Does Your Company Comply With Data Collection Regulations?

Does Your Company Comply With Data Collection Regulations?

Do you ever feel like Google knows you a little bit too well? Google searches have an uncanny ability to guess that you are worried that your headache might be meningitis. It’s not just Google. When you play your entire Apple Music collection on shuffle, it always seems to know what music you are in the mood for, and Amazon can recommend a wine that will pair well with the Baby Shark bath toys you just overpaid for like no human sommelier can.  Anyone who works remotely knows what it feels like to have their employer watching their every move.  As a business owner, have you ever asked yourself how intrusive your data collection policy is about your customers and whether all that data is really necessary?  A cyber security specialist can help you ensure that your company is in compliance with regulations about data collection and can help you deal with complaints about your data collection practices.

The FTC Regulations on the Collection of Consumer Data

The Federal Trade Commission (FTC) allows businesses to collect and retain consumers’ data for purposes of conducting business.  These are the FTC’s principles for data collection:

  • Businesses should be transparent about why they are collecting data and how it can be used. They should provide accessible, readable privacy notices.

  • Businesses should collect only as much data as they need for the purpose of the transaction. For example, if a customer gives the business authorization to process recurring payments on a credit card, the business needs to know the credit card number, but not the customer’s birthdate.

  • Businesses should only keep the data for as long as they need to fulfill the purpose for which they collected the data.

Furthermore, the FTC has indicated the following rights of consumers regarding the collection and use of their data by businesses:

  • The right to access and retain copies of the data the business has collected

  • The right to withdraw consent for the business to use the consumer’s data

  • The right to correction of errors in the data that the business releases about the consumer, such as in credit reports and background checks

  • The right to opt-out of the sharing of their data for marketing purposes

  • The right to complain to data protection authorities about the misuse of their data

A Cyber Security Specialist Can Help With Data Protection Issues

There are so many legal ambiguities regarding how businesses use data; why does big tech get away with acting like a veritable Big Brother with our data while small businesses get complaints if they so much as recommend that another business send you promotional materials?  When in doubt, you should ask a cyber security specialist about whether your current policies on consumer data use are compliant with the law.  We can help you walk the fine line between using modern technology to create wealth and violating consumers’ data privacy rights.