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Can I collect financial information from participants in Vermont? What are the requirements?

To collect financial information from participants in Vermont, you must comply with the Vermont Consumer Protection Rule (VTCR) 21-030-004 and VTCR 21-020-053.

Under VTCR 21-030-004 § 5, you must provide an initial notice to the consumer that explains the types of nonpublic personal financial information you collect, the types of third parties you disclose it to, and the consumer’s right to opt-out of such disclosures.

Under VTCR 21-030-004 § 8, you must provide an opt-in notice to the consumer before disclosing nonpublic personal financial information to nonaffiliated third parties, unless an exception applies.

Under VTCR 21-030-004 § 11, you may not disclose nonpublic personal financial information to nonaffiliated third parties unless you have provided the consumer with an initial notice, an opt-in notice, and the consumer has authorized the disclosure in writing or electronically.

However, there are exceptions to the opt-in requirements under VTCR 21-030-004 § 16. For example, you may disclose nonpublic personal financial information with the consent or at the direction of the consumer, to protect against fraud or unauthorized transactions, or to comply with legal requirements.

Additionally, VTCR 21-010-016 § 11 states that a financial institution may not disclose any nonpublic personal financial information about a consumer to a nonaffiliated third party unless the financial institution has provided the consumer with an initial notice, an opt-in notice, and the consumer has authorized the disclosure in writing or electronically.

Therefore, to collect financial information from participants in Vermont, you must provide an initial notice and an opt-in notice, unless an exception applies. You may not disclose nonpublic personal financial information to nonaffiliated third parties unless the consumer has authorized the disclosure in writing or electronically.

Please note that there are also limits on the redisclosure and reuse of nonpublic personal financial information under VTCR 21-010-016 § 12. It is recommended that you consult with a legal professional for specific guidance on these requirements.

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Source(s):
Jurisdiction

Vermont