Attorney General's News Release

July 6, 2001

Consumers should heed privacy notices, Nixon says

Jefferson City, Mo. — With new federal legislation designed to ensure the privacy of personal information now taking effect, Attorney General Jay Nixon today reminded Missourians that what might first appear to be junk mail is actually important information which could protect that privacy.

"This is an important example of why consumers truly need to read the fine print," Nixon said. "With these new federal requirements, Missourians have new means by which to have some control over the manner in which the personal information they provide certain businesses is disclosed to others."

While not every company a person does business with is required to send out privacy notices, most consumers have been receiving written privacy notices from such places as banks, credit card and insurance companies, brokerage houses, collection agencies, and payday loan companies. The new law requires these types of businesses to give consumers with whom they do business notice of three things:

• Privacy policies: The companies must tell you the kinds of information they collect about you and how they use that information;
• Right to opt-out: The companies must explain in the privacy notices your ability to prevent the sharing of your personal information with outside third parties. In most instances, unless a consumer contacts a company and advises the company that they do not want their personal information shared ("opting-out"), the company may share the consumer's personal information. The privacy notices explain to consumers how they can exercise their legal right to opt-out. Unless you read the privacy notices and follow the directions about how to tell the company that you do not want your information shared, the company will be allowed to share your personal information. As a consumer, you have a continuing opportunity to opt-out;
• Safeguards: The companies are required to develop policies to prevent fraudulent access to confidential financial information. The companies must disclose these policies to you.

Consumers were to receive all such notices from the companies no later than July 1. The notices, which must be in writing, were sent either in the mail or by e-mail if the consumer normally does business over the Internet. The law does not require a standard form to be utilized by all companies, so notices may have appeared in a variety of forms. The notices were not required to be sent separately from other notices, so consumers should carefully review mailings they received from these types of companies.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818