FTC Moves Red Flags Rule Enforcement Date to June 1

The Federal Trade Commission has decided to delay enforcement of the Red Flags Rule until June 1, 2010. As a result, jewelers covered by the rule now have several additional months to develop an Identity Theft Prevention Program as mandated by the Rule. 

The Commission had previously delayed enforcement of the Rule until November 1, 2009.

The purpose of a Red Flags Program is to help identify, detect and respond to the “red flags” of identity theft. Any jeweler that is a “creditor” with “covered accounts,” as those terms are defined by the Rule, is required to develop a program by June 1, 2010.

See Related Articles below for more information about the Red Flags Rule.