Question

Which statement accurately describes the requirement for notifying consumers about information sharing?

A) Notification is not required for banks.
B) Notification solely about information sharing is sufficient.
C) Consumers need to be informed about their ability to opt-out.
D) Third-party information can be shared without consumer consent.

Answer 1

Consumers need to be informed about their ability to opt-out of information sharing.

Step-by-step explanation:

The statement that accurately describes the requirement for notifying consumers about information sharing is option C) Consumers need to be informed about their ability to opt-out. In most cases, businesses and organizations are required to inform consumers about their information sharing practices and provide them with the option to opt-out.

This is important because it allows consumers to control how their personal information is collected, used, and shared by the organization.

For example, under the General Data Protection Regulation (GDPR) in the European Union, businesses are required to gain explicit consent from consumers before sharing their personal data with third parties.