Tennessee House Bill HB1468

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/23
• Refer: 2/2/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 45 and Title 47, Chapter 18, relative to banks.

Impact

If enacted, this law would create a Class C misdemeanor for any bank that violates these provisions, thereby emphasizing the importance of consumer consent in financial transactions. The requirement for explicit permission before releasing sensitive account information is expected to bolster consumer trust in banking institutions. Additionally, it aligns Tennessee's regulations with growing national concerns about data privacy, particularly in the context of financial services.

Summary

House Bill 1468 aims to enhance the privacy of bank account information by prohibiting banks from disclosing a person's account balance or transaction activity to any third party without the express written consent of the account owner, unless required by federal law. This amendment adds a new section to Tennessee Code Annotated, specifically targeting banking practices to safeguard consumer financial information. The bill's intent is to fortify protections surrounding personal banking data and to help prevent unauthorized disclosures that could compromise individual privacy.

Contention

Notable points of contention surrounding HB1468 may revolve around the balance between consumer privacy and the operational challenges for banks. Critics might question whether the restrictions could hinder banks' ability to respond to inquiries from family members or legal entities during emergencies or disputes. There may also be concerns regarding the implications for customer service, operational efficiency, or fraud prevention measures. Advocates assert that prioritizing consumer consent is crucial in today’s digital age, while opponents may argue for more flexibility in handling sensitive information.