DFS’s cybersecurity legislation calls for banking institutions, insurance vendors, as well as other economic solutions organizations managed by DFS to possess a cybersecurity program built to protect consumers’ personal information; a written policy or policies which can be approved because of the board or even an officer that is senior a Chief Suggestions protection Officer to help protect information and systems; and controls and plans in position to aid make sure the security and soundness of brand new York’s monetary solutions industry.
A duplicate of this guidance can for depository and nondepository organizations can be located right here.
A duplicate for the guidance for insurance coverage organizations can here be found.
news release – 18, 2017: Governor Cuomo Announces New Actions to Protect New Yorkers’ Personal Information in Wake of Equifax Security Breach september
September 18, 2017
Contact: Richard Loconte, 212-709-1691
Proposed Regulation Needs Credit History Agencies to Conform To New York’s First-in-the-Nation Cybersecurity Regulation
Regulation Would supply the DFS Oversight of Credit Reporting Agencies when it comes to Time that is first Ever
DFS Superintendent May Deny or Revoke Agencies’ Authorization to Do company with ny’s Regulated Financial Institutions and people
View Proposed Regulation Right Right Here
In reaction into the cyberattack that is recent exposed the private private information of almost 150 million customers nationwide, Governor Andrew M. Cuomo today directed the Department of Financial solutions to issue brand new legislation making credit rating agencies to join up with nyc the very first time and adhere to this state’s first-in-the-nation cybersecurity standard.
The yearly reporting obligation also offers the DFS Superintendent using the authority to reject and possibly revoke a credit rating reporting agency’s authorization to complete company with nyc’s regulated finance institutions and consumers in the event that agency is located to be away from conformity with particular prohibited practices, including participating in unjust, misleading or predatory techniques.
“an individual’s credit rating impacts nearly all section of their everyday lives and we’ll perhaps perhaps perhaps not stay idle by while New Yorkers remain unprotected from cyberattacks as a result of security that is lax” Governor Cuomo stated. “Oversight of credit scoring agencies can help make sure personal information is less susceptible to cyberattacks as well as other nefarious functions in this quickly changing world that is digital. The Equifax breach was a wakeup call along with the bar is being raised by this action New York for customer protections we wish will likely be replicated throughout the country.”
Beneath the proposed legislation, all customer credit scoring agencies that run in nyc must register yearly with DFS beginning on or before February 1, 2018 and also by February 1 of each and every successive 12 months for the twelve months thereafter. The enrollment kind must consist of a company’s officers or directors that will lead to conformity aided by the services that are financial banking, and insurance coverage laws and regulations, and regulations.
“the information breach at Equifax demonstrates the requirement of strong state legislation like ny’s first-in-the-nation cybersecurity actions,” said Financial Services Superintendent Maria T. Vullo. “this might be one necessary action of a payday loan bad credit Mississippi few that DFS will require to guard ny’s areas, customers and delicate information from crooks.”
The DFS Superintendent may will not restore a credit rating reporting agency’s enrollment in the event that Superintendent discovers that the applicant or any member, principal, officer or director associated with the applicant, just isn’t trustworthy and competent to do something as or perhaps in experience of a credit rating reporting agency, or that the agency has given cause for revocation or suspension system of these enrollment, or has neglected to conform to any standard that is minimum.
The proposed legislation also subjects consumer reporting agencies to exams by DFS as frequently since the Superintendent determines is important, and forbids agencies through the after:
- Straight or indirectly using any scheme, artifice or device to defraud or mislead a customer.
- Doing any unjust, misleading or act that is predatory practice toward any consumer or misrepresent or omit any product information associated with the installation, assessment, or upkeep of a credit file for a customer based in brand New York State.
- Doing any unjust, misleading, or abusive act or training in violation of part 1036 for the Dodd-Frank Wall Street Reform and customer Protection Act.
- Including inaccurate information in any customer report concerning a customer positioned in brand brand New York State.
- Refusing to talk to a certified agent of the customer positioned in New York State who provides a written authorization finalized by the customer, so long as the buyer credit agency that is reporting follow procedures fairly associated with verifying that the agent is actually authorized to do something with respect to the customer.
- Making any false declaration or make any omission of a product reality associated with any information or reports filed with a government agency or perhaps in experience of any research conducted by the superintendent or another government agency.
In addition, every credit scoring agency must adhere to the Department’s cybersecurity legislation, on phased in schedule of conformity, starting April 4, 2018. DFS’s cybersecurity legislation requires banking institutions, insurance firms, along with other economic solutions organizations controlled by DFS to own a cybersecurity system made to protect customers” personal information; a written policy or policies which are authorized by the board or even an officer that is senior a Chief Suggestions safety Officer to simply help protect information and systems; and settings and plans set up to assist make sure the security and soundness of the latest York’s monetary services industry.