Posts Tagged ‘data breach’

Data Breaches Cost Firms $1.3 Million in 2017

Posted on October 19, 2017 by Laura Lam

Cyber attacks cost large North American businesses an average of $1.3 million in 2017, according to a new report from security vendor Kaspersky Lab and market research firm B2B International.  The companies surveyed more than 5,000 businesses across 30 countries to gather data on cyber security issues. The cost of data breaches and other attacks was up from $1.2 million in 2016, and totaled $117,000 per incident for small and medium businesses. Companies are starting to view IT security as a strategic investment, the report said. The share of budgets spent on security is growing, reaching 18% compared with 16%…

What’s Next for Consumer Data Security?

Posted on September 29, 2017 by Laura Lam

For Equifax, the fallout from its massive data breach is far from over.  The company is facing numerous inquiries from government agencies and even lawsuits.  The breach exposed serious flaws in the financial system’s consumer data security framework.  So how can the financial services industry protect against fraud in the future?  How can they make things safer? According to a new report from ratings agency DBRS, the answer to making things safer is to further embrace technology.  Specifically, DBRS states that it believes the financial services industry needs to move towards biometric security, which would provide additional layers of protection that a Social Security…

Equifax Fallout: What You Need To Know

Posted on September 14, 2017 by Laura Lam

For many people, the news late that Equifax was hit with a data breach that may have compromised personal data of 143 million U.S. consumers brought on a heavy case of déjà vu.  From mid-May through July 2017, social Security numbers, birth dates, addresses and, in some instances, driver’s license numbers and credit card numbers were exposed in the breach.  It may have felt like one of the many previous data breaches including Yahoo, Target, and Home Depot.  However this breach looks to be a bit more severe than most of these others and it will have consequences in multiple…

Consumers Speed up Card Replacement Cycle

Posted on August 11, 2017 by Laura Lam

Despite the heightened security that comes with EMV chips and tokenization, consumers remain worried about their personal data being exposed in a seemingly nonstop parade of breaches. This leads to many cardholders requesting a new card as a precaution, even if they have no evidence that they were directly affected by a particular breach. “It’s less about their cards being compromised than seeing news about a major breach at a place where they shop,” said Rob Dixon, product director at CPI Card Group.  “The customer wakes up and sees a report about a breach, and wants to have his or…

1.4 Billion Data Records Compromised in 2016

Posted on April 21, 2017 by Laura Lam

Cyber attackers launched 1,792 data breaches in 2016, which led to almost 1.4 billion data records being compromised worldwide, according to the newly released Breach Level Index (BLI) report from security provider Gemalto.  Identity theft was the leading type of data breach last year, accounting for 59% of all data breaches, the report said. More than half of the data breaches (52%) in 2016 did not disclose the number of compromised records at the time they were reported. The BLI is a global database that tracks data breaches and measures their severity based on multiple factors such as the number…

Prime Target: Cybercriminals Set Sights on Tax Pros

Posted on April 04, 2017 by Laura Lam

According to security experts, tax preparers are a special target for cybercriminals.  Tax preparers make perfect targets because their hard drives hum with “personal identifiable information” – such as scans of clients’ driver’s licenses, W-2s and previous years’ returns – that cybercriminals want. Preparers are obligated to protect access to this information, as well as ensure that the data isn’t modified or damaged – but that can be difficult, particularly for smaller practices.  Cybercrime’s global economic impact has reached $1 trillion and spawned a sophisticated industry that is learning to steal more effectively from corporations and Main Street alike. Globally, cybercrime…

Push for Faster ACH Payments Increases Bank Fraud

Posted on January 10, 2017 by Laura Lam

As of September, credit-based ACH payments are now being settled within the same day. These transactions involve one person/entity pushing money from their bank account to another person or organization, using the automated clearinghouse. Examples include direct deposit, payroll, person-to-person and vendor payments. Where before banks had 2 to 5 days to analyze suspicious transactions, now in some cases they have only 2 hours. Banks haven’t quite caught up with the shorter time frame for checking red flags, some say, and fraudsters have jumped on this opportunity. “Recently we’ve seen more evidence of incidences of ACH fraud than we have…

Halting Online Fraud with Selfies?

Posted on September 30, 2016 by Laura Lam

MasterCard plans to launch new biometric technology for verifying customer identities during online shopping transactions in the coming weeks with merchants and banks. The company has been testing facial and fingerprint recognition software, called Identity Check, in the Netherlands, Canada and the U.S., as a way to combat growing online fraud. As Visa and MasterCard have pushed merchants and consumers to switch from credit cards that use magnetic strips to cards embedded with a computer chip that creates a unique code for each transaction, retail fraud patterns have shifted. For the 33% of MasterCard merchants that have adopted chip technology, fraud from counterfeit cards…

Most Consumers Will Take Business Elsewhere if Hacked

Posted on June 30, 2016 by Laura Lam

A recent study commissioned by Centrify found that 66% of adults in the U.S. are at least somewhat likely to stop doing business with a company that has suffered a cyberbreach. Less than half of Americans are very satisfied with how corporations handle cyberbreaches. The study surveyed people across the U.S., UK, and Germany and also found that most consumers believe businesses are almost entirely to blame for corporate hacks: 41% of adults in the U.S. hold corporations fully accountable and feel they are not taking enough responsibility when data breaches do occur. To some degree, most adults accept hacking…

Chip Cards Still Causing Frustration

Posted on April 27, 2016 by Laura Lam

U.S. Credit-card networks began pitching chip cards years ago to protect against counterfeits, and merchants were supposed to join banks and payment processors by Oct. 1, or face liability for some fraudulent charges that occur in their stores. By the end of last year, only about 20% of terminals had been activated to process them, according to a Mercator Advisory Group report. In contrast, almost 60% of credit cards issued by banks are embedded with a chip. The expenses involved and longer transaction times have given many merchants pause in updating their systems. Retailers, from big-box chains to mom-and-pop stores, will spend a…