FTC Invites Input on Identity Theft Rules

Financial institutions and creditors can suggest changes to two federal rules designed to help companies spot identity theft to the Federal Trade Commission over the next two months.

The FTC is seeking input on whether it should update its Red Flags Rule. It requires financial institutions and some creditors to create written identity theft prevention programs that detect “red flags” of identity theft connected to covered accounts. It also requires them to take steps to prevent and mitigate the effects.

The agency also wants comment on the Card Issuers Rule, which requires debit and credit card issuers to have policies ...