IT Examiner School, Seaside, CA

Identity Theft

• Identity theft is a fraud committed or attempted by using the identifying information of another person without his or her authority. • As more financial transactions are done electronically and remotely, and as more sensitive information is stored in electronic form, the opportunities for identity theft have increased significantly. • Despite, generally strong controls and practices by financial institutions, methods for stealing personal data and committing fraud with that data are continuously evolving.

Identity Red Flag Regulation Requirements

• The regulations require financial institutions and creditors to implement a written identity theft prevention program, which includes: – Periodic identification of covered accounts (not required to be done on an annual basis – should be done periodically, as needed) – Establishment of an identity theft prevention program (Program) – Administration of the Program