House approves docs' exemption from anti-identity theft requirements
The U.S. House of Representatives has passed “red flag” legislation previously approved by the Senate allowing physicians to be exempt from anti-identity theft requirements that creditors such as banks follow.
The Red Flag Program Clarification Act of 2010 (S 3987) seeks to amend the Fair Credit Reporting Act with respect to the applicability of identity theft guidelines to creditors.
In a statement dated Dec. 7, Cecil B. Wilson, MD, president for the Washington, D.C.-based American Medical Association, stated: “Currently, the Federal Trade Commission has broadly defined creditors to include physicians and other professionals like dentists and lawyers under the red flags rule. This bill will help eliminate the current confusion about the rule’s application to physicians.”
According to the legislation, the term “creditor” means, if approved by President Obama, one that regularly:
The bill will now go to President Barack Obama for his approval.
Access the bill here.
The Red Flag Program Clarification Act of 2010 (S 3987) seeks to amend the Fair Credit Reporting Act with respect to the applicability of identity theft guidelines to creditors.
In a statement dated Dec. 7, Cecil B. Wilson, MD, president for the Washington, D.C.-based American Medical Association, stated: “Currently, the Federal Trade Commission has broadly defined creditors to include physicians and other professionals like dentists and lawyers under the red flags rule. This bill will help eliminate the current confusion about the rule’s application to physicians.”
According to the legislation, the term “creditor” means, if approved by President Obama, one that regularly:
- Obtains or uses consumer reports directly or indirectly, in connection with a credit transaction;
- Furnishes information to consumer reporting agencies, in connection with a credit transaction; and
- Advances funds to or on behalf of a person, based on an obligation of the person to repay the funds or repayable from specific property pledged by or on behalf of the person.
The bill will now go to President Barack Obama for his approval.
Access the bill here.