source:
  type: regulation
  id: reg-v-1022.21
  authority: 12 CFR §1022.21 — Affiliate marketing opt-out and exceptions (Regulation
    V)
  description: 12 CFR §1022.21 — Affiliate marketing opt-out and exceptions.
  coverage_tier: context
obligations:
- id: reg-v-1022.21-full
  canonical_id: reg-v-1022.21-full
  section: 12 CFR §1022.21 — Affiliate marketing opt-out and exceptions
  type: reference
  tags:
  - regulator-direct
  - fcra
  - corpus-expansion
  - tier-context
  primary_source:
    tier: 1
    authority: 12 CFR §1022.21 — Affiliate marketing opt-out and exceptions (Regulation
      V)
    source_class: cfpb-regulation
    source_url: https://www.law.cornell.edu/cfr/text/12/1022.21
    snapshot_id: 72758340e9234b1d
    fetched_at: '2026-06-17T19:30:42Z'
    content_hash: sha256:f7f92edca444540057bd6f248103933c3d02fa791638402c08a58dcb7b928d8f
    paragraph_quote: '§ 1022.21 Affiliate marketing opt-out and exceptions. (a) Initial
      notice and opt-out requirement —(1) In general. You may not use eligibility
      information about a consumer that you receive from an affiliate to make a solicitation
      for marketing purposes to the consumer , unless: (i) It is clearly and conspicuously
      disclosed to the consumer in writing or, if the consumer agrees, electronically,
      in a concise notice that you may use eligibility information about that consumer
      received from an affiliate to make solicitations for marketing purposes to the
      consumer ; (ii) The consumer is provided a reasonable opportunity and a reasonable
      and simple method to “opt out,” or prohibit you from using eligibility information
      to make solicitations for marketing purposes to the consumer ; and (iii) The
      consumer has not opted out. (2) Example. A consumer has a homeowner''s insurance
      policy with an insurance company . The insurance company furnishes eligibility
      information about the consumer to its affiliated creditor. Based on that eligibility
      information , the creditor wants to make a solicitation to the consumer about
      its home equity loan products. The creditor does not have a pre-existing business
      relationship with the consumer and none of the other exceptions apply. The creditor
      is prohibited from using eligibility information received from its insurance
      affiliate to make solicitations to the consumer about its home equity loan products
      unless the consumer is given a notice and opportunity to opt out and the consumer
      does not opt out. (3) Affiliates who may provide the notice. The notice required
      by this paragraph must be provided: (i) By an affiliate that has or has previously
      had a pre-existing business relationship with the consumer ; or (ii) As part
      of a joint notice from two or more members of an affiliated group of companies,
      provided that at least one of the affiliates on the joint notice has or has
      previously had a pre-existing business relationship with the consumer . (b)
      Making solicitations —(1) In general. For purposes of this subpart, you make
      a solicitation for marketing purposes if: (i) You receive eligibility information
      from an affiliate ; (ii) You use that eligibility information to do one or more
      of the following: (A) Identify the consumer or type of consumer to receive a
      solicitation ; (B) Establish criteria used to select the consumer to receive
      a solicitation ; or (C) Decide which of your products or services to market
      to the consumer or tailor your solicitation to that consumer ; and (iii) As
      a result of your use of the eligibility information , the consumer is provided
      a solicitation . (2) Receiving eligibility information from an affiliate, including
      through a common database. You may receive eligibility information from an affiliate
      in various ways, including when the affiliate places that information into a
      common database that you may access. (3) Receipt or use of eligibility information
      by your service provider. Except as provided in paragraph (b)(5) of this section,
      you receive or use an affiliate ''s eligibility information if a service provider
      acting on your behalf (whether an affiliate or a nonaffiliated third party)
      receives or uses that information in the manner described in paragraphs (b)(1)(i)
      or (b)(1)(ii) of this section. All relevant f acts and circumstances will determine
      whether a person is acting as your service provider when it receives or uses
      an affiliate ''s eligibility information in connection with marketing your products
      and services. (4) Use by an affiliate of its own eligibility information. Unless
      you have used eligibility information that you receive from an affiliate in
      the manner described in paragraph (b)(1)(ii) of this section, you do not make
      a solicitation subject to this subpart if your affiliate: (i) Uses its own eligibility
      information that it obtained in connection with a pre-existing business relationship
      it has or had with the consumer to market your products or services to the consumer
      ; or (ii) Directs its service provider to use the affiliate ''s own eligibility
      information that it obtained in connection with a pre-existing business relationship
      it has or had with the consumer to market your products or services to the consumer
      , and you do not communicate directly with the service provider regarding that
      use. (5) Use of eligibility information by a service provider —(i) In general.
