A Privacy Policy agreement is the agreement where you specify if you collect personal data, what kind of personal data you collect from users and what you do with that data.

This agreement is required by law if you collect personal data. Personal data is any kind of data or information that can be considered personal (identifies an individual):

Email address
First and last name
Billing and shipping address
Credit card information
And so on
Contents
1 What is a Privacy Policy
1.1 Who needs a Privacy Policy
1.2 The basics of a Privacy Policy
1.3 What to include in Privacy Policy
1.4 How to enforce a Privacy Policy
2 Examples of Privacy Policy agreements
3 Download Privacy Policy Template
What is a Privacy Policy

A Privacy Policy is a legal statement that specifies what the business owner does with the personal data collected from users, along with how the data is processed and why.

In 1968, Council of Europe did studies on the threat of the Internet expansion as they were concerned with the effects of technology on human rights. This lead to the development of policies that were to be developed to protect personal data.

This marks the start of what we know now as a “Privacy Policy”. While the name “Privacy Policy” refers to the legal agreement, the concept of privacy and protecting user data is closely related.

This agreement can also be known under these names:

Privacy Statement
Privacy Notice
Privacy Information
Privacy Page
The Privacy Policy can be used for both your website and mobile app if it’s adapted to include the platforms your business operates on.

The contents of a Privacy Policy may differ from one country to another, depending on the country legislation, but most privacy laws identify the following critical points that a business must comply with when dealing with personal data:

Notice. Data collectors (meaning, you or your company) must make clear what they are doing with the personal information from users before gathering it. Choice. The companies collecting the data must respect the choices of users on what information to provide and how personal that provided information will be. Access. Users should be able to view or contest the accuracy of personal data collected by the company. Security. The companies are entirely responsible for the accuracy and security (keeping it properly away from unauthorized eyes and hands) of the collected personal information.
This means that a “Privacy Policy” serves as a way to inform users how their personal information will be used, along with how the information will be collected and who has access to it.