How often must customers receive a notice during their relationship with the institution?

The requirement for customers to receive a notice during their relationship with the institution is typically governed by regulations that dictate communications related to privacy policies and other important disclosures. The correct answer reflects that customers must receive this notice at least once in any consecutive 12-month period. This timeframe serves to ensure that customers are kept informed about their rights, how their personal information is handled, and any changes to the institution's policies that may affect them.

This option strikes a balance between the need for transparency and the practicality of sending frequent updates. Sending notices more often than necessary could lead to information overload for the customer, while sending them less frequently might not provide sufficient safeguarding of their awareness regarding their data and privacy rights. The annual frequency requirement allows institutions to maintain compliance with relevant regulations while not overwhelming customers with too much information.

In comparison, more frequent intervals such as monthly or every six months may suffice in certain contexts but are not the prescribed minimum for general notice requirements. Hence, the option that specifies once in any consecutive 12-month period stands out as the standard established for customer notifications.