Which of the following explaining statements is required in Privacy Notices?

The correct answer is focused on the necessity for privacy notices to disclose the types of information that the company collects about customers. This requirement is crucial because privacy notices are designed to inform individuals about their personal data rights, how their personal information will be used, and what kind of personal information is collected. This transparency is central to maintaining trust and compliance with various privacy regulations, such as the Gramm-Leach-Bliley Act and other state-specific guidelines regarding consumer privacy.

By clearly stating what information is gathered, companies ensure that customers are aware of the data being handled, which is an essential component of consumer protection. Specifically, transparency about data collection helps customers make informed decisions about whether to share their personal information with the company, understanding how it might be used or shared.

In contrast, details regarding how long a company has been in business, the services it offers, or its history and background do not pertain directly to the privacy and protection of personal data. These aspects, while potentially important for customers when considering a business, do not fulfill the requirements set forth in privacy notices.