Better Business Bureau Offers Advice for Consumers in Wake of Target Stores’ Data Breach

In the wake of a massive data breach at Target stores, Connecticut Better Business Bureau urges consumers to check their credit card and banking statements for unauthorized charges.

Target has confirmed as many as 40 million customers’ names, credit and debit card numbers, expiration dates and security codes on the back of the cards were compromised at its stores across the country.

This is the latest in a series of similar breaches that have hit other retailers in recent years.

Target says the information was skimmed from cards used at their stores between November 27th and December 15th, a period that includes some of the busiest shopping activity of the year.  The company says credit card numbers used on its website were not affected.

Connecticut Better Business Bureau recommends consumers who used credit or debit cards during the period of the breach should contact with their bank and credit card issuer and check online statements to see if they were affected. In the event of fraudulent activity, credit card and debit cards may be locked down and have to be replaced.

This is also a reminder that although debit cards may carry a credit card logo, they do not provide the same protection. In addition, people who use a debit card and used their PIN number for cash back at a point-of-sale terminal may have their accounts emptied.

Consumers can contact Target directly at 866-852-8680.

If you used a debit card at Target in the past few weeks, you should be more assertive in paying attention to your account. With credit cards, you can withhold payment of an amount in dispute, but debit card transactions remove funds directly from your bank account, potentially wreaking havoc on your finances.

What’s more, you may have some liability if you fail to report unauthorized charges within 60 days after your statement is sent to you. Target is in the process of notifying banks and credit card issuers, who will in turn notify affected customers.  You can contact your bank or credit card issuer for more information if you want to pre-emptively request a new debit card or put a security block on your account.

For more on the difference between credit and debit card protections:
bbb.org/blog/2013/11/do-debit-cards-and-credit-cards-hav-the-same-protection.

Scammers will likely use this highly public event to create emails purporting to be from Target, your bank or your credit card issuer, telling you your card was compromised and suggesting actions to “fix” the problem.  

Phishing emails may attempt to fool you into providing your credit card information or ask you to click on a link or open an attachment, which can download malware on your computer that are designed to steal your identity.  Don’t click on any email links or attachments unless you are absolutely certain the sender is authentic.

If your credit card is physically lost or stolen, you may be liable for no more than $50. In the Target case, the liability is zero for credit cards because the cards were not physically stolen.  There may be some liability in the case of compromised debit card numbers where the fraud is not reported for more than 60 days after a statement is issued.

You can check your credit reports annually for free to make sure no one has fraudulently opened credit accounts in your name.  Go to www.annualcreditreport.com.  

• Monitor your credit card statements carefully (go online; don’t wait for the paper statement).  If you see a fraudulent charge, report it to your bank or credit card issuer immediately so the charge can be reversed and a new card issued.
• Keep receipts in case you need to prove which charges you authorized and which ones you did not.
• Scammers will likely use this highly public event to create emails purporting to be from Target, your bank or your credit card issuer, telling you your card was compromised and suggesting actions to “fix” the problem.  

Phishing emails may attempt to fool you into providing your credit card information or ask you to click on a link or open an attachment, which can download malware on your computer that are designed to steal your identity.  Don’t click on any email links or attachments unless you are absolutely certain the sender is authentic.

If you own a business, make sure you protect your customers’ data. Better Business Bureau just updated our Data Security – Made Simpler guide for businesses. Go to  bbb.org/data-security for this free information.

 -Submitted by Howard Schwartz, Executive Communications Director, Connecticut Better Business Bureau