22 February 2017
visit dh.com

Credit unions estimate $30 million hit from Target breach

11 February 2014  |  5448 views  |  0 Women walking through street

The National Association of Federal Credit Unions' (Nafcu) estimates that the recent Target data breach could end up costing the credit union community nearly $30 million.

Nafcu chief economist and director of research David Carrier says the average cost for the Target data breach among members was $45,000.

"Credit unions are being hit by a double whammy in terms of numbers of possible data breaches and costs while they continue to pick up the tab for retailers who are not subject to the same high level of data security standards," he says.

Respondents to a Nafcu survey on data security incidents were alerted to a possible breach 263 times on average in 2013, and the average amount spent on data security measures was $158,600. Almost half (42%) of respondents confirmed that their reputation had been harmed due to a merchant data breach.

Nafcu was the first financial services trade association to weigh in on this issue on Capitol Hill and urged Congress to take action and set national data security standards for retailers and merchants.

The Target data breach has so far cost US banks over $172 million in re-issued plastic cards, according to recent figures from the Consumer Bankers' Association.

A recent analysis by Jefferies suggested that Target could be on the receiving end of a $1 billion breach bill from the payment cards industry, working on the assumption that 4.8 million to 7.2 million of the 40 million cards affected by the breach could see fraudulent activity.
KeywordsEFTPOS

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

US banks have re-issued 17.2 million cards following Target data breach

US banks have re-issued 17.2 million cards following Target data breach

07 February 2014  |  13715 views  |  8 comments | 25 tweets | 10 linkedin
Hacked Target hastens migration to chip cards

Hacked Target hastens migration to chip cards

05 February 2014  |  6382 views  |  0 comments | 4 tweets | 9 linkedin
Neiman Marcus says 1.1 million cards compromised; Michaels Stores latest to report breach

Neiman Marcus says 1.1 million cards compromised; Michaels Stores latest to report breach

27 January 2014  |  5472 views  |  0 comments | 8 tweets | 5 linkedin
Texas police make Target data breach-related arrests

Texas police make Target data breach-related arrests

21 January 2014  |  3698 views  |  0 comments | 1 linkedin
Russian teen accused of writing Target malware

Russian teen accused of writing Target malware

20 January 2014  |  6073 views  |  4 comments | 8 tweets | 10 linkedin
Citi replaces all debit cards involved in Target breach

Citi replaces all debit cards involved in Target breach

16 January 2014  |  5936 views  |  0 comments | 7 tweets | 7 linkedin
Target hackers used POS malware to steal card details

Target hackers used POS malware to steal card details

14 January 2014  |  6714 views  |  0 comments | 5 tweets | 5 linkedin
Hackers compromise Neiman Marcus customer card data

Hackers compromise Neiman Marcus customer card data

13 January 2014  |  4079 views  |  0 comments | 6 tweets | 3 linkedin
Target raises numbers hit by data breach from 40 million to 70 million

Target raises numbers hit by data breach from 40 million to 70 million

10 January 2014  |  5621 views  |  1 comments | 11 tweets | 6 linkedin
Target says 40 million cards may have been compromised in data breach

Target says 40 million cards may have been compromised in data breach

19 December 2013  |  9635 views  |  2 comments | 11 tweets | 12 linkedin

Related blogs

Create a blog about this story (membership required)
Visit Yelloco.co.ukvisit dh.com

Top topics

Most viewed Most shared
IBM and Visa join forces to turn billions of connected devices into points of saleIBM and Visa join forces to turn billions...
18018 views 11 comments | 54 tweets | 89 linkedin
Jaguar embeds payments into digital dashboardJaguar embeds payments into digital dashbo...
10424 views comments | 49 tweets | 59 linkedin
Nesta launches £5 million Open API challengeNesta launches £5 million Open API ch...
10407 views comments | 21 tweets | 19 linkedin
Kevin the bot uses blockchain to offer insurance for P2P transactionsKevin the bot uses blockchain to offer ins...
8479 views comments | 17 tweets | 15 linkedin
RBS to become fintech fund and high street outlet for challenger banks under HMT remedyRBS to become fintech fund and high street...
6798 views comments | 35 tweets | 32 linkedin

Featured job

Six Figure Base + Commission + Stock Options
London

Find your next job