When must the initial privacy notice be given to a new customer?

The correct answer is that the initial privacy notice must be provided before or at the time the customer relationship is established. This requirement is crucial for ensuring that customers are informed about how their personal information will be collected, used, and shared right from the onset of their relationship with an organization. Providing the privacy notice at this early stage enables customers to make informed decisions about whether they wish to proceed with the services offered, aligning with regulatory compliance and maintaining transparency.

Delivering the privacy notice at this point ensures compliance with privacy laws, which often mandate that consumers are aware of their rights and the entity's practices regarding their personal information before any data collection occurs. It is an essential step in fostering trust between the organization and its customers, as it reflects a commitment to privacy and respect for individuals' personal information.