A privacy policy is a document that clearly and transparently explains how a website or app collects, uses, stores, and protects users’ personal data. It informs users what information is processed (such as name, email, IP address), for what purposes (e.g., to provide a service or send communications), and with whom it may be shared. A privacy policy is required by law in many countries and protects both the user’s rights and the service provider’s responsibilities.