* Privacy notice, with specifics on placement and content.
* A direct notice to parents, with specifics on content.
* Verifiable parental consent, for internal use, public disclosure and third-party disclosure of information.
* Verification that a parent requesting access to child's information is actually the parent.
* Ability for parents to revoke consent and delete information.
* The ability for industry groups and others to create self-regulatory programs to govern compliance with COPPA.
Source: Federal Trade Commission
Fair and Accurate Credit Transaction Act (FACTA), including Red Flags Rule
What it covers: Passed in December 2003, FACTA is an amendment to the Fair Credit Reporting Act that is intended to help consumers avoid identity theft. Accuracy, privacy, limits on information sharing, and new consumer rights to disclosure are included in the legislation. The Act also says businesses in possession of consumer information or information derived from consumer reports must properly dispose of the information.
The Red Flags Rule establishes new provisions within FACTA requiring financial institutions, creditors, etc. to develop and implement an identity theft prevention program. The Red Flags Rule has been delayed several times and is currently scheduled for enforcement by the FTC starting December 31, 2010.
Who is affected: Credit bureaus, credit reporting agencies, financial institutions, any business that uses a consumer report and creditors. As defined by FACTA, a creditor is anyone who provides products or services and bill for payment.
Link to the law: http://www.ftc.gov/os/statutes/031224fcra.pdf
Red Flags Rule: http://www.ftc.gov/os/fedreg/2007/november/071109redflags.pdf
Key requirements/provisions: FACTA includes the following key provisions:
* Free reports. Consumers can obtain a free credit report once every 12 months from each of the three nationwide consumer credit reporting companies.
* Fraud alerts and active duty alerts. Individuals can place alerts on their credit histories if identity theft is suspected or if deploying overseas in the military, thereby making fraudulent applications for credit more difficult.
* Truncation: Credit cards, debit cards, Social Security numbers. Credit and debit card receipts may not include more than the last five digits of the card number or the expiration date. Consumers who request a copy of their file can also request that the first five digits of their Social Security number not be included.