How to Avoid the Top 5 Most Common GDPR Fines
The threat of a GDPR fine is very real. While the headlines often feature multinational corporations receiving massive penalties, businesses of all sizes are at risk. The good news is that many of the most common infringements are easily avoidable with the right knowledge and tools.
This guide breaks down the five most frequent violations that lead to fines and provides actionable steps you can take today to safeguard your business.
Violation #1: Lack of a Clear and Compliant Privacy Policy
A weak or non-existent privacy policy is a huge red flag for regulators. It's the most basic requirement for demonstrating transparency. The Fix: Ensure your privacy policy is comprehensive, easy to read, and covers all mandatory elements, including the purpose of data collection, user rights, and contact information.
Violation #2: Unlawful Processing of Personal Data
You must have a clear legal basis for processing any personal data. For example, using customer emails for marketing without their explicit consent is a common and serious violation. The Fix: Conduct a data audit to map every piece of data you process to one of the six legal bases under GDPR. If you rely on consent, make sure it is freely given, specific, informed, and unambiguous.
Violation #3: Failure to Honor User Rights
The GDPR gives individuals significant control over their data. Failing to respond to a “right to be forgotten” or a “right to access” request within the required timeframe can lead to fines. The Fix: Create and document a clear procedure for handling all user data requests and ensure your team is trained to follow it promptly.
Violation #4: Lack of Adequate Data Security
A data breach is not just a PR nightmare; it can lead to massive fines if you're found to have inadequate security measures. The Fix: Implement robust security protocols, such as data encryption, access controls, and regular security audits. If a breach does occur, you must have a plan for a swift and proper response, including notifying affected individuals and the relevant supervisory authority.
Violation #5: Incorrect International Data Transfers
Sending personal data outside the European Economic Area (EEA) is a complex area of GDPR. Without the proper legal mechanism (e.g., Standard Contractual Clauses), you are in violation. The Fix: If you work with service providers outside the EEA, ensure they have the necessary legal agreements in place. Clearly state these transfers and safeguards in your privacy policy.
A Simple First Step to Protect Your Business
The easiest way to get started is by checking your privacy policy. Since many of these violations stem from a lack of transparency, a compliant policy is your first line of defense.
Don't risk a fine. Our free GDPR Policy Checker can instantly scan your website to identify potential gaps in your privacy policy and give you actionable insights to fix them.