The Federal Trade Commission (FTC) Fair and Accurate Credit Transactions Act went into effect on June 1st, 2005. This new rule requires all businesses to property dispose of and destroy sensitive consumer data.
Intended to combat consumer fraud and identity theft and protect individual privacy, the Act broadly covers "…any record about an individual, whether in paper, electronic or other form that is a consumer report (also known as a credit report) or is derived from a consumer report."
It requires any person or company that possesses or maintains such information to take "reasonable measures to protect against unauthorized access to, or use of the information in connection with its disposal."
FACTA's new document destruction requirements include:
? Assign one or more employees to oversee the security aspects of your program.
? Conduct a risk assessment of your data destruction procedures.
? Establish safeguards to control the risks identified in the assessment and regularly test and monitor your safeguards.
? Require service providers, by written contract, to protect customers' personal information.
? Periodically update the security aspects of your program.
"Virtually every business is affected by this law," says Tom Caso, Chief Operating Officer of Shred-it San Diego. "The Federal Trade Commission vigorously enforces this rule as it pertains to nonpublic personal information (NPI) and other sensitive and confidential material; non-compliance may result in fines of $11,000.00 a day, plus FTC monitoring of your Human Resources activities. Some financial service firms have opted to double shred their documents. This trend is particularly evident in banks, savings and loans, credit unions and credit card processors"
For a synopsis of FACTA, go to www.shreditsd.com, or call 1-800-421-7473 and ask for their White Paper. Want to read the real thing? Visit www.ftc.gov.
Shred-it San Diego recently took delivery of Southern California's first double-shredding truck. This truck mounted, electronically-controlled technology breakthrough reduces documents to 3/16th inch bits of paper. Visit their website or call 1-800-421-7473 for more information.
Intended to combat consumer fraud and identity theft and protect individual privacy, the Act broadly covers "…any record about an individual, whether in paper, electronic or other form that is a consumer report (also known as a credit report) or is derived from a consumer report."
It requires any person or company that possesses or maintains such information to take "reasonable measures to protect against unauthorized access to, or use of the information in connection with its disposal."
FACTA's new document destruction requirements include:
? Assign one or more employees to oversee the security aspects of your program.
? Conduct a risk assessment of your data destruction procedures.
? Establish safeguards to control the risks identified in the assessment and regularly test and monitor your safeguards.
? Require service providers, by written contract, to protect customers' personal information.
? Periodically update the security aspects of your program.
"Virtually every business is affected by this law," says Tom Caso, Chief Operating Officer of Shred-it San Diego. "The Federal Trade Commission vigorously enforces this rule as it pertains to nonpublic personal information (NPI) and other sensitive and confidential material; non-compliance may result in fines of $11,000.00 a day, plus FTC monitoring of your Human Resources activities. Some financial service firms have opted to double shred their documents. This trend is particularly evident in banks, savings and loans, credit unions and credit card processors"
For a synopsis of FACTA, go to www.shreditsd.com, or call 1-800-421-7473 and ask for their White Paper. Want to read the real thing? Visit www.ftc.gov.
Shred-it San Diego recently took delivery of Southern California's first double-shredding truck. This truck mounted, electronically-controlled technology breakthrough reduces documents to 3/16th inch bits of paper. Visit their website or call 1-800-421-7473 for more information.