After combing through 60 pages of regulations with special emphasis on the last four, a look at the final rule reveals the need to help Uncle Sam tighten the screws on identity theft….
Not a bad cause. This amendment to the FACT (Fair and Accurate Credit Transactions) Act is often referred to as the Red Flags Rules. Created in response to a crippling rise in identity theft and medical fraud, the heart of this legislation lies in detecting identity theft long before the customer ever realizes it has happened. It also deals with developing strategies to prevent the loss of secured information as well as procedures for mitigation once identified….
The Red Flags Rules address any facility that provides a service and then bills for the service (deemed a creditor). The law requires a program, not just a document…..