In this series on drafting a cybersecurity plan for your business, the fourth aspect is discarding sensitive data. The type of data your business collects, and the laws around it, may dictate how and when data should be discarded. Your general goal should be to reasonably ensure that the data cannot be read or reconstructed.
Federal and state laws may affect the disposal of personal data. For example, businesses that use a consumer’s credit report are subject to the requirements of the federal Disposal Rule. The rule requires the proper disposal of information in consumer reports and records to protect against “unauthorized access to or use of the information.” The Federal Trade Commission (FTC), the nation’s consumer protection agency, enforces the Disposal Rule against lenders, insurers, employers, landlords, government agencies, mortgage brokers, automobile dealers, attorneys, debt collectors and others. However, the FTC encourages anyone who disposes of personal or financial records to adhere to the protective measures as outlined by the Disposal Rule.
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The 2023 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.