Red Flags Identity Theft Prevention Program

According to a report of the President’s Identity Theft Task Force, identity theft (a fraud attempted or committed using identifying information of another person without authority), results in billions of dollars in losses each year to individuals and businesses.

The final rules require each financial institution and creditor that holds any consumer account, or other account for which there is a reasonably foreseeable risk of identity theft, to develop and implement an Identity Theft Prevention Program (Program) for combating identity theft in connection with new and existing accounts. The Program must include reasonable policies and procedures for detecting, preventing, and mitigating identity theft and enable a financial institution or creditor to:

1. Identify relevant patterns, practices, and specific forms of activity that are “red flags” signaling possible identity theft and incorporate those red flags into the Program;
2. Detect red flags that have been incorporated into the Program;
3. Respond appropriately to any red flags that are detected to prevent and mitigate identity theft; and
4. Ensure the Program is updated periodically to reflect changes in risks from identity theft.

Red Flags is a Follow up to Data Protection

"Identity Theft is fully out of control," said National Red Flags
Compliance expert Lee Holden.

"in 1999 there were approximately 1 million victims of identity
theft. Currently there are about 14 to 15 million victims each
year," said Holden.

"Twenty five people every minute of every day, 24/7. When
I do a one hour Webinar on Red Flags Compliance, in just that
one hour, 1500 people will have been effected by some form of
identity theft."

And, who needs to be compliant, Holden was asked.

"Anyone who originates a loan, even a Doctor's Office," said Holden.

"Why even a Doctor's Office? There are at least three reasons,"
Holden said.

"One, they send bills after the patients have left the office.
Also, the individual is ultimately the one responsible for the
payment (so, in essence, the office has extended credit) and
a third reason is the Doctor may bill and collect co-payments,
after any insurance makes their payments.

Identity Theft Prevention Program

To find out more about Red Flags Compliant Rules or to
request a complimentary consultation with Lee Holden, go to:
RedFlagsCompliant.com

SIGN UP NOW FOR OUR NEXT Q&A WEBINAR
WITH NATIONAL RED FLAGS EXPERT LEE HOLDEN
Tue, Aug 25, 2009 8:30 PM - 9:30 PM EDT

Contact Us: getcompliant@gmail.com