In the wake of the Global Payments Inc. card breach, ID theft expert Neal O'Farrell says banks and credit unions must be proactive with outreach to customers. What should institutions' messages include?
Incidents of card data exposure, such as Citibank's recent online breach, get regulators' attention. And sources say banking examiners are increasingly asking tougher questions about the protection of consumer data.
The Europay, MasterCard, Visa standard, commonly used in most global markets, is coming to the U.S. The sooner issuers, acquirers and merchants initiate migrations, the better, says Stephanie Ericksen, head of authentication product integration at Visa.
Save Mart, the Modesto, Calif.-based grocery chain, now confirms that skimming devices are to blame for the data breach believed to have exposed hundreds of consumer accounts to debit and credit card fraud.
"It should provide fuel for anyone calling for data breach legislation to include criminal sanctions ...," says Neal O'Farrell of the Identity Theft Council. "This was nothing short of a clumsy cover-up."
Some 200 people have reported fraudulent debit and credit transactions hitting their accounts after dining at Margarita's Mexican Restaurant in Texas. Investigators believe a third-party vendor may have been hacked.