FTC Safeguards Rule (GLBA)

The FTC Safeguards Rule is a set of regulations put in place by the Federal Trade Commission (FTC) in 2003, and recently updated in 2021, to ensure businesses are handling customer information properly and protecting it from misuse. The rule requires financial institutions, including “non-banking financial institutions” such as auto dealerships, to develop and implement a comprehensive information security program to protect customer-sensitive information from cyberattacks, identity theft, and other forms of fraud. All financial institutions will be required to demonstrate their compliance with the rule starting December 9, 2022.

The FTC safeguards rule applies to all businesses that collect or maintain sensitive customer information, including large institutions like banks, credit card companies, and small businesses. The FTC is authorized to enforce the safeguards rule and can impose penalties on companies that fail to comply with the rule requirements.

The FTC updated the safeguards rule to account for advances in technology and the growing interaction between business systems and consumer information. The revised safeguards rule is an update to the Gramm-Leach-Bliley Act (GLBA), implemented in 1999.

To be compliant with the safeguards rule, businesses must implement a basic information security program that includes written policies, procedures, and guidelines for protecting customer information. The program must manage access to data, detect and respond to security incidents, provide security awareness training, and include risk management plans. The program must also establish roles and responsibilities for the security team.

At WOM Technology Management Group, we provide base Centurion Cyber Security plans that include all measures required by the Gramm-Leach-Bliley Act (GLBA) or FTC Safeguards Rule. Our team of experts can help businesses with implementing a comprehensive information security program and ensuring compliance with the safeguards rule.

If you’re seeking compliance with the FTC Safeguards Rule, we can assist you in achieving compliance quickly and efficiently. We’ll help you with access controls, inventory management, encryption for data in-motion and data at rest, application security, multi-factor authentication, data disposal, change management, and logs. Our services ensure that you’re not just compliant with the Safeguards Rule, but that you’re also well-protected from cyber threats.

For more information on the FTC Safeguards Rule and its requirements, visit the FTC’s website.