Credit Unions Report Big Losses After Home Depot Data... - Other News

ADVERTISING DISCLOSURE

ADVERTISING DISCLOSURE:
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » Credit Unions Report Big Losses After Home Depot Data Breach

Credit Unions Report Big Losses After Home Depot Data Breach

Credit Unions Report Big Losses After Home Depot Data Breach
November
3
The content is accurate at the time of publication and is subject to change.

Once the numbers were crunched it turns out that September’s Home Depot data security breach cost credit unions nearly $60 million, twice as much as the Target breach cost them earlier this year.

The Credit Union National Association (CUNA) commissioned the survey of their members, finding that 7.2 million credit and debt cards were affected. Credit unions along with banks reissued cards to consumers whose accounts were compromised.

They also picked up the tab for other costs associated with the fraud, which includes hiring additional staff to deal with credit card monitoring and notifying members about security issues. Overall the cost was around $8 per card. Re-issuing the card was the most expensive part at nearly $5 each.

The study showed that four out of five credit unions that were affected have or will be re-issuing credit cards, with nearly one in five selectively re-issuing cards when cardholders ask.

Credit Unions and banks may face another round of payouts due to a data breach at Staples reported by media outlets last month.

Calling on Congress for help

Credit Unions end up paying the cost of cleaning up after data breaches even though they were not directly involved. “The law and the incentive structure today allow merchants to abdicate that responsibility, making consumers vulnerable,” said CUNA President and CEO Jim Nussle.

CUNA is advocating for Congress to get involved in protecting consumers and merchants. “Congress has a role to play in addressing the issue of merchant data breaches by making sure all of the participants are playing by the same set of data security rules, and that merchants who hold consumer data and allow that data to be breached, are responsible for the costs incurred by others.”

The CUNA study was conducted from October 1 to 24 via an online questionnaire to member credit unions. CUNA services credit Unions in the U.S, which are non-profit cooperatives, offering consumers affordable financial services.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

American Express Fighting Fraud With  Small Merchants
American Express Fighting Fraud With Small Merchants

Posted: March 13, 2015

Cyber security is on everyone’s mind these days, and to ramp up for the launch of the new EMV technology designed to help make using credit and debit cards safer for consumers and businesses, American Express has rolled out its Small... Continue reading
Skip Signing at Checkout with Discover
Skip Signing at Checkout with Discover

Posted: December 20, 2017

Checking out fast is often the name of the game for many when shopping and in the coming year those with the Discover Card will be able to forgo signing their receipt, giving them a faster check out. The new initiative will begin in April... Continue reading
More Than Half of Consumers Fear Credit Card Data Theft
More Than Half of Consumers Fear Credit Card Data Theft

Posted: November 10, 2014

A recent survey reveals that many people are going into the holiday season worrying about more than just what to get their mother-in-law for Christmas. Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants, Amazon.com and more up to the quarterly maximum, each time you activate.
For Excellent, Good Credit
INTRO OFFER: Discover will match ALL the Miles you've earned at the end of your first year, automatically. For example, if you earn 30,000 Miles, you get 60,000 Miles. That's $600 towards travel!
For Excellent, Good Credit
Earn 2% cash back on purchases: 1% when you buy plus 1% as you pay
For Excellent, Good Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!