The Red Flags Regulations (Under the Fair and Accurate Credit Transactions Act)

Forms and Documents

Forms and supporting documents for this ICR

Document	Type	Status	Availability
Red Flags SS - 01-27-2022.pdf	Supporting Statement A	Uploaded 2022-01-27	Repair queued

IC Document Collections

Information collection document groups

IC ID	Collection	Type	Status	Form
251175	Address Discrepancies Rule: New Entities developing procedures to reconcile address discrepancies		New
251174	Card Issuers Rule: New Entities creating procedures to assess validity of address change		New
251173	Red Flags Rule: New Low-risk Entities avg. time to create & implement a streamlined written Program, prepare ann'l rpt, conduct training		New
251172	Red Flags Rule: New High-risk Entities avg time to create and implement a written Program, prepare ann'l rpt, conduct training		New
190212	Address Discrepancies Rule: Existing Entities updating procedures to reconcile address discrepancies		Modified
190211	Card Issuers Rule: Existing Entities updating procedures to assess validity of address change		Modified
190210	Red Flags Rule: Existing Low-risk Entities avg. time to update a streamlined written Program, prepare ann'l rpt, conduct training		Modified
190209	Red Flags Rule: Existing High-risk Entities avg time to update a written Program, prepare ann'l rpt, conduct training		Modified

ICR Details

OMB Control No: 3084-0137	ICR Reference No: 202201-3084-002
Status: Historical Active	Previous ICR Reference No: 201810-3084-001
Agency/Subagency: FTC	Agency Tracking No:
Title: The Red Flags Regulations (Under the Fair and Accurate Credit Transactions Act)
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 03/07/2022
Retrieve Notice of Action (NOA)	Date Received in OIRA: 01/27/2022
Terms of Clearance:

table that charts list comparision

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	03/31/2025	36 Months From Approved	03/31/2022
Responses	227,485	0	295,327
Time Burden (Hours)	397,298	0	1,385,290
Cost Burden (Dollars)	0	0	0

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Abstract: The Rule implements sections 114 and 315 of the Fair and Accurate Credit Transactions Act of 2003 ("FACT Act"), as amended by the Red Flags Program Clarification Act of 2010. These rules enhance the ability of consumers to resolve problems caused by identity theft and increase the accuracy of consumer reports.

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Authorizing Statute(s): PL: Pub.L. 108 - 159 114, 315 Name of Law: Fair and Accurate Credit Transactions Act
  

Citations for New Statutory Requirements: US Code: 15 USC 1681m(e)(4) Name of Law: Red Flag Program Clarification Act of 2010
PL: Pub.L. 111 - 203 1088 Name of Law: Dodd Frank Wall Street Reform and Consumer Protection Act,

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	86 FR 57425	10/15/2021
30-day Notice:	Federal Register Citation:	Citation Date:
	87 FR 4240	01/27/2022
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 8

table that charts list of burden

IC Title	Form No.	Form Name
Address Discrepancies Rule: Existing Entities updating procedures to reconcile address discrepancies
Address Discrepancies Rule: New Entities developing procedures to reconcile address discrepancies
Card Issuers Rule: Existing Entities updating procedures to assess validity of address change
Card Issuers Rule: New Entities creating procedures to assess validity of address change
Red Flags Rule: Existing High-risk Entities avg time to update a written Program, prepare ann'l rpt, conduct training
Red Flags Rule: Existing Low-risk Entities avg. time to update a streamlined written Program, prepare ann'l rpt, conduct training
Red Flags Rule: New High-risk Entities avg time to create and implement a written Program, prepare ann'l rpt, conduct training
Red Flags Rule: New Low-risk Entities avg. time to create & implement a streamlined written Program, prepare ann'l rpt, conduct training

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ICR Summary of Burden

table that charts list of burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	227,485	295,327	0	0	-67,842	0
Annual Time Burden (Hours)	397,298	1,385,290	0	0	-987,992	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: The estimates for 2018-2019 greatly overstated the number of businesses that would be required to comply with the Address Discrepancy Rule. The Rule covers only users of consumer reports that are motor vehicle dealers described in section 1029(a) of the Dodd-Frank Act and that are predominantly engaged in the sale and servicing of motor vehicles, the leasing and servicing of them, or both. Thus, the annual burden hours and labor costs were significantly adjusted downward for 2021-2022.

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Annual Cost to Federal Government: $65,516

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? No

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 01/27/2022

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