What does FTC Act § 5 mean and how is FTC Act § 5 compliance determined?
FTC Act § 5 stands for the Federal Trade Commission Act § 5. It prohibits companies from engaging in unfair and deceptive practices towards consumers. While this turn-of-the-century law does not address cybersecurity on its face, the FTC often raises this law to address companies whose cybersecurity practices are considered unfair or deceptive to consumers under the act.
According to the FTC, companies should secure remote access to their networks, delete personally-identifiable data they finish using it for the specific business purposes for which they were collected, use complex passwords and store them securely, and take other steps to bolster their data security safeguards. You can learn more about the FTC’s recently-published cybersecurity compliance tips here.
How does FTC Act § 5 hosting work?
With Abacus Private Cloud, you can take advantage of virtual cloud hosting’s security and customizability features to comply with the FTC Act. Our platform will host your software and consumer data in an ePHI and HIPAA-compliant hosting environment that you and your authorized collaborators can securely access anytime, anywhere on any device. Each account comes with top-tier security safeguards such as 2FA; 256-bit AES Encryption; and three layers of physical, server and data security. Our virtual cloud hosting specialists will work with you to securely migrate your data and configure your account’s security settings to ensure FTC Act compliance.
How can I audit and maintain compliance with FTC Act § 5?
The FTC advises companies to implement endpoint security, set up encryption in their mobile apps and websites, update and patch software, and check for common vulnerabilities that could lead to SQL attacks and man-in-the-middle attacks. Fortunately, you won’t need to worry about any of this! Our cloud hosting experts will address all of these tasks and audit your account using PCI DSS, FIPS and SSAE-16 SOC-level standards.
Are there Abacus Private Cloud clients who are FTC-Act-§5-compliant today?
Of course! Contact us to see how Abacus Private Cloud can help you meet your FERPA compliance goals.