DFSвЂ™s cybersecurity legislation calls for banking institutions, insurance firms, along with other economic solutions organizations managed by DFS to own a cybersecurity system built to protect customersвЂ™ personal information; a written policy or policies which can be authorized by the board or an officer that is senior a Chief Ideas safety Officer to simply help protect information and systems; and controls and plans set up to greatly help make sure the security and soundness of brand new YorkвЂ™s monetary services industry.
A duplicate associated with the guidance can for depository and nondepository organizations can be located right here.
A duplicate associated with guidance for insurance coverage organizations can be located right here.
news release – September 18, 2017: Governor Cuomo Announces New Actions to guard New Yorkers’ private information in Wake of Equifax Security Breach
18, 2017 september
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 very first time 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 Right Here
As a result to your recent cyberattack that exposed the non-public private information of almost 150 million customers nationwide, Governor Andrew M. Cuomo today directed the Department of Financial solutions to issue brand brand new legislation making credit scoring agencies to join up with ny the very first time and conform to this state’s first-in-the-nation cybersecurity standard.
The yearly reporting responsibility also supplies the DFS Superintendent utilizing the authority to reject and potentially revoke a credit rating reporting agency’s authorization to accomplish company with ny’s regulated banking institutions and customers in the event that agency is located become away from conformity with specific prohibited practices, including participating in unjust, misleading or predatory methods.
“someone’s credit rating impacts just about any element of their everyday lives and we’ll maybe maybe 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 rating agencies helps make sure that private information is less susceptible to cyberattacks as well as other nefarious functions in this quickly changing world that is digital. The Equifax breach ended up being a wakeup call along with the bar is being raised by this action New York for customer protections we hope will likely to be replicated over the country.”
All consumer credit reporting agencies that operate in New York must register annually with DFS beginning on or before February 1, 2018 and by February 1 of each successive year for the calendar year thereafter under the proposed regulation. The enrollment kind must consist of a company’s officers or directors that will lead to conformity because of the services that are financial banking, and insurance coverage guidelines, and regulations.
“the information breach at Equifax demonstrates the need of strong state legislation like ny’s first-in-the-nation cybersecurity actions,” said Financial Services Superintendent Maria T. Vullo. “this will be one necessary action of a few that DFS will need to guard ny’s areas, customers and painful and sensitive 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, major, officer or director associated with the applicant, isn’t trustworthy and competent to do something as or in reference to a credit reporting agency, or that the agency has provided cause of revocation or suspension system of these enrollment, or has neglected to adhere to any minimal standard.
The proposed legislation additionally subjects customer reporting agencies to exams by DFS as frequently due to the fact 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.
- Participating in any unjust, misleading or act that is predatory training toward any customer or misrepresent or omit any product information regarding the the installation, assessment, or upkeep of a credit history for the customer situated in brand brand brand New York State.
- Participating in any unjust, deceptive, or abusive work or training in violation of part 1036 regarding the Dodd-Frank Wall Street Reform and customer Protection Act.
- Including inaccurate information in any customer report associated with a customer located in brand New York State.
- Refusing to keep in touch with an official agent of a consumer positioned in brand New York State who provides a written authorization signed by the customer, so long as the buyer credit agency that is reporting follow procedures fairly linked to verifying that the agent is certainly authorized to do something with respect to the customer.
- Making any false declaration or make any omission of the product reality associated with any information or reports filed with a government agency or perhaps in reference to any investigation carried out because of the superintendent or any other governmental agency.
In addition, every credit scoring agency must adhere to the Department’s cybersecurity legislation, on phased in routine of conformity, beginning April 4, 2018. DFS’s cybersecurity legislation requires banking institutions, insurance providers, as well as other economic solutions organizations regulated by DFS to possess a cybersecurity system built to protect customers” personal information; a written policy or policies being approved because of the board or an officer that is senior a Chief Suggestions safety Officer to simply help protect information and systems; and settings and plans set up to greatly help make sure the security and soundness of New York’s monetary services industry.