Question

what is the impact of Personal Data Protection Act 2010 on banking industry? and ways to manage the impact.

answer in essay

Answer 1

To kickoff 'The Personal Data Protection Act 2010' has majorly negative impact on banking sector. I perosnally think it's curse on banking sector.It is uncessary to introudce this act in banking sector as hinders insurance agents and marketers in conduting their busines. The banking sector has already emerged with it's own regulations on personal data protection so I don't belive intruduction of this act will have major imapct on the banking sector. Further to this, banks have their strict internal rules on confidentiality and information security which all bank employees must abide by. Failure to comply with the internal rules will lead to disciplinary action against the employee. This act made it more diffcult to sale banking products to it's customers as to initiate contact with a person through the telephone, which is known as “cold calling”, and is often done using bank databases sold by middlemen. When customer applies for loan or a credit card, whatever information customer gives is updated in these database and eariler the same was used by multiple banks for the purpose of selling the product in diffrent channels. But having said that this act also ensures customer data confidentiality and in today's emrging technology it make sense to have this act in force since there is high chance of misusing customer personal data for various reasons.