What does 'trading in personal information' mean?

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Question: What does 'trading in personal information' mean?

Answer: A business is 'trading' in personal information if it collects or discloses to someone else, an individual's personal information for a benefit, service or advantage. A benefit, service or advantage can be any kind of financial payment, concession or subsidy or some other advantage or service.

Trading in personal information generally means buying, selling or bartering personal information. For example, buying a mailing list without first getting the consent of all the individuals on that list, or disclosing customer details to someone else for some commercial gain.

A business is not trading in personal information if it gives or receives personal information for a benefit, service or advantage and it:

• always has the consent of all the individuals concerned; or
• only does so when authorised or required by law.

If you trade in personal information you will have to comply with the National Privacy Principles in the Privacy Act. Complying with the Privacy Act does not stop you collecting personal information for your business needs, it means following the rules about how you handle that information. For more information see the Guide for Small Business and Guidelines to the National Privacy Principles.