How Realtors® can use data security to protect themselves

Millennials have grown up online. They’re really savvy about where their information is going, said Melanie Wyne, senior policy representative for the National Association of Realtors®.

While not all your clients may be as concerned as millennials about where their information is going, it’s imperative that you’re steadfast about protecting all the personal information you collect from your clients. Need to know more? Wyne offers eight things you should be aware of regarding data security.

1. Hackers target everyone today. It’s not only large companies anymore, said Wyne. In fact, she pointed out that most likely, larger companies have professional help to prevent hackers. Smaller businesses have to be on alert. Wyne mentioned the recent wire fraud, which impacted Realtors®. Hackers would get into email, learn when a transaction is, and then create a phishing email pretending to be the mortgage company or the agent, instructing the client to deposit money elsewhere.
2. You’re responsible for the security of the information you collect. If you have someone’s personally identifiable identification, such as their social security number, guard it carefully and destroy it when you no longer need it.
3. Pennsylvania has data security laws, so make sure you familiarize yourself with them. If you’re working with clients out of state, make sure you are complying with that state’s laws.
4. Your website, document management, transfer management or customer relationship management (CRM) may make you liable. Make sure your systems are secure.
5. Federal security laws are only a matter of time. At press times, there are multiple bills in both the House and the Senate.
6. Encryption can save you. If you’re encrypting your data, it’s an exemption in most state laws, Wyne said. It’s important if you’re doing a transaction that your email is encrypted.
7. Failure to secure your data can cost you money. The costs of breach notification go beyond financial, they can damage your reputation.
8. If you don’t absolutely need to collect the data, don’t. If you do, make sure it’s secure.