      You do not make a solicitation subject to subpart C of this part if a service
      provider (including an affiliated or third-party service provider that maintains
      or accesses a common database that you may access) receives eligibility information
      from your affiliate that your affiliate obtained in connection with a pre-existing
      business relationship it has or had with the consumer and uses that eligibility
      information to market your products or services to the consumer , so long as:
      (A) Your affiliate controls access to and use of its eligibility information
      by the service provider (including the right to establish the specific terms
      and conditions under which the service provider may use such information to
      market your products or services); (B) Your affiliate establishes specific terms
      and conditions under which the service provider may access and use the affiliate
      ''s eligibility information to market your products and services (or those of
      affiliates generally) to the consumer , such as the identity of the affiliated
      companies whose products or services may be marketed to the consumer by the
      service provider , the types of products or services of affiliated companies
      that may be marketed, and the number of times the consumer may receive marketing
      materials, and periodically evaluates the service provider ''s compliance with
      those terms and conditions; (C) Your affiliate requires the service provider
      to implement reasonable policies and procedures designed to ensure that the
      service provider uses the affiliate ''s eligibility information in accordance
      with the terms and conditions established by the affiliate relating to the marketing
      of your products or services; (D) Your affiliate is identified on or with the
      marketing materials provided to the consumer ; and (E) You do not directly use
      your affiliate ''s eligibility information in the manner described in paragraph
      (b)(1)(ii) of this section. (ii) Writing requirements. (A) The requirements
      of paragraphs (b)(5)(i)(A) and (C) of this section must be set forth in a written
      agreement between your affiliate and the service provider ; and (B) The specific
      terms and conditions established by your affiliate as provided in paragraph
      (b)(5)(i)(B) of this section must be set forth in writing. (6) Examples of making
      solicitations. (i) A consumer has a deposit account with a financial institution,
      which is affiliated with an insurance company . The insurance company receives
      eligibility information about the consumer from the financial institution. The
      insurance company uses that eligibility information to identify the consumer
      to receive a solicitation about insurance products, and, as a result, the insurance
      company provides a solicitation to the consumer about its insurance products.
      Pursuant to paragraph (b)(1) of this section, the insurance company has made
      a solicitation to the consumer . (ii) The same facts as in the example in paragraph
      (b)(6)(i) of this section, except that after using the eligibility information
      to identify the consumer to receive a solicitation about insurance products,
      the insurance company asks the financial institution to send the solicitation
      to the consumer and the financial institution does so. Pursuant to paragraph
      (b)(1) of this section, the insurance company has made a solicitation to the
      consumer because it used eligibility information about the consumer that it
      received from an affiliate to identify the consumer to receive a solicitation
      about its products or services, and, as a result, a solicitation was provided
      to the consumer about the insurance company ''s products. (iii) The same facts
      as in the example in paragraph (b)(6)(i) of this section, except that eligibility
      information about consumers that have deposit accounts with the financial institution
      is placed into a common database that all members of the affiliated group of
      companies may independently access and use. Without using the financial institution''s
      eligibility information , the insurance company develops selection criteria
      and provides those criteria, marketing materials, and related instructions to
      the financial institution. The financial institution reviews eligibility information
      about its own consumers using the selection criteria provided by the insurance
      company to determine which consumers should receive the insurance company ''s
      marketing materials and sends marketing materials about the insurance company
      ''s products to those consumers. Even though the insurance company has received
      eligibility information through the common database as provided in paragraph
      (b)(2) of this section, it did not use that information to identify consumers
      or establish selection criteria; instead, the financial institution used its
      own eligibility information . Therefore, pursuant to paragraph (b)(4)(i) of
      this section, the insurance company has not made a solicitation to the consumer
      . (iv) The same facts as in the example in paragraph (b)(6)(iii) of this section,
      except that the financial institution provides the insurance company ''s criteria
      to the financial institution''s service provider and directs the service provider
      to use the financial institution''s eligibility information to identify financial
      institution consumers who meet the criteria and to send the insurance company
      ''s marketing materials to those consumers. The insurance company does not communicate
      directly with the service provider regarding the use of the financial institution''s
      information to market its products to the financial institution''s consumers.
