Another costly reminder of the liability that can stem from data breaches: Atlanta-based Global Payments suffered a breach in which 1.5 million account records were exposed i a hack attack.
Global Payments now reports that just the cost to fix the data breach has reached $85 Million, so far, resulting in a 91% drop in quarterly net income when compared to last year. This does not account for the damage to Global Payments’ reputation. Both Visa and Mastercard dropped Global Paymeents from their compliance lists after the revaluation of the data loss.
According to the Atlanta Jounral Constitution, last month, Global also warned that hackers also might have accessed the personal information of an unknown number of merchants who’d applied with Global for payment processing services.
Interviewedby the AJC, Adam Levin, an identity theft expert and chairman of Credit.com, said the Global breach is another wakeup call that governments and companies may not be doing enough and that consumers must protect themselves. His conclusion: “Companies have got to be more proactive,” he said. “Even the ones that are really good [at security] are finding that the bad guys still find a way to beat them.”