporting agencies adopt reasonable procedures for meeting the needs of commerce for consumer credit, personnel, insurance, and other information in a manner which is fair and equitable to the consumer, with regard to the confidentiality, accuracy, relevancy, and proper utilization of such information in accordance with the requirements of this subchapter.

( Pub. L. 90321, title VI, 602, as added Pub. L. 91508, title VI, 601, Oct. 26, 1970, 84 Stat. 1128. ) 15 U.S. Code 6802 - Obligations with respect to disclosures of personal information ( a ) Notice requirements Except as otherwise provided in this subchapter, 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 6803 of this title.

( b ) Opt out ( 1 ) In general A financial institution may not disclose nonpublic personal information to a nonaffiliated third party unless ( A ) such financial institution clearly and conspicuously discloses to the consumer, in writing or in electronic form or other form permitted by the regulations prescribed under section 6804 of this title, that such information may be disclosed to such third party ; ( B ) the consumer is given the opportunity, before the time that such information is initially disclosed, to direct that such information not be disclosed to such third party ; and ( C ) the consumer is given an explanation of how the consumer can exercise that nondisclosure option. 
( 2 ) Exception This subsection shall not prevent a financial institution from providing nonpublic personal information to a nonaffiliated third party to perform services for or functions on behalf of the financial institution, including marketing of the financial institutions own products or services, or financial products or services offered pursuant to joint agreements between two or more financial institutions that comply with the requirements imposed by the regulations prescribed under section 6804 of this title, if the financial institution fully discloses the providing of such information and enters into a contractual agreement with the third party that requires the third party to maintain the confidentiality of such information. 

( c ) Limits on reuse of information Except as otherwise provided in this subchapter, a nonaffiliated third party that receives from a financial institution nonpublic personal information under this section shall not, directly or through an affiliate of such receiving third party, disclose such information to any other person that is a nonaffiliated third party of both the financial institution and such receiving third party, unless such disclosure would be lawful if made directly to such other person by the financial institution. 

( d ) Limitations on the sharing of account number information for marketing purposes A financial institution shall not disclose, other than to a consumer reporting agency, an account number or similar form of access number or access code for a credit card account, deposit account, or transaction account of a consumer to any nonaffiliated third party for use in telemarketing, direct mail marketing, or other marketing through electronic mail to the consumer.

( e ) General exceptions Subsections ( a ) and ( b ) shall not prohibit the disclosure of nonpublic personal information ( 1 ) as necessary to effect, administer, or enforce a transaction requested or authorized by the consumer, or in connection with ( A ) servicing or processing a financial product or service requested or authorized by the consumer ; ( B ) maintaining or servicing the consumers account with the financial institution, or with another entity as part of a private label credit card program or other extension of credit on behalf of such entity ; or ( C ) a proposed or actual securitization, secondary market sale ( including sales of servicing rights ), or similar transaction related to a transaction of the consumer ; ( 2 ) with the consent or at the direction of the consumer ; ( 3 ) ( A ) to protect the confidentiality or security of the financial institutions records pertaining to the consumer, the service or product, or the transaction therein ; ( B ) to protect against or prevent actual or potential fraud, unauthorized transactions, claims, or other liability ; ( C ) for required institutional risk control, or for resolving customer disputes or inquiries ; ( D ) to persons holding a legal or beneficial interest relating to the consumer ; or ( E ) to persons acting in a fiduciary or representative capacity on behalf of the consumer ; ( 4 ) to provide information to insurance rate advisory organizations, guaranty funds or agencies, applicable rating agencies of the financial institution, persons assessing the institutions compliance with industry standards, and the institutions attorneys, accountants, and auditors ; ( 5 ) to the extent specifically permitted or required under other provisions of law and in accordance with the Right to Financial Privacy Act of 1978 [ 12 U.S.C. 3401 et seq. ], to law enforcement agencies ( including the Bureau of Consumer Financial Protection [ 1 ] a Federal functional regulator, the Secretary of the Treasury with respect to subchapter II of chapter 53 of title 31, and chapter 2 of title I of Public Law 91508 ( 12 U.S.C. 19511959 ), a State insurance authority, or the Federal Trade Commission ), self-regulatory organizations, or for an investigation on a matter related to public safety ; ( 6 ) ( A ) to a consumer reporting agency in accordance with the Fair Credit Reporting Act [ 15 U.S.C. 1681 et seq. ], or ( B ) from a consumer report reported by a consumer reporting agency ; ( 7 ) in connection with a proposed or actual 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; or ( 8 ) to comply with Federal, State, or local laws, rules, and other applicable legal requirements ; to comply with a properly authorized civil, criminal, or regulatory investigation or subpoena or summons by Federal, State, or local authorities ; or to respond to judicial process or government regulatory authorities having jurisdiction over the financial institution for examination, compliance, or other purposes as authorized by law.