      Pursuant to paragraph (b)(4)(ii) of this section, the insurance company has
      not made a solicitation to the consumer . (v) An affiliated group of companies
      includes a financial institution, an insurance company , and a service provider
      . Each affiliate in the group places information about its consumers into a
      common database. The service provider has access to all information in the common
      database. The financial institution controls access to and use of its eligibility
      information by the service provider . This control is set forth in a written
      agreement between the financial institution and the service provider . The written
      agreement also requires the service provider to establish reasonable policies
      and procedures designed to ensure that the service provider uses the financial
      institution''s eligibility information in accordance with specific terms and
      conditions established by the financial institution relating to the marketing
      of the products and services of all affiliates, including the insurance company
      . In a separate written communication, the financial institution specifies the
      terms and conditions under which the service provider may use the financial
      institution''s eligibility information to market the insurance company ''s products
      and services to the financial institution''s consumers. The specific terms and
      conditions are: a list of affiliated companies (including the insurance company)
      whose products or services may be marketed to the financial institution''s consumers
      by the service provider ; the specific products or types of products that may
      be marketed to the financial institution''s consumers by the service provider
      ; the categories of eligibility information that may be used by the service
      provider in marketing products or services to the financial institution''s consumers
      ; the types or categories of the financial institution''s consumers to whom
      the service provider may market products or services of financial institution
      affiliates; the number and/or types of marketing communications that the service
      provider may send to the financial institution''s consumers; and the length
      of time during which the service provider may market the products or services
      of the financial institution''s affiliates to its consumers. The financial institution
      periodically evaluates the service provider ''s compliance with these terms
      and conditions. The insurance company asks the service provider to market insurance
      products to certain consumers who have deposit accounts with the financial institution.
      Without using the financial institution''s eligibility information , the insurance
      company develops selection criteria and provides those criteria, marketing materials,
      and related instructions to the service provider . The service provider uses
      the financial institution''s eligibility information from the common database
      to identify the financial institution''s consumers to whom insurance products
      will be marketed. When the insurance company ''s marketing materials are provided
      to the identified consumers, the name of the financial institution is displayed
      on the insurance marketing materials, an introductory letter that accompanies
      the marketing materials, an account statement that accompanies the marketing
      materials, or the envelope containing the marketing materials. The requirements
      of paragraph (b)(5) of this section have been satisfied, and the insurance company
      has not made a solicitation to the consumer . (vi) The same facts as in the
      example in paragraph (b)(6)(v) of this section, except that the terms and conditions
      permit the service provider to use the financial institution''s eligibility
      information to market the products and services of other affiliates to the financial
      institution''s consumers whenever the service provider deems it appropriate
      to do so. The service provider uses the financial institution''s eligibility
      information in accordance with the discretion afforded to it by the terms and
      conditions. Because the terms and conditions are not specific, the requirements
      of paragraph (b)(5) of this section have not been satisfied. (c) Exceptions.
      The provisions of this subpart do not apply to you if you use eligibility information
      that you receive from an affiliate: (1) To make a solicitation for marketing
      purposes to a consumer with whom you have a pre-existing business relationship
      ; (2) To facilitate communications to an individual for whose benefit you provide
      employee benefit or other services pursuant to a contract with an employer related
      to and arising out of the current employment relationship or status of the individual
      as a participant or beneficiary of an employee benefit plan; (3) To perform
      services on behalf of an affiliate , except that this subparagraph shall not
      be construed as permitting you to send solicitations on behalf of an affiliate
      if the affiliate would not be permitted to send the solicitation as a result
      of the election of the consumer to opt out under this subpart; (4) In response
      to a communication about your products or services initiated by the consumer
      ; (5) In response to an authorization or request by the consumer to receive
      solicitations; or (6) If your compliance with this subpart would prevent you
      from complying with any provision of state insurance laws pertaining to unfair
      discrimination in any state in which you are lawfully doing business. (d) Examples
      of exceptions —(1) Example of the pre-existing business relationship exception.
      A consumer has a deposit account with a financial institution. The consumer
      also has a relationship with the financial institution''s securities affiliate
      for management of the consumer ''s securities portfolio. The financial institution
      receives eligibility information about the consumer from its securities affiliate
      and uses that information to make a solicitation to the consumer about the financial
      institution''s wealth management services. The financial institution may make
      this solicitation even if the consumer has not been given a notice and opportunity
      to opt out because the financial institution has a pre-existing business relationship
      with the consumer . (2) Examples of service provider exception. (i) A consumer
      has an insurance policy issued by an insurance company . The insurance company
      furnishes eligibility information about the consumer to its affiliated financial
      institution. Based on that eligibility information , the financial institution
      wants to make a solicitation to the consumer about its deposit products. The
      financial institution does not have a pre-existing business relationship with
      the consumer and none of the other exceptions in paragraph (c) of this section
      apply. The consumer has been given an opt-out notice and has elected to opt
      out of receiving such solicitations. The financial institution asks a service
      provider to send the solicitation to the consumer on its behalf. The service
      provider may not send the solicitation on behalf of the financial institution
      because, as a result of the consumer ''s opt-out election, the financial institution
      is not permitted to make the solicitation . (ii) The same facts as in paragraph
      (d)(2)(i) of this section, except the consumer has been given an opt-out notice,
      but has not elected to opt out. The financial institution asks a service provider
      to send the solicitation to the consumer on its behalf. The service provider
      may send the solicitation on behalf of the financial institution because, as
      a result of the consumer ''s not opting out, the financial institution is permitted
      to make the solicitation . (3) Examples of consumer-initiated communications.
