---
title: What’s the Purpose of the Privacy Rule?
description: Understand the purpose of Regulation P, which protects consumers' nonpublic personal information and outlines disclosure and opt-out rights. Learn more about its requirements and exceptions.
---

[Banker's Compliance Consulting Blog ](https://blog.bankerscompliance.com/en)

# [What’s the Purpose of the Privacy Rule?](https://blog.bankerscompliance.com/en/whats-the-purpose-of-the-privacy-rule)

 Written by [Kevin Edwards](https://blog.bankerscompliance.com/en/author/kevin-edwards) | Jun 13, 2025 7:32:26 PM

[Regulation P](https://www.consumerfinance.gov/rules-policy/regulations/1016/), otherwise known as the Privacy of Consumer Financial Information Rule, came about as part of the [Gramm-Leach-Bliley Act](https://www.ftc.gov/business-guidance/privacy-security/gramm-leach-bliley-act). It is all about protecting a consumer’s nonpublic personal information that institutions obtain about a consumer. Nonpublic personal information is just that…personally identifiable financial information that is not publicly available. This could include things like account numbers, balance information, payment history, overdraft history, information from a consumer report, or even that a consumer has obtained a financial product or service from you. Regulation P generally requires that you tell consumers upfront how you use their nonpublic personal information, how you protect it, when you might disclose it to others and give them a right to opt-out. But, there are a lot of exceptions you need to be aware of as well.

Kevin explains more in the video.

 

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Published  
2025/06/13

 

[View full post](https://blog.bankerscompliance.com/en/whats-the-purpose-of-the-privacy-rule)

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