PIPEDA Case Summary #2017-006: Using SIN for identity verification cannot be a condition of service

A complainant alleged that a financial institution required customers to provide their Social Insurance Number (SIN) to credit reporting agencies for identity verification when opening a savings account, even though the SIN was not needed for income reporting. The financial institution argued that using the SIN for identity verification was beneficial for maintaining data integrity and cited FINTRAC guidelines. The OPC reviewed FINTRAC and Employment and Social Development Canada (ESDC) guidelines and found no requirement or suggestion for using SINs for identity verification. The OPC concluded that requiring consent for this practice as a condition of service contravened Principle 4.3.3 of PIPEDA. The financial institution agreed to make the use of SIN for identity verification optional, and the complaint was deemed well-founded and conditionally resolved. A follow-up confirmed full compliance.