FTC’s Red Flag Rules to Curb Identity Theft Set to Take Effect
October 29, 2009
The FTC’s “Red Flag” mandate to curb identity theft is set to take effect on November 1, 2009, one full year after the original policy was to be enforced. It appears that after many delays, the government is finally ready to take action.
Creditors and Financial Institutions must develop and implement a written Identity Theft Prevention Program.
Further, all employers that conduct background checks are supposed to have a policy in place to handle “Red Flag” Address Discrepancy Notifications from the National Consumer Reporting Agencies (mainly credit bureaus). This rule has been in effect since last November and we are still unclear what such notifications will look like when and if they occur.
For more information on these guidelines and how to comply check out: