Final answer:
The GLB act protects financial information collected and held by financial service providers, such as banks and insurance companies. However, it does not protect financial information collected for non-financial purposes.
Step-by-step explanation:
The GLB act, also known as the Gramm-Leach-Bliley Act, is a law in the United States that protects the privacy and security of financial information. It applies to companies that are engaged in providing financial services, such as banks, securities firms, insurance companies, and credit reporting agencies. However, it does not protect all financial information.
The GLB act only protects financial information that is collected and held by these companies in their capacity as financial service providers. This means that if a company collects financial information from individuals for non-financial purposes, such as marketing or other non-financial services, it may not be covered by the GLB act.
For example, if a retail store collects credit card information from customers for the purpose of processing payments, the GLB act would not apply to the store's collection and handling of that financial information.
However, if a bank collects that same credit card information as part of providing financial services to its customers, the GLB act would apply to the bank's handling of that information.