Sen. Leahy's Guide to Doing Business on the Internet
Online Security
Security on the Internet is a serious issue. A 1999 study I
commissioned with the Vermont Small Business Development Center said that
the strongest obstacle among consumers from shopping and doing business
online was their fear of online security risks. For electronic commerce to
flourish, both buyers and sellers must feel comfortable and secure in
conducting business over the Internet.
While the threat of criminal penalties may deter some cyber-thieves,
crime prevention is the best protection. People doing business on the
Internet can take steps to protect their transactions. One step they can
take is to use encryption. This is a technology that scrambles messages so
only authorized people may read them. Many encryption systems are already
available, and new ones are being developed, for use by businesses
interested in exploring the marketplace on the Internet. I am working on
legislation to increase the availability of easy-to-use, strong encryption
technology to help foster electronic commerce.
Efforts are underway to increase security on the Internet and new
technologies are being developed every day that should only make Internet
commerce safer and easier. Those of you who are interested in learning
more about Internet security may want to visit the sites listed below.
SC Infosecurity Magazine
CERT Coordination Center
Microsoft Security Advisor
Secure Zone: The Computer Security Information Center
U.S. Department of Justice, Internet Fraud Complaint
Center
Privacy
With the frequent exchange of information on the Internet that is an
integral part of e-commerce, there is the real threat that consumers'
personal information can be shared and distributed without their knowledge
or consent. Individuals may not want to purchase goods online because they
fear that their names and addresses, as well as purchasing habits, may be
tracked. These are legitimate concerns that could result in serious
consequences for the profitability of your site. Therefore, I believe it
is important for you to establish a privacy policy that will let consumers
know that you value their privacy. I have always believed that good
privacy policies make good business policies.
I applaud the efforts of online businesses taking steps to make
information available on privacy policies so that consumers are able to
make more educated choices. However, I also believe that federal
legislation to create national privacy safeguards is appropriate in this
area. I have co-sponsored legislation to strengthen the control by
consumers over the use and disclosure of their personal financial and
health information, the Financial Information Privacy Protection Act, S.
30.
The Federal Trade Commission,
which has placed a strong emphasis on privacy,
provides easy access to the government's policy on the collection of
information online.
There are a number of private sector groups that provide guidelines for
online privacy policies and model privacy statements. Many of these
organizations also award an easily recognizable "seal" to businesses that
post online privacy policies that meet the required principles such as
disclosure, choice, and security
These groups include:
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