Identity Theft ‘Red Flags,’ Card Issuer Rules Under FTC Review

The Federal Trade Commission in December will recommend potential changes to two rules requiring financial institutions to take steps to detect signs of identity theft affecting their customers.

The FTC May 22 provided a status update to proposed changes to the existing Red Flags Rule and the Card Issuer Rule as part of its spring regulatory agenda. The recommendations are being drafted as staff are reviewing public comments, which closed in February.

There have been longstanding efforts to update protections for consumers amid identity theft and data breaches. Identity theft was the third biggest category of consumer complaints made to ...