07 December 2016
Visit aciworldwide.com

Credit Karma settles with FTC over app security failings

20 August 2014  |  4644 views  |  1 Security

Credit and financial management service Credit Karma has been ordered to beef up its security after a US watchdog found that its mobile app left users' sensitive personal information vulnerable.

After a settlement was reached in March, the Federal Trade Commission (FTC) has now approved final orders against Credit Karma and cinema ticket sales outfit Fandango.

The FTC says that both firms disabled SSL certificate validation for their iOS and Android apps, which would have verified that communications were secure. This left the apps vulnerable to man-in-the-middle attacks.

Credit Karma's actions left social security numbers, personal details and credit scores and credit report details such as account names and balances exposed to third parties. Among the data left vulnerable by Fandango were payment card details.

The FTC has ordered the firms to set up security programmes designed to address risks during the development of their apps and to undergo independent assessments every other year for the next 20 years. Fandango and Credit Karma are also prohibited from misrepresenting the level of privacy or security of their products and services.

Founded in 2007, Credit Karma provides free credit scores, reports and monitoring to Americans who, in exchange, see personalised offers from advertisers based on their credit profiles. Earlier this year it closed an $85 million round of funding, led by Google Capital.

Comments: (1)

A Finextra member
A Finextra member | 20 August, 2014, 12:33

Good to see that the regulators look into app security as well. Multiple mobile malware reports from the press calls for an increased focus on application hardening.

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
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

Twitter settles FTC security charges

Twitter settles FTC security charges

25 June 2010  |  7853 views  |  1 comments

Related blogs

Create a blog about this story (membership required)
Visit contisgroup.comFind out moreFind out more

Who is commenting?

A Finextra member Finextra Member Commented on: Payments regulator blo...
A Finextra member Finextra Member Commented on: Payments regulator blo...

Top topics

Most viewed Most shared
Guesswork alone can crack Visa card security - Newcastle UniversityGuesswork alone can crack Visa card securi...
7439 views 12 comments | 15 tweets | 27 linkedin
OCC to offer fintech firms bank charter statusOCC to offer fintech firms bank charter st...
6927 views comments | 25 tweets | 15 linkedin
China tops world fintech rankingsChina tops world fintech rankings
6641 views comments | 34 tweets | 30 linkedin
Fed Governor sounds warning on alternative credit scoring dataFed Governor sounds warning on alternative...
6094 views comments | 18 tweets | 19 linkedin
Big tech policy group calls on Trump to promote fintech innovationBig tech policy group calls on Trump to pr...
5670 views comments | 22 tweets | 11 linkedin

Featured job

Find your next job