WASHINGTON (11/5/14)--Credit Union National Association Chief Economist/Chief Policy Officer Bill Hampel provided an update on several issues regarding data breaches in a video released Tuesday.
In the video, Hampel discusses results of the CUNA survey on the Home Depot Breach, the differences between this year's Home Depot breach and last year's Target breach and what it means for credit unions.
He addresses questions that many credit unions have about potential reimbursement for the approximately $90 million in costs borne by credit unions as a result of those two breaches.
According to CUNA's data, 7.2 million credit and debit cards were affected and had to be reissued, at a cost of $8.02 per card, for a total cost of $57.4 million. This included the costs of reissuing cards, as well as accounting for fraud, additional staffing, member notification and account monitoring.
"The biggest increase in those costs was for fraud," Hampel said. "For some reason, shortly after the Home Depot breach occurred, there was a substantial amount of fraud before credit unions could actually reissue the cards."