The Compli Red Flags Program

The Compli Red Flags Identity Theft Protection Program was developed in consultation with Hudson Cook, LLP, a leading provider of legal services to the automotive industry. The Compli Program provides dealerships the ability to draft, rollout, train, monitor and report on their unique Red Flags Program. For all Compli Dealership Compliance Management System (DCMS) clients we are including, at no additional cost, this comprehensive Red Flags solution as part of our core compliance package.

Background and Risk

Red Flags is just one piece of the complex regulatory compliance puzzle dealers face. GLBA, OFAC, Rule 8300, Adverse Action…the list goes on and on. In our Red Flags Library you will see the Compli Red Flag Rules Program Overview. The Overview provides a summary of the Red Flag Requirements, our program offering and compliance best practices that will help dealers address the fastest growing crime in America, identity theft.

As part of a mandate from the Fair and Accurate Credit Transactions Act, auto dealerships must establish a written Identity Theft Prevention Program. The new Red Flags Law became effective on January 1, 2008 with an original mandatory compliance date of November 1, 2008 however the FTC has suspended the enforcement deadline until May 1, 2009. Dealerships failing to create and maintain a good faith compliance effort around a Red Flags program run the risk of fines for each violation of the law and exposure to a public relations disaster.