Back to Basics – FAQs about the Red Flags Rule
Abstract: Nine million Americans will have their identities stolen this year, according to the Federal Trade Commission (FTC). But the FTC’s Red Flags Rule aims to reduce the risk of identity theft. Some commercial lenders mistakenly presume the rule doesn’t apply unless they make personal loans. But it actually does apply to many small business lenders — and their business borrowers. This article answers a few FAQs about the rule, including who’s required to follow it and how to comply.