Did you know that your bank, credit card company, insurance company, brokerage, and other companies you do business with can legally sell the personal information they collect from you to telemarketers, direct mailers, retailers, and others? Is it okay with you if these companies sell your social security number, credit card spending habits, account balances, or monthly income information to companies that want to use the information to target the people who are most likely to purchase their products or services?

The privacy notices you've no doubt been receiving in the mail from financial institutions you do business with probably ended up in your trash can, a move that you may come to regret unless you act quickly. These notices were NOT junk mail. Federal law now requires companies that collect personal information about you to give you the option to refuse to allow them to sell your personal information. But if you don't "opt-out" by responding to the notices or contacting these companies directly, your personal information can be sold to anybody willing to pay the price.

In some cases, those willing to pay the price have been criminals who illegally used the information to run scams where millions of dollars of bogus charges were charged to credit cards.

Your right to opt-out is limited, due to flaws in the law that do not protect consumers, but it is still worthwhile to opt-out. It's also worthwhile to write to your Congressional representatives to let them know that you expect them to pass legislation that will better protect the privacy of consumers.

If you're among the millions of Americans that tossed these privacy notices in the trash, you can still protect your personal financial information by contacting each of the financial institutions you do business with and instructing them NOT to disclose information about you to non-affiliated companies. Privacy Rights Now offers a sample form letter on their site that you can use or adapt.

When you open new accounts at financial institutions, or when a financial institution you do business with changes its privacy policies, you'll receive privacy notices in the mail. To protect your privacy, follow the instructions in the notices (you may have to complete a form or call a toll-free number).

For information about various aspects of your financial privacy, see the list of fact sheets at Privacy Rights Clearinghouse. Issues covered include cell phones, junk mail, harassing phone calls, telemarketing calls, your credit report, medical information, workplace privacy, your social security number, identity theft, online shopping, and more.

~ Debby Fowles

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