FACTA

 

The Fair and Accurate Credit Transaction Act (FACTA): requires that “any person who maintains or otherwise possesses consumer information for a business purpose” must properly destroy rather than discard consumer information. The Disposal Rule requires disposal practices that are reasonable and appropriate to prevent the unauthorized access to or use of information. Such practices include:

 

  • Burn, pulverize or shred papers containing consumer information, so that the information cannot be read or reconstructed.
  • Destroy or erase electronic files or media containing consumer information, so that the information cannot be read or reconstructed.
  • Conduct due diligence and hire a document destruction contractor to dispose of material specifically identified as consumer information consistent with the Rule.