Compliance
FTC Safeguards Rule: What Financial Companies Need to Know
The FTC Safeguards Rule (amended in 2021) carries significant consequences for non-compliant organizations. Fines can reach up to $43,792 per violation, per day.
The FTC Safeguards Rule (amended in 2021) carries significant consequences for non-compliant organizations. Fines can reach up to $43,792 per violation, per day. If your organization falls under the scope of the rule, now is the time to act.
What Is the FTC Safeguards Rule?
Effective January 10, 2022, the Federal Trade Commission requires that financial institutions implement and maintain a comprehensive information security program designed to protect customer personal information. The rule applies to a broad range of non-banking financial institutions, including auto dealerships, payday lenders, mortgage brokers, and title companies, among others.
How Cyber One Solutions Can Help.
Our team of cybersecurity experts is experienced in working with non-banking financial institutions to achieve and maintain compliance. We understand the regulatory requirements and take the complexity out of the process so your organization can stay protected without disruption to your operations.
Our compliance support includes working with your appointed Qualified Employee to oversee the program, developing and maintaining your Written Information Security Plan, developing and maintaining your Written Incident Response Plan, developing and maintaining your Written Risk Assessment, implementing and maintaining proper access controls for data privacy, assisting with inventorying assets and keeping confidential data in-scope, providing assistance with data encryption implementation and management, working with your vendors to ensure secure development practices are being followed, assisting with multi-factor authentication where required, implementing and maintaining system monitoring and logging, assisting with ongoing secure data disposal procedures, developing and managing change management procedures, implementing systems to detect and prevent unauthorized access to confidential data, assisting with intrusion detection and vulnerability testing, and overseeing and monitoring third-party vendors and service providers.
Who Needs to Comply?
All auto dealerships, title companies, mortgage brokers, payday lenders, and other non-banking financial institutions must be fully compliant with the FTC Safeguards Rule. If your organization has not yet completed a compliance review, contact us right away to discuss how we can help get you on track.
Note: The information on this page is intended for general awareness purposes and is not official legal or regulatory advice. Please consult the official guidance from the Federal Trade Commission for authoritative requirements.