A mortgage originator receives a subpoena requesting customer financial information in a civil lawsuit between two private parties, neither of which is the customer. The customer has not consented to the disclosure. Under GLBA, the originator should:
Correct Answer
C) Notify the customer and comply only if legally compelled after appropriate legal review
Under GLBA, financial institutions may disclose nonpublic personal information when legally compelled, but they should ensure the legal process is valid and consider notifying the customer when possible. The institution should conduct appropriate legal review to confirm they are actually compelled to disclose the information.
Why This Is the Correct Answer
Under GLBA, financial institutions may disclose nonpublic personal information when legally compelled, but they should ensure the legal process is valid and consider notifying the customer when possible. The institution should conduct appropriate legal review to confirm they are actually compelled to disclose the information.
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