Financial Crime World

GUATEMALA TIGHTENS THE SCREWS ON FINANCIAL DATA PROTECTION

Overview of Guatemalan Data Protection Regulations

As Guatemala continues to strengthen its data protection regulations, financial institutions and organizations operating in the region must be aware of their obligations and responsibilities. This article provides a comprehensive overview of the key requirements for data controllers, processors, and other stakeholders in the finance sector.

Guatemala’s Main Data Protection Law

Ley de Protección de Datos Personales (Law on Protection of Personal Data)

The main data protection law in Guatemala is the Ley de Protección de Datos Personales, which came into effect in 2015. This law regulates the collection, use, and disclosure of personal data by organizations operating in Guatemala.

Obligations for Financial Institutions

Key Obligations for Data Controllers

Financial institutions in Guatemala must ensure that they have implemented robust measures to protect sensitive customer information, including:

  • Encrypting data
  • Limiting access to authorized personnel
  • Having incident response plans in place

Rights of Data Subjects

Data subjects in Guatemala have the right to:

  • Access their personal data held by organizations
  • Request corrections or erasure
  • Object to processing
  • Lodge complaints with the supervisory authority if they believe their rights have been infringed

Consequences of Non-Compliance

Non-compliance with Guatemalan data protection laws can result in significant fines and reputational damage for financial institutions. The National Protection of Personal Data Authority (Autoridad Nacional de Protección de Datos Personales) has the power to impose penalties on organizations that fail to comply.

Specific Rules for Cookies and Spam

Guatemalan law requires organizations to:

  • Obtain consent before placing cookies
  • Provide clear information about the purpose of cookies
  • Give data subjects the option to opt-out of spam activities

Conclusion

As Guatemala continues to strengthen its data protection regulations, financial institutions must be prepared to adapt to changing requirements and ensure that they are complying with all applicable laws and regulations.