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POPIA Data Protection
An FSP wants to use client contact details collected for policy administration to run an unrelated marketing campaign. What does POPIA's purpose-limitation principle require?
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) Information collected for one purpose should not be further processed for an incompatible purpose without a lawful basis such as consent.Correct
- b) Any data, once collected, may be used for any purpose the FSP later thinks of.
- c) Marketing is always exempt from POPIA, so no basis is needed.
- d) Purpose limitation only applies to medical data, not contact details.
Why this is the answer
POPIA's purpose-specification and further-processing-limitation conditions mean data collected for one purpose cannot simply be repurposed for an incompatible use; a lawful basis (e.g. consent or a compatible purpose) is required first.
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