Red Flag Compliance Rules

Our system to help your company with red flag compliance can be used on any PC with internet access. The system can help small one man shops to nationwide companies with thousands of employees be red flag compliant. The rules for red flag are simple:

	Avoid risky transactions
	Protect your companies data
	Prevent fraud and loss of revenue

Help me login to the demo

Red Flag Compliance - Protecting your business

The Red Flags Rule which requires businesses and organizations to implement a written Identity Theft Prevention Program designed to detect the warning signs (or red flags) of identity theft, take steps to prevent the crime and mitigate the damage it inflicts.

As many as nine million Americans have their identities stolen each year and the Federal Government passed the red flag compliance rules to ensure that all businesses involved in the financial industry or companies extending credit implement certain procedures to check for possible identity theft signs.

What is the Red Flag Compliance rule?

The Red Flag Compliance rules sets out four elements for which your company must comply:

1. Your company program must include reasonable policies and procedures to identify the red flags of identity theft. Red Flags are suspicious patterns or practices or specific activities that indicate the possibility of identify theft. For example if a customer provides an ID that looks altered or fake this would be a red flag.

2. Your company program must be designed to detect the red flags that you have identified. For example if you have determined that fake ID’s are a red flag in your industry then you must have procedures in place to check for possible fake ID’s.

3. Your program must spell out appropriate actions to check for red flags.

4. Because identity theft is an ever-changing threat you must address how you will re-evaluate your program periodically to reflect new risks from this crime.

Just putting you program down on paper does not indicate red flag compliance. That’s why red flag compliance sets out requirements on how to incorporate your red flag compliance program into your daily operation of business. Your red flag compliance program must be approved by your board of directors or if you do not have a board, approval is up to an appropriate senior-level employee. Your program must state who is responsible for implementing and administering it effectively. Your program must also include appropriate staff training.

Who must comply with the red flag compliance rule?

Financial Institutions - Any financial institution that holds a consumer transaction account

Banks

Credit Unions

Savings and Loans

Creditor – Businesses that defer payment for goods or services or bill customers later.

Utility companies

Health care providers

Telecommunications companies

Automobile Dealers

Mortgage Companies

Finance Companies

Retailers that offer Financing

Real Estate Agents

The Red Flag Compliance Rules states that if your company has “covered accounts” then you must be red flag compliant.

Don't Forget To Add Checks by Phone!

Don't just use our system to see if you should do business with a customer go ahead and take that check by phone or echeck payment right away! Our system is first and foremost a payment processing web software! By taking check payment over the phone you do not have to wait for anything to arrive by mail. It's simple and ready to use. Reps are standing by to give you a live check by phone demo.

Call about red flag compliance today:

800-844-2044