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ComplianceCast August 2008 | Compli.com

August 2008 — With the Federal Trade Commission (FTC) November 1, 2008 deadline for Red Flags compliance looming, dealerships must have a plan, and a program, to address requirements mandated by the Fair and Accurate Credit Transactions Act of 2003 (FACTA). This edition of ComplianceCast is dedicated to helping you tackle the Red Flag Rules, and to taking a bite out of the $15.6 billion cost of identity theft.

	Identifying Identity Theft: Complying With the New Red Flag Regulation Kelly Faehr of Crowe Chizek and Company LLC provides a clear and concise summary of the Red Flag Rules. The article provides answers to the questions: What is a Red Flag? What are the requirements of the regulation? How does a dealership Institute an Identity Theft Prevention Program, and What key areas, specifically, should the Program address? Crowe Chizek and Company LLC, Dealership Flash

	Red Flag Warning The Red Flags Rule requires auto dealers who engage in financing activities to establish an Identity Theft Prevention Program that is designed to detect, prevent, and mitigate identity theft. For most dealers, this means creating a written Program with respect to new credit accounts. For those of you in the Buy Here, Pay Here community, your Program will need to address your existing accounts as well. In this article, Michael Benoit of Hudson Cook LLP outlines the four distinct elements your Program must deal with through reasonable policies and procedures. Hudson Cook LLP

	5 Myths of FACTA Disposal Rule Compliance Public concern and media coverage of identity theft are at an all-time high, creating misinformation about what dealerships must do to comply with the law and protect their customers (and themselves). This article explores the five myths preventing dealers from implementing an easy and convenient document disposal process for both virtual and hard copy information. F&I Management & Technology

Six “Red Flags” Best Practices Used by Compli Customers

Customers of Compli are already implementing "Red Flags" Programs tailored to their dealerships. Following are six best practices they’ve established to address the requirements:

1. Designate a Compliance Officer responsible for Red Flags

2. Create and implement a written Identity Theft Prevention Program

3. Periodically review and update the written Program to reflect changing risks

4. Train relevant staff members to follow the Program as outlined

5. Involve the Board and/or senior management to approve the Program and its administration

6. Prepare annual reports for the Board and/or senior management

To find out how Compli can help your dealership set up a comprehensive "Red Flags" Program, visit www.compli.com/red-flags, call 1.866.294.5545 and attend our upcoming webinars (see below).

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Free “Red Flags” Compliance Webinar Workshop Series

To better assist auto dealerships nationwide in building and enhancing their compliance practices, Compli, in collaboration with Michael Benoit of Hudson Cook, LLP, is offering a comprehensive “Red Flags” Compliance Webinar Workshop Series.

The series is complimentary and limited to the first 1000 registrants, and dealers do not need to be current clients of Compli to participate.

Designed specifically to address the many processes, legal content and training requirements associated with “Red Flags” compliance in a dealership, the “Red Flags” Compliance Webinar Workshop Series is a must for dealership owners, principals, F&I managers, service managers, and/or anyone designated as responsible for their dealership’s “Red Flags” Program.

Compli “Red Flags” Compliance Webinar Workshop Series Schedule

August 27th, 11:00am (PDT)
*Workshop 3: How to Implement and Monitor Your Tailored “Red Flags” Program
To register, visit: https://www1.gotomeeting.com/register/142766241.

September 3rd, 9:00am (PDT)
Workshop 4: How to Report On and Update Your Program as Required by Law
To register, visit: https://www1.gotomeeting.com/register/676017124.

*The first two workshops have already taken place but can be accessed in the Compli Webinar Archives linked below:
Workshop 1: How to Get Started - “Red Flags” Overview and Introduction
To register for the archive, visit: http://compli.com/contact/form_webinar_redflag_workshop1.php.
Workshop 2: How to Assess Your Current Environment & Build Your Tailored “Red Flags” Program
To register for the archive, visit: http://compli.com/contact/form_webinar_redflag_workshop2.php.