Posted by Dave_CA on 6/2/05 10:59am
Msg #41799
New law on information disposal
I copied this from the Washingtonpost.com
I think this is a very good requirement but perhaps we should re-visit charging for this.
Be careful how you -- or your company -- dispose of sensitive consumer information.
A new federal rule that took effect yesterday requires all businesses and individuals to destroy private consumer information obtained from credit bureaus and other information providers in determining whether to grant credit, hire employees or rent an apartment.
Issued under orders from Congress, which was trying to crack down on identity theft, the Federal Trade Commission's new rule requires that personal information be burned, pulverized, shredded or destroyed in such a way that the information cannot be read or reconstructed. The rule also applies to electronic files, which must be erased or destroyed, and covers credit report data, credit scores, employment histories, insurance claims, check-writing histories, residential or tenant history and medical information.
An FTC official said failure to properly dispose of the data could draw a $2,500 federal penalty per violation, as well as lawsuits from people who could seek damages if personal information was misused as a result of improper disposal.
The rule applies to large and small companies -- to lenders and insurers, as well as landlords, car dealers, attorneys and private investigators. Individuals who use credit reports -- to hire nannies or contractors, for example -- also are subject to the new rule.
The agency does not set a time limit for when the data must be destroyed, only ground rules for disposing of it. Nor does the agency set rules on how securely data must be kept until it is destroyed, although some laws already provide such rules for financial and medical institutions.
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Reply by PAW_Fl on 6/2/05 3:20pm
Msg #41872
I most certainly do charge a document disposal fee in lieu of a "trip" fee. I've only had to charge it once, since all the other times I have received payment for the job, though it wasn't completed.
Now that my third shredder has bitten the dust, I am going to give Ship'n Shred (https://www.shipnshred.com) a shot. Some have voiced a concern about losing data during the shipment. IMO, there is no more danger in FedEx or the shredding company losing a package than there is in the shipping of documents using commercial carriers or sending files over the internet. I even suggest that there is more probability of data theft during file transmission.
When shipping with Ship'n'Shred they certify the destruction of every box and send you a document of destruction. Each box is tracked online from your door to theirs. They shred your material, box and all. You get certification for HIPAA, FACTA, GLBA and Privacy Act compliance.
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