Banks can report suspected elder financial abuse to authorities without violating privacy provisions under the Gramm-Leach-Bliley Act, according to guidance issued by seven federal regulators Tuesday.

Gramm-Leach-Bliley, also known as the Financial Services Modernization Act of 1999, generally requires financial institutions to notify customers before sharing nonpublic information with third parties and give them the option of opting out. The new guidance clarifies that employees are allowed to skip this step in order to report evidence of financial abuse, fraud and unauthorized transactions.

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