As an Auto Dealer, there are federal, state, and local regulations that must be followed, including the Federal Trade Commission’s (FTC) Safeguards Rule. The deadline for complying with the updated requirements of the Safeguards Rule is June 9, 2023. These are new rules that all Auto Dealers must follow in order to keep their clients and their client’s data protected.
What is the Safeguards Rule?
The Safeguards Rule is used to ensure that entities covered by the rule maintain safeguards to protect the security of customer information. It applies to companies that hold or process consumers’ personal information. All companies that fall under this rule must implement an information security program, which includes a set of policies, procedures, and guidelines in order to protect its customer information.
- Do you have a Compliance Officer?
- Is your Safeguards Policy in place?
- Is your IT network secure?
- Do you have an emergency action plan?
- Do you have a designated emergency coordinator?
- How often do you conduct employee training?
What are the Consequences of Being Non-Compliant?
Although it can be a hassle to abide by these rules, non-compliant consequences are much worse and include:
- Access to information systems disabled.
- Fines, which can cost an organization up to $100,000.
- Up to five years of prison time.
Are you an Auto Dealership that still needs to become compliant? CATS Technology Solutions Group can help! We can help you analyze and understand these guidelines, as well as walk you through the process of getting your dealership compliant and protecting your customers.