Network Security
Vulnerability Management
Privileged Access Management
Endpoint Security
Threat Hunting
Unified Endpoint Management
Email & Collaboration Security
Contents:
The U.S. Federal Trade Commission (FTC) requires all non-banking financial institutions to report data breaches to FTC within 30 days. The amendment to the Safeguard Rule refers to security incidents that impact more than 500 people.
Samuel Levine, Director of the FTC’s Bureau of Consumer Protection, stated that:
Companies that handle sensitive financial information must be transparent when that information is compromised. This update to the Safeguards Rule adds a layer of accountability, encouraging stronger data protection.
Who do the new FTC regulations apply to
The new amendment concerns all other financial companies that are not banks:
- mortgage brokers
- motor vehicle dealers
- payday lenders
- investment firms
- insurance companies
- peer-to-peer lenders
- asset management firms, etc.
What should you do to comply to the FTC Safeguards Rule
If your company is victim to a data breach that impacts more than 500 customers, you have to notify the Federal Trade Commission within 30 days. You can find the form you need to complete on FTC’s website.
The notice should include details like:
- name and contact data of the reporting financial company
- description of the types of the compromised data
- date or date range of the incident, if possible
- how many people were impacted
- a general description of the incident, etc.
What happens if you don`t announce in time a data breach
The amendment to the FTC Safeguards Rule will take effect starting April 2024.
Organizations that fail to comply with the FTC Safeguards Rule can face financial penalties and reputation damage. Non-compliance can lead to fines of up to $100,000 per violation. In addition, customers and employees can sue non-compliant companies if their private data are compromised.
How can Heimdal help with compliance issues
Heimdal’s Unified Cybersecurity Suite offers companies real-time responsiveness to isolate, limit, and neutralize threats. The solution helps organizations comply to the FTC’s regulations and create a safe environment for their customers’ sensitive financial data.
Heimdal streamlines the reporting process, with automated incident logging and reporting tools. This way you`ll have all the necessary information ready for any kind of report that you need, FTC compliance included.
Then there`s the safety aspect. Heimdal`s encryption and privilege access management tools will help you keep customer`s information safe. Your company will be able to prevent unauthorized access to sensitive data, thus complying the FTC’s call for stronger data protection.
If you liked this article, follow us on LinkedIn, Twitter, Facebook, and Youtube, for more cybersecurity news and topics.
- End-to-end consolidated cybersecurity;
- Powered by the Heimdal XDR, Unified Security Platform
- Comprehensive enterprise security without any additional integrations
- 24x7 monitoring & prompt response delivered by our security experts
