Which records are covered by the Disposal Rule?

• A. Only physical documents.
• B. Both physical and electronic records.
• C. Only electronic records.
• D. Only records containing financial data.

Answer: (B)

The Disposal Rule applies to any records that contain consumer information, and this includes both physical and electronic formats. That means not only paper documents with names, addresses, Social Security numbers, or account numbers, but also digital files, databases, emails, backups, and other electronic media. The goal is to prevent exposure of consumer data when disposing of records, so secure disposal methods are required for all formats—shredding physical papers and securely erasing or destroying electronic media. It’s not limited to financial data, and it isn’t limited to one format only, which is why the best answer is that both physical and electronic records are covered.