WASHINGTON — Maryland Sen. Paul S. Sarbanes, the top Democrat on the Senate Banking Committee, has introduced legislation that would further restrict the way financial services companies use customer financial data.

Substantively identical to privacy legislation the Clinton administration proposed last year, the Financial Information Privacy Protection Act would go beyond the Gramm-Leach-Bliley Act’s privacy protections, which require financial companies to give customers a chance to block, or “opt out” of, having their data shared with third parties. The latter protections are to take effect July 1.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.