[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: 12CFR716.18]

[Page 582]
 
                       TITLE 12--BANKS AND BANKING
 
            CHAPTER VII--NATIONAL CREDIT UNION ADMINISTRATION
 
PART 716_PRIVACY OF CONSUMER FINANCIAL INFORMATION--Table of Contents
 
            Subpart D_Relation to Other Laws; Effective Date
 
Sec. 716.18  Effective date; transition rule.

    (a) Effective date. This part is effective November 13, 2000. In 
order to provide sufficient time for you to establish policies and 
systems to comply with the requirements of this part, the National 
Credit Union Administration Board has extended the time for compliance 
with this part until July 1, 2001.
    (b)(1) Notice requirement for consumers who were your members on the 
compliance date. By July 1, 2001, you must provide an initial notice, as 
required by Sec. 716.4, to consumers who are your members on July 1, 
2001.
    (2) Example. You provide an initial notice to consumers who are your 
members on July 1, 2001, if, by that date, you have established a system 
for providing an initial notice to all new members and have mailed the 
initial notice to all your existing members.
    (c) Two-year grandfathering of service agreements. Until July 1, 
2002, a contract that you have entered into with a nonaffiliated third 
party to perform services for you or functions on your behalf satisfies 
the provisions of Sec. 716.13(a)(2) of this part, even if the contract 
does not include a requirement that the third party maintain the 
confidentiality of nonpublic personal information, as long as the 
agreement was entered into on or before July 1, 2000.