Target's data breach during the holiday shopping season in 2013 was one of the first breaches that had a lot of people take notice of the credit card security issues. Now, almost two years later, the retail giant is still dealing with the repercussions of their hack.
Several months ago, Target announced that it had settled with MasterCard issuers over the breach for $19 million. Now, the company settled with Visa issuers for some $67 million.
In the breach, 40 million customer credit cards were exposed. While official numbers were never released as to the break down of those figures, it was believed that more Visa cards were affected that any other type, which explains the more than three-times larger difference between the settlements.
Though issuers in the MasterCard case elected to reject the settlement and sue for more, Ars Technica is reporting that the same is unlikely for the Visa settlement, as both sides have already received the support from the largest card issuers involved. One JP Morgan Chase representative told the tech website via email that the company was "pleased" with the settlement.
According to The Wall Street Journal (WSJ), Target is taking an extra step that it did not with MasterCard: offering additional money to reimburse fraud stemming from debit card transactions so long as the Visa issuers agree not to sue.
Despite the added incentive, some smaller issuers aren't as pleased with the deal.
"This settlement is a step in the right direction, but it still may not make credit unions whole," Carrie Hunt, general counsel of the National Association of Federal Credit Unions, a trade group, told WSJ.
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