A little over a year ago, the FTC made several amendments to the existing Safeguards Rule requiring even very small businesses to ensure the protection of client data. These changes, set to go into effect back in December of 2022, are now going to be enforced starting June 9, 2023 – and it’s very likely that your business, regardless of how small or how your tech is being handled, WILL be required to implement certain new security protocols.
The Safeguards Rule was originally created for financial institutions. However, the new amendments broaden the definition of financial institutions to include real estate appraisers, car dealerships and payday lenders. The FTC goes so far as to include any business that regularly wires money to and from consumers. These organizations are required to develop, implement and maintain a comprehensive security program to keep their customers’ information safe.
Here are the provisions you must implement:
If you want to discuss this new rule with us and how to get started with a Risk Assessment, click here to schedule a phone consultation to discuss your concerns, questions and specific situation. If you prefer, you can call us at [va_phone phone2=”false”].