[Code of Federal Regulations]
[Title 12, Volume 6]
[Revised as of January 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 12CFR716.10]

[Page 577-578]
 
                       TITLE 12--BANKS AND BANKING
 
            CHAPTER VII--NATIONAL CREDIT UNION ADMINISTRATION
 
PART 716_PRIVACY OF CONSUMER FINANCIAL INFORMATION--Table of Contents
 
                     Subpart B_Limits on Disclosures
 
Sec. 716.10  Limits on disclosure of nonpublic personal information to nonaffiliated third parties.


    (a) (1) Conditions for disclosure. Except as otherwise authorized in 
this part, you may not, directly or through any affiliate, disclose any 
nonpublic personal information about a consumer to a nonaffiliated third 
party unless:
    (i) You have provided to the consumer an initial notice as required 
under Sec. 716.4;
    (ii) You have provided to the consumer an opt out notice as required 
in Sec. 716.7;
    (iii) You have given the consumer a reasonable opportunity, before 
you disclose the information to the nonaffiliated third party, to opt 
out of the disclosure; and
    (iv) The consumer does not opt out.
    (2) Opt out definition. Opt out means a direction by the consumer 
that you not disclose nonpublic personal information about that consumer 
to a nonaffiliated third party, other than as permitted by Sec. Sec. 
716.13, 716.14 and 716.15.
    (3) Examples of reasonable opportunity to opt out. You provide a 
consumer with a reasonable opportunity to opt out if:
    (i) By mail. You mail the notices required in paragraph (a)(1) of 
this section to the consumer and allow the consumer to opt out by 
mailing a form,

[[Page 578]]

calling a toll-free telephone number, or any other reasonable means 
within 30 days from the date you mailed the notices.
    (ii) By electronic means. A member opens an on-line account with you 
and agrees to receive the notices required in paragraph (a)(1) of this 
section electronically, and you make the notices available to the member 
on your web site and allow the member to opt out by any reasonable means 
within 30 days after the date that the member acknowledges receipt of 
the notices.
    (iii) Isolated transaction with consumer. For an isolated 
transaction, such as the purchase of a traveler's check by a consumer, 
you provide the consumer with a reasonable opportunity to opt out if you 
provide the notices required in paragraph (a)(1) of this section at the 
time of the transaction and request that the consumer decide, as a 
necessary part of the transaction, whether to opt out before completing 
the transaction.
    (b) Application of opt out to all consumers and all nonpublic 
personal information. (1) You must comply with this section, regardless 
of whether you and the consumer have established a member relationship.
    (2) Unless you comply with this section, you may not, directly or 
through an affiliate, disclose any nonpublic personal information about 
a consumer that you have collected, regardless of whether you collected 
it before or after receiving the direction to opt out from the consumer.
    (c) Partial opt out. You may allow a consumer to select certain 
nonpublic personal information or certain nonaffiliated third parties 
with respect to which the consumer wishes to opt out.