Skimming incidents at bank branch ATMs and vestibules are adding up to huge losses. One bank says it could easily lose $50,000 over one weekend at a single ATM. So, what can institutions do to deter and detect skimmers?
These arrests also highlight the U.S. vulnerability to crimes involving payment cards with magnetic stripes. "The U.S. is a criminal's playground right now," says John Buzzard of FICO Card Alert Service.
"Organizations are putting in layers of security and tools to safeguard information and assets, however, the fraudsters are attacking our weakest link, the consumer," says Anthony Vitale of Patelco Credit Union.
Melissa Hathaway doubts Congress will enact a cybersecurity law. "I fear we will continue to watch the bills 'sit here and wait, while a few key congressmen sit and debate. It's not easy to become a law," she writes, citing a kid's jingle.
Breach notification laws in most states would be preempted if a bill approved by the Senate Judiciary Committee becomes law. But that's a big if because of GOP objections, such as those voiced by the panel's ranking member, Charles Grassley.
Nearly 7.9 million Americans were affected by almost 30,800 health information breaches between September 2009, when a federal healthcare breach notification rule took effect, and the end of 2010, according to a new report to Congress.
"Our proposal would give judges the authority they need to adequately punish serious offenders and to make these penalties commensurate with the same type of conduct occurring offline," Associate Deputy Attorney General James Baker tells Congress.
A new California law requires that organizations experiencing a data breach provide more detailed information to the individuals affected. The law, which covers breaches involving financial, healthcare and other personal information, goes into effect Jan. 1.
The FFIEC Authentication Guidance update is out, and third-party service providers need to begin reviewing their internal systems and communicating with their financial institution customers, says Wells Fargo Bank's Phil Alexander.
A California judge handed down a 12-year prison sentence to a phisher who stole financial details from more than 38,000 online accountholders. Observers say the sentence signals a changing attitude about the severity of cybercrimes.
Despite previously announced plans to appeal last month's ruling in the ACH fraud lawsuit filed by Experi-Metal Inc., Comerica Bank now says it has resolved to pay the $560,000 in damages and close the case.
The Fed's ruling on interchange, mandated by the Durbin amendment, offers financial incentives for fraud-prevention investments and could fuel a U.S. move toward new card-payment technologies, like EMV.
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.
"Consumer notification is often hampered by the fact that companies must first determine their obligations under 47 different state regimes," says Rep. Mary Bono Mack, R-Calif., the subcommittee's chair and bill's sponsor.