( Pub. L. 106102, title V, 502, Nov. 12, 1999, 113 Stat. 1437 ; Pub. L. 111203, title X, 1093 ( 2 ), July 21, 2010, 124 Stat. 2095. ) 15 USC 6803. Disclosure of institution privacy policy ( a ) Disclosure required At the time of establishing a customer relationship with a consumer and not less than annually during the continuation of such relationship, a financial institution shall provide a clear and conspicuous disclosure to such consumer, in writing or in electronic form or other form permitted by the regulations prescribed under section 6804 of this title, of such financial institution 's policies and practices with respect to- ( 1 ) disclosing nonpublic personal information to affiliates and nonaffiliated third parties, consistent with section 6802 of this title, including the categories of information that may be disclosed ; ( 2 ) disclosing nonpublic personal information of persons who have ceased to be customers of the financial institution; and ( 3 ) protecting the nonpublic personal information of consumers.

Such disclosures shall be made in accordance with the regulations prescribed under section 6804 of this title.

( b ) Information to be included The disclosure required by subsection ( a ) of this section shall include- ( 1 ) the policies and practices of the institution with respect to disclosing nonpublic personal information to nonaffiliated third parties, other than agents of the institution, consistent with section 6802 of this title, and including- ( A ) the categories of persons to whom the information is or may be disclosed, other than the persons to whom the information may be provided pursuant to section 6802 ( e ) of this title ; and ( B ) the policies and practices of the institution with respect to disclosing of nonpublic personal information of persons who have ceased to be customers of the financial institution ; ( 2 ) the categories of nonpublic personal information that are collected by the financial institution ; ( 3 ) the policies that the institution maintains to protect the confidentiality and security of nonpublic personal information in accordance with section 6801 of this title ; and ( 4 ) the disclosures required, if any, under section 1681a ( d ) ( 2 ) ( A ) ( iii ) of this title.

( Pub. L. 106102, title V, 503, Nov. 12, 1999, 113 Stat. 1439. ) 15 USC 6804. Rulemaking ( a ) Regulatory authority ( 1 ) Rulemaking The Federal banking agencies, the National Credit Union Administration, the Secretary of the Treasury, the Securities and Exchange Commission, and the Federal Trade Commission shall each prescribe, after consultation as appropriate with representatives of State insurance authorities designated by the National Association of Insurance Commissioners, such regulations as may be necessary to carry out the purposes of this subchapter with respect to the financial institutions subject to their jurisdiction under section 6805 of this title. 

( 2 ) Coordination, consistency, and comparability Each of the agencies and authorities required under paragraph ( 1 ) to prescribe regulations shall consult and coordinate with the other such agencies and authorities for the purposes of assuring, to the extent possible, that the regulations prescribed by each such agency and authority are consistent and comparable with the regulations prescribed by the other such agencies and authorities.

( 3 ) Procedures and deadline Such regulations shall be prescribed in accordance with applicable requirements of title 5 and shall be issued in final form not later than 6 months after November 12, 1999.

( b ) Authority to grant exceptions The regulations prescribed under subsection ( a ) of this section may include such additional exceptions to subsections ( a ) through ( d ) of section 6802 of this title as are deemed consistent with the purposes of this subchapter.

