FTC Publishes 'Red Flag' Guide for ID Theft Prevention

The Federal Trade Commission (FTC) has put together a new Guide titled "Fighting Fraud with the Red Flags Rule: A How-to Guide for Business."

The "Red Flags" Rule, which went into effect on January 1, 2008, requires many businesses and organizations to implement a written Identity Theft Prevention Program. This program should detect early warning signs (red flags) of identity theft, take steps to prevent the crime, and mitigate damage that could be caused by it. The Red Flags Rule applies to "financial institutions" and "creditors," though those terms apply more broadly than in typical use.

The guide comes out just in time for enforcement to begin. The FTC says they began enforcement of the Red Flags Rule on May 1, 2009.

Head on over to the FTC site to determine if the Red Flags Rule applies to your organization, get practical tips on spotting identity theft, and to learn how to put your ID Theft Prevention program into place.