Love it or hate it if you use Facebook you have to figure out those ridiculous privacy features. And if that wasn't enough, those features seem to be changing every day. It's impossible to keep up.
This is far from ingenious, but I decided the other day that I would do away with all of my friend lists and categorize all of my friends into one of three lists. The lists I created are called Full, Limited, and No Access. You probably have a pretty good idea of what each of those categories means just from their titles, but let me break it down a little more.
Full gets full access to everything I have on Facebook. This group is limited to only a select group of friends that I want to be able to see my status updates, address info, etc.
Limited gets limited access to my Facebook profile. This group doesn't get to see my status updates, but they have access to my address and contact info. This is for that group of long lost high school friends, co-workers, etc. You want them to be able to contact you, but you don't want them to see everything you do on Facebook.
No Access has everything locked down. Since Facebook changed the way pages works all of the pages that you previously followed show up on your friends list. I dumped all of the pages in here. I don't want them to have my contact info, photos, or be able to see my status updates. Call me a grouch but I don't think it's necessary.
And that's what I've done with my friends lists. If you're worried about privacy amongst your thousands of Facebook friends you might consider doing something similar.