( Pub. L. 106102, title V, 504, Nov. 12, 1999, 113 Stat. 1439. ) 15 U.S. Code 6805 - Enforcement ( a ) In general Subject to subtitle B of the Consumer Financial Protection Act of 2010 [ 12 U.S.C. 5511 et seq. ], this subchapter and the regulations prescribed thereunder shall be enforced by the Bureau of Consumer Financial Protection, the Federal functional regulators, the State insurance authorities, and the Federal Trade Commission with respect to financial institutions and other persons subject to their jurisdiction under applicable law, as follows : ( 1 ) Under section 1818 of title 12, by the appropriate Federal banking agency, as defined in section 1813 ( q ) of title 12, in the case of ( A ) national banks, Federal branches and Federal agencies of foreign banks, and any subsidiaries of such entities ( except brokers, dealers, persons providing insurance, investment companies, and investment advisers ) ; ( B ) member banks of the Federal Reserve System ( other than national banks ), branches and agencies of foreign banks ( other than Federal branches, Federal agencies, and insured State branches of foreign banks ), commercial lending companies owned or controlled by foreign banks, organizations operating under section 25 or 25A of the Federal Reserve Act [ 12 U.S.C. 601 et seq., 611 et seq. ], and bank holding companies and their nonbank subsidiaries or affiliates ( except brokers, dealers, persons providing insurance, investment companies, and investment advisers ) ; ( C ) banks insured by the Federal Deposit Insurance Corporation ( other than members of the Federal Reserve System ), insured State branches of foreign banks, and any subsidiaries of such entities ( except brokers, dealers, persons providing insurance, investment companies, and investment advisers ) ; and ( D ) savings associations the deposits of which are insured by the Federal Deposit Insurance Corporation, and any subsidiaries of such savings associations ( except brokers, dealers, persons providing insurance, investment companies, and investment advisers ).

( 2 ) Under the Federal Credit Union Act [ 12 U.S.C. 1751 et seq. ], by the Board of the National Credit Union Administration with respect to any federally insured credit union, and any subsidiaries of such an entity.

( 3 ) Under the Securities Exchange Act of 1934 [ 15 U.S.C. 78a et seq. ], by the Securities and Exchange Commission with respect to any broker or dealer.

( 4 ) Under the Investment Company Act of 1940 [ 15 U.S.C. 80a1 et seq. ], by the Securities and Exchange Commission with respect to investment companies.

( 5 ) Under the Investment Advisers Act of 1940 [ 15 U.S.C. 80b1 et seq. ], by the Securities and Exchange Commission with respect to investment advisers registered with the Commission under such Act.

( 6 ) Under State insurance law, in the case of any person engaged in providing insurance, by the applicable State insurance authority of the State in which the person is domiciled, subject to section 6701 of this title.

( 7 ) Under the Federal Trade Commission Act [ 15 U.S.C. 41 et seq. ], by the Federal Trade Commission for any other financial institution or other person that is not subject to the jurisdiction of any agency or authority under paragraphs ( 1 ) through ( 6 ) of this subsection.

( 8 ) Under subtitle E of the Consumer Financial Protection Act of 2010 [ 12 U.S.C. 5561 et seq. ], by the Bureau of Consumer Financial Protection, in the case of any financial institution and other covered person or service provider that is subject to the jurisdiction of the Bureau and any person subject to this subchapter, but not with respect to the standards under section 6801 of this title.

( b ) Enforcement of section 6801 ( 1 ) In general Except as provided in paragraph ( 2 ), the agencies and authorities described in subsection ( a ), other than the Bureau of Consumer Financial Protection, shall implement the standards prescribed under section 6801 ( b ) of this title in the same manner, to the extent practicable, as standards prescribed pursuant to section 1831p1 ( a ) of title 12 are implemented pursuant to such section.

( 2 ) Exception The agencies and authorities described in paragraphs ( 3 ), ( 4 ), ( 5 ), ( 6 ), and ( 7 ) of subsection ( a ) shall implement the standards prescribed under section 6801 ( b ) of this title by rule with respect to the financial institutions and other persons subject to their respective jurisdictions under subsection ( a ).

( c ) Absence of State action If a State insurance authority fails to adopt regulations to carry out this subchapter, such State shall not be eligible to override, pursuant to section 1831x ( g ) ( 2 ) ( B ) ( iii ) of title 12, the insurance customer protection regulations prescribed by a Federal banking agency under section 1831x ( a ) of title 12.

( d ) Definitions The terms used in subsection ( a ) ( 1 ) that are not defined in this subchapter or otherwise defined in section 1813 ( s ) of title 12 shall have the same meaning as given in section 3101 of title 12.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation