Article: U.S. Banks Urged to Meet E.U. Data Rules.(European Commission Directive on Data Protection)(Brief Article)

Financial institutions have not signed on to the "safe harbor" privacy agreement hammered out in July by negotiators from the United States and the European Union, but they ought to, or will likely miss out on business opportunities in Europe, says Barbara S. Wellbery, one of the primary architects of the pact.

The European Commission Directive on Data Protection, a standard put in place two years ago that imposes strict controls on how companies can use information about their customers, is more stringent than U.S. standards, and the Europeans had urged the United States to adopt tougher privacy laws. Among other things, the directive restricts ...

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