A monetary doc issued by a banking establishment from which sure knowledge has been obscured. This course of includes the strategic elimination of delicate data, resembling account numbers, transaction particulars deemed irrelevant, or personally identifiable data (PII), earlier than the doc is shared with a 3rd occasion. For instance, in a mortgage software, an applicant would possibly submit their financial institution data, however would sometimes be allowed to hide particulars like particular cost descriptions not related to demonstrating earnings or monetary stability.
The observe presents an important steadiness between transparency and privateness. It permits people or organizations to reveal monetary standing or particular transaction histories with out exposing themselves to potential fraud, id theft, or aggressive disadvantages. The adoption of this observe has grown considerably with rising knowledge privateness issues and rules. Its historic roots might be traced to authorized and compliance necessities, the place the necessity to share monetary knowledge for audits or investigations necessitates the safety of confidential data.
