The U.S. House Financial Services Committee held a full committee hearing on potential changes to Title V of the Gramm-Leach-Bliley Act (GLBA), focusing on how to modernize the U.S. financial data privacy framework and deliver more consistent protections. Members and witnesses focused on how differing state approaches to GLBA-related exemptions have contributed to a patchwork of standards that can increase compliance costs and affect market entry. Proposals raised in testimony included strengthening federal preemption to create a more uniform nationwide baseline while maintaining GLBA’s technology-neutral, principles-based approach; applying comparable privacy and information security duties to nonbank firms holding sensitive financial data, including fintechs, data aggregators and crypto; and introducing a consumer right to access “nonpublic personal information” held by financial institutions, subject to exceptions to mitigate security and other risks. Witnesses also urged lawmakers to account for consumer-authorized third-party data sharing and to avoid private rights of action in favor of enforcement by appropriate federal and state agencies.
U.S. Financial Services Committee 2026-03-18
U.S. House Financial Services Committee examines options to modernize Gramm-Leach-Bliley Act Title V financial data privacy protections
The U.S. House Financial Services Committee held a hearing on amending Title V of the Gramm-Leach-Bliley Act to modernize the financial data privacy framework. Discussions emphasized a uniform nationwide baseline to reduce compliance costs and facilitate market entry, maintaining a technology-neutral, principles-based approach. Proposals included extending privacy duties to nonbank firms and introducing consumer rights to access personal information, with enforcement by federal and state agencies.