FTC Extends Red Flags Rule Enforcement Deadline Again

In November, just in time to extend the November 1st extension, the Federal Trade Commission (FTC) announced that they are delaying enforcement of the "Red Flags" Rule until June 1, 2010.  This applies to financial institutions and creditors who are subject to enforcement by the FTC.

Per the Fair and Accurate Credit Transactions Act, any business that allows delayed payments or extends credit for services will be required to develop and implement a written identity theft prevention program for their business or office  to help identify, detect, and respond to patterns, practices, or specific activities (otherwise known as "red flags") that could indicate identity theft.

The FTC staff has published numerous general and an industry-specific article, released a video explaining the Rule, and continues to respond to inquiries from the public.   More information from the FTC is available on their web site, including some easy guides to set up a red flag program for your own office: ftc.gov/redflagsrule.