In the Headlines
January 13, 2025
New York, California Gear Up to Scrutinize Bank Cybersecurity
American Banker
Cybersecurity and privacy attorney Bess Hinson-Greenspan was quoted in an American Banker article discussing the increasing scrutiny of banks' cybersecurity practices by state regulators in New York and California. As New York's Department of Financial Services (NYDFS) tightens enforcement, Ms. Hinson-Greenspan emphasized that banks must diligently protect nonpublic information, as demonstrated by an $8 million penalty against Genesis Global Trading. She also noted financial institutions may have to navigate potential class action lawsuits related to digital marketing technologies, as well as commented on uncertainty regarding the application of California law to digital technology tools.
"Many financial institutions are leveraging digital technologies to reach customers. I am sure your business units or marketing teams are presenting such solutions to you on a daily, weekly, monthly basis, and they're constantly evolving. We expect a continued push for certainty on whether the California Invasion of Privacy Act or CIPA applies to [technologies] such as tracking pixels, session replay software and chatbots," she said.
READ: New York, California Gear Up to Scrutinize Bank Cybersecurity (Subscription required)
"Many financial institutions are leveraging digital technologies to reach customers. I am sure your business units or marketing teams are presenting such solutions to you on a daily, weekly, monthly basis, and they're constantly evolving. We expect a continued push for certainty on whether the California Invasion of Privacy Act or CIPA applies to [technologies] such as tracking pixels, session replay software and chatbots," she said.
READ: New York, California Gear Up to Scrutinize Bank Cybersecurity (Subscription required)