Introduction

In November of 2007, the Federal Trade Commission (FTC) and five federal bank regulatory agencies (FDIC, OCC, Federal Reserve, OTS and NCUA) jointly issued the final rules and guidelines implementing sections 114 and 315 of the Fair and Accurate Credit Transactions Act (FACT Act). Commonly known as the “Red Flag Rules”, these regulations require the development, implementation, and maintenance of a written Identity Theft Prevention Program by financial institutions and "creditors" for "covered accounts".

The Compliance deadline was November 1, 2008; however, the FTC has four times granted a delay of enforcement of the ‘Red Flags’ Rule. December 31, 2010 was the official enforcement date.

It is important to note the following:

The Commission urges Congress to act quickly to pass legislation that will resolve any questions as to which entities are covered by the Rule and obviate the need for further enforcement delays. If Congress passes legislation limiting the scope of the Red Flags Rule with an effective date earlier than December 31, 2010, the Commission will begin enforcement as of that effective date.

Who Needs to Meet Red Flag Regulations? (choose an industry)
Auto Dealer and Recreational Vehicles   Deferred Payments   Debt Collectors   Equities Brokerage   Online Banks and Credit Unions   Telecommunications	Health Care   Retailers   Mortgage Brokers or Mortgage Lending Brokers   Educational Institutions   Third Party Billing   Utility Companies