[Federal Register Volume 81, Number 127 (Friday, July 1, 2016)]
[Notices]
[Pages 43264-43265]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-15651]


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NATIONAL CREDIT UNION ADMINISTRATION


Agency Information Collection Activities: Privacy of Consumer 
Financial Information Recordkeeping and Disclosure Requirements Under 
Gramm-Leach-Bliley Act and Regulation P, Comment Request

AGENCY: National Credit Union Administration (NCUA).

ACTION: Notice and request for comment.

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SUMMARY: NCUA, as part of its continuing effort to reduce paperwork and 
respondent burden, invites the general public and other Federal 
agencies to comment on the submission for reinstatement of a previously 
approved collection, as required by the Paperwork Reduction Act of 1995 
(Pub.

[[Page 43265]]

L. 104-13, 44 U.S.C. Chapter 35). NCUA is soliciting comment on the 
reinstatement of the information collection described below.

DATES: Comments should be received on or before August 30, 2016 to be 
assured consideration.

ADDRESSES: Interested persons are invited to submit written comments on 
the information collection to Troy Hillier, National Credit Union 
Administration, 1775 Duke Street, Alexandria, Virginia 22314-3428; Fax 
No. 703-837-2861; or Email at [email protected].

FOR FURTHER INFORMATION CONTACT: Requests for additional information 
should be directed to the address above.

SUPPLEMENTARY INFORMATION: 

I. Abstract and Request for Comments

    Title V, Subtitle A of the Gramm-Leach-Bliley Act (Act), Public Law 
106-102, governs the treatment of nonpublic personal information about 
consumers by financial institutions. Section 502 of the Act, subject to 
certain exceptions, prohibits a financial institution from disclosing 
nonpublic personal information about a consumer to nonaffiliated third 
parties, unless the institution satisfies various notice and opt-out 
requirements, and provided the consumer has not elected to opt out of 
the disclosure. Section 503 of the Act requires a financial institution 
to provide notice of its privacy policies and practices to its 
customers. Section 504 of the Act granted rulemaking authority for the 
privacy provisions of the Act to be shared by eight Federal agencies: 
The Board of Governors of the Federal Reserve System (FRB), the Federal 
Deposit Insurance Corporation (FDIC), the Office of the Comptroller of 
the Currency (OCC), the Office of Thrift Supervision (OTS), the 
National Credit Union Administration (NCUA), the Federal Trade 
Commission (FTC), the Securities and Exchange Commission (SEC), and the 
Commodity Futures Trading Commission (CFTC). Each of the agencies 
issued rules (which were consistent and comparable) to implement the 
Act's privacy provisions.\1\
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    \1\ 12 CFR 216 (FRB); 12 CFR 332 (FDIC); 12 CFR 40 (OCC); 12 CFR 
716 and 741.220 (NCUA); 16 CFR 313 (FTC); 17 CFR 248 (SEC); 17 CFR 
160 (CFTC).
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    The Dodd-Frank Wall Street Reform and Consumer Protection Act (DFA) 
amended a number of consumer financial protection laws, including the 
Act. Among other changes, the DFA transferred rulemaking authority for 
most of Subtitle A of Title V of the Act, with respect to financial 
institutions described in section 504(a)(1)(A) of the Act, from FRB, 
FDIC, OCC, OTS, and NCUA to the Consumer Financial Protection Bureau 
(CFPB). Pursuant to the DFA and the Act, as amended, the CFPB 
promulgated Regulation P, 12 CFR 1016, to implement those privacy 
provisions of the Act for which CFPB has rulemaking authority.
    Regulation P implements the requirements of the Act to provide 
consumers with financial institutions' privacy policies and practices, 
as well as describes when the consumer's information may be shared with 
nonaffiliated third parties, and provides a method for consumers to 
prevent disclosure of their information to nonaffiliated third parties 
by opting out of that disclosure. Regulation P details the specifics of 
how the Act should be implemented, which companies and situations this 
applies to, and the method of delivering the information to consumers.
    Regulation P includes model forms that can be used to comply with 
the disclosure requirements of the Act and Regulation P, although the 
use of the model forms is not required. See Appendix to Regulation P.
    The collection of information pursuant to covers the development of 
privacy policies by the financial institutions and the dissemination of 
those policies to their customers upon starting a customer 
relationship, annually for existing customers, and in the event of any 
covered changes to the privacy policy. This collection also accounts 
for the burden to customers who choose to exercise their opt-out rights 
to prevent disclosure of financial information to nonaffiliated 
parties.
    Comments submitted in response to this notice will be summarized 
and included in the request for Office of Management and Budget 
approval. All comments will become a matter of public record. The 
public is invited to submit comments concerning: (a) Whether the 
collection of information is necessary for the proper performance of 
the function of the agency, including whether the information will have 
practical utility; (b) the accuracy of the agency's estimate of the 
burden of the collection of information, including the validity of the 
methodology and assumptions used; (c) ways to enhance the quality, 
utility, and clarity of the information to be collected; and (d) ways 
to minimize the burden of the collection of the information on the 
respondents, including the use of automated collection techniques or 
other forms of information technology.

II. Data

    Title: Privacy of Consumer Financial Information Recordkeeping and 
Disclosure Requirements Under the Gramm-Leach-Bliley Act and Regulation 
P, 12 CFR 1016.
    OMB Number: 3133-0163.
    Type of Review: Reinstatement with change of a previously approved 
collection.
    Description: Regulation P (12 CFR 1016) requires credit unions to 
disclose its privacy policies to customers as well as offer customers a 
reasonable opportunity to opt out--in whole or in part--of those 
policies to further restrict the release of their personal financial 
information to nonaffiliated third parties. Credit unions are required 
to provide an initial privacy notice to customers that is clear and 
conspicuous, an annual notice of the privacy policies and practices of 
the institution, a revised notice to customers if triggered by specific 
changes to the existing policy, and a notice of the right of the 
customer to opt out of the institution's information sharing practices. 
Consumers who choose to exercise their opt-out right document this 
choice by returning an opt-out form or other permissible method.
    Respondents: Federally-insured credit unions and any credit union 
member who chooses to exercise opt-out rights.
    Estimated Number of Respondents: Federally-insured credit unions: 
Initial notice, 73; annual and revised notices, 5,954; opt-out notice, 
5,954. Members who opt-out, 1,140,000.
    Frequency of Response: Annually for most credit unions for both 
annual notice and annual notification of opt-out rights. Once for 
credit union members choosing to opt-out.
    Estimated Burden Hours per Response: Federally-insured credit 
unions: Initial notice, 80 hours; annual and revised notice, 8 hours; 
opt-out notice, 8 hours. Members who opt-out, 15 minutes.
    Estimated Total Annual Burden Hours: 386,104.

    By Gerard Poliquin, Secretary of the Board, the National Credit 
Union Administration, on June 22, 2016.

    Dated: June 28, 2016.
Troy S. Hillier,
NCUA PRA Clearance Officer.
[FR Doc. 2016-15651 Filed 6-30-16; 8:45 am]
 BILLING CODE 7535-01-P