Target and Visa reach data breach settlement
18 August 2015 | 7986 views | 1
Visa has reportedly reached a settlement of up to $67 million with Target to reimburse member banks for expenses accrued following the massive 2013 data breach at the US retail chain.
Confirming a Wall Street Journal report, Target has issued a statement saying it is "pleased that we have reached a settlement agreement with Visa related to the data breach".
The payout will be used to settle bank claims for operational costs and fraud-related losses on Visa-branded cards affected by the cyber break-in, which saw thieves steal the card details of tens of millions of customers.
In May a similar $19 million settlement between Target and MasterCard fell through because not enough banks signed off on it. That deal required banks that issued at least 90% of cardholder accounts to back it and give up any further claims against Target.
According to the Wall Street Journal, the Visa deal is less likely to fall apart because several of the largest issuers have promised their support.