      (i) A consumer who has a deposit account with a financial institution initiates
      a communication with the financial institution''s credit card affiliate to request
      information about a credit card. The credit card affiliate may use eligibility
      information about the consumer it obtains from the financial institution or
      any other affiliate to make solicitations regarding credit card products in
      response to the consumer -initiated communication. (ii) A consumer who has a
      deposit account with a financial institution contacts the institution to request
      information about how to save and invest for a child''s college education without
      specifying the type of product in which the consumer may be interested. Information
      about a range of different products or services offered by the financial institution
      and one or more affiliates of the institution may be responsive to that communication.
      Such products or services may include the following: mutual funds offered by
      the institution''s mutual fund affiliate ; section 529 plans offered by the
      institution, its mutual fund affiliate , or another securities affiliate ; or
      trust services offered by a different financial institution in the affiliated
      group. Any affiliate offering investment products or services that would be
      responsive to the consumer ''s request for information about saving and investing
      for a child''s college education may use eligibility information to make solicitations
      to the consumer in response to this communication. (iii) A credit card issuer
      makes a marketing call to the consumer without using eligibility information
      received from an affiliate . The issuer leaves a voice-mail message that invites
      the consumer to call a toll-free number to apply for the issuer''s credit card.
      If the consumer calls the toll-free number to inquire about the credit card,
      the call is a consumer -initiated communication about a product or service and
      the credit card issuer may now use eligibility information it receives from
      its affiliates to make solicitations to the consumer . (iv) A consumer calls
      a financial institution to ask about retail locations and hours, but does not
      request information about products or services. The institution may not use
      eligibility information it receives from an affiliate to make solicitations
      to the consumer about its products or services because the consumer -initiated
      communication does not relate to the financial institution''s products or services.
      Thus, the use of eligibility information received from an affiliate would not
      be responsive to the communication and the exception does not apply. (v) A consumer
      calls a financial institution to ask about retail locations and hours. The customer
      service representative asks the consumer if there is a particular product or
      service about which the consumer is seeking information. The consumer responds
      that the consumer wants to stop in and find out about certificates of deposit.
      The customer service representative offers to provide that information by telephone
      and mail additional information and application materials to the consumer .
      The consumer agrees and provides or confirms contact information for receipt
      of the materials to be mailed. The financial institution may use eligibility
      information it receives from an affiliate to make solicitations to the consumer
      about certificates of deposit because such solicitations would respond to the
      consumer -initiated communication about products or services. (4) Examples of
      consumer authorization or request for solicitations. (i) A consumer who obtains
      a mortgage from a mortgage lender authorizes or requests information about homeowner''s
      insurance offered by the mortgage lender''s insurance affiliate . Such authorization
      or request, whether given to the mortgage lender or to the insurance affiliate
      , would permit the insurance affiliate to use eligibility information about
      the consumer it obtains from the mortgage lender or any other affiliate to make
      solicitations to the consumer about homeowner''s insurance. (ii) A consumer
      completes an online application to apply for a credit card from a credit card
      issuer. The issuer''s online application contains a blank check box that the
      consumer may check to authorize or request information from the credit card
      issuer''s affiliates. The consumer checks the box. The consumer has authorized
      or requested solicitations from the card issuer''s affiliates. (iii) A consumer
      completes an online application to apply for a credit card from a credit card
      issuer. The issuer''s online application contains a pre-selected check box indicating
      that the consumer authorizes or requests information from the issuer''s affiliates.
      The consumer does not deselect the check box. The consumer has not authorized
      or requested solicitations from the card issuer''s affiliates. (iv) The terms
      and conditions of a credit card account agreement contain preprinted boilerplate
      language stating that by applying to open an account the consumer authorizes
      or requests to receive solicitations from the credit card issuer''s affiliates.
      The consumer has not authorized or requested solicitations from the card issuer''s
      affiliates. (e) Relation to affiliate-sharing notice and opt-out. Nothing in
      this subpart limits the responsibility of a person to comply with the notice
      and opt-out provisions of section 603(d)(2)(A)(iii) of the Act where applicable.'
  judgment: false
