On December 4, the Federal Trade Commission announced that it is
seeking comment on whether the agency should make changes to rules
requiring that financial institutions and creditors take certain
steps to detect signs of identity theft that may affect their
customers.
In a press release, the FTC stated that as part of
its periodic review of its rules and guidelines, it is seeking
comment on whether modifications should be made to the Red Flags
Rule and the Card Issuers Rule.
The Red Flags Rule requires financial institutions and certain
creditors to not only implement a written identity theft prevention
program aimed at detecting "red flags" of identity theft
in their daily operations, but also take steps to prevent identity
theft and mitigate its damage.
