SELECTSHRED | FACTS ABOUT FACTA AND IDENTITY THEFT
PORT ST LUCIE SHREDDING FORT PIERCE SHREDDING
STUART SHREDDING PALM CITY SHREDDING
HOBE SOUND SHREDDING PALM BEACH SHREDDING
Identity theft is an ongoing threat that causes us to remain vigilant to protect ourselves, our families, our businesses, and our customers. FACTA requires us to be aware of what we can do to safeguard the confidential information in our custody from retention to disposal. We need to be mindful that beyond the penalties, if confidential information is compromised, our business image suffers and customer loyalty is jeopardized. FACTA simply wants us to realize that when it is no longer necessary to keep confidential documents, they should be destroyed and properly disposed of and should never be simply thrown in the trash.
The Fair and Accurate Credit Transactions Act of 2003 (FACTA) is a law enforced by the Federal Trade Commission (FTC). FACTA added provisions to the Fair Credit Reporting Act (FCRA). FACTA is designed to reduce the risk of identity theft by making provisions for the proper safeguarding and disposal of consumer information. The FACTA Disposal Rule requires that if you acquire consumer information for a business purpose, you must properly destroy that information and take reasonable measures to protect that information even when you need to dispose of it. Although the FTC FACTA Disposal Rule highlights organizations such as lenders, insurers, employers, government agencies, mortgage brokers, and automobile dealers, FACTA applies to almost every person or business in the U.S. An individual or business that violates FACTA rules could face severe penalties: civil liability, class action, federal enforcement, and state enforcement. Penalties could range from hundreds of dollars to the millions.
Ultimately, it is the responsibility of each business to ensure that the confidential information in its charge has been securely destroyed and discarded by responsible persons with authorized access. A business should know how its confidential information will be destroyed, where it will be destroyed, who will destroy it, and when it will be destroyed. It is imperative to receive a certificate of destruction after each document destruction service. It is a legal document to show that your records were transferred to the custody of a document destruction service with the credentials to properly destroy and discard your confidential information. Shredding with a third party service such as a NAID AAA Certified company that destroys the confidential documents at your location can help to fight identity theft, protect customer information and privacy, as well as protect a company’s proprietary information and its reputation.
The National Association for Information Destruction (NAID) states that “Contracting with a NAID Member to shred all discarded consumer information is the best way to comply with FACTA. Service can be arranged on a schedule that suits any office. It is the most economical alternative no matter how small or large the need.”
Follow the link below for more information on the FTC’s response to improper disposal of consumer confidential information.
Richard Kinkead & Gloria Kinkead
SelectShred, Inc.
T: (772) 463-3166
