Business communications firm Brunswick Group did a survey to find out who people blamed for data theft and found that most people think retailers aren’t doing enough to protect their payment information.
The vast majority of people – 94% – are worried about merchant data breaches. When asked who should be held responsible for these incidents, 61% said that retailers were at fault, while 34% laid the blame on card-issuing banks.
Seventy-five percent of those surveyed thought that stores could do more to keep consumer payment data safe, and 70% want stores to be liable for any losses that result from these payment breaches.
As it stands now, banks that issue credit and debit cards are the ones to take the fall, financially speaking, when their customers’ accounts are hacked. If customers follow the outlined procedures and report losses in a timely fashion, banks must reimburse them for any fraudulent charges to their accounts.
Many steer clear of stores with payment problems
On refraining from shopping at certain retailers after a payment security breach, 34% of people said they no longer shop at certain stores, specifically because of data breach issues.
Stores like Target and Neiman Marcus, both victims of huge data breaches in the last year, are trying to win customers’ trust back by offering free credit monitoring products and switching over to new, more secure EMV chip card technology instead of traditional magnetic stripe cards. However, that approach doesn’t seem to be enough for some shoppers.
The report from Brunswick Group showed a significant drop in stock price for 13 companies that have recently experienced large data breaches. Even six months after the breach, none of the companies had rebounded to their previous average daily stock price. As Mark Seifert, a partner at the Brunswick Group, explained, "a data breach hits a company at the cash register, on Wall Street and at the heart of their relationship with the customer. If consumers don't feel the retailer is doing enough to protect their data, they will protect themselves by shopping elsewhere."
Read Also Related News
Credit score experts FICO have joined a program aimed at keeping people’s personal information safe and preventing data breaches and fraud. The EU-US Privacy Shield program requires FICO to comply with data protection requirements...
Despite highly-publicized hacks that left people’s credit card information vulnerable to criminal use and fraudulent purchases, people still find credit cards to be the safest way to pay for purchases, online or off. Payment services...
Having your credit card hacked is an unpleasant experience that most of us have probably had in our lives. If not caught soon enough, it can have serious financial consequences ¬– and even if you do catch it right away, dealing with it...
If your security code is rubbed out, contact your credit card issuer and explain them your situation. Most likely you will be offered a replacement card. Your credit card issuer will not provide you with the security code over the phone or via email. That's for your own protection.
At my local bank there was an advertisement that if one enrolls in Alaska airline credit card and spends $1000 in the first 3 months then a travel companion could fly free. Is this still in effect? Does it apply to international trips and 1st class? Does the flight need to be Alaska airlines/ Virgin airlines?
Currently, the Alaska Airlines credit card has the following offer: “Annual companion fare from $121 ($99, plus taxes and fees from $22) after you make $1,000 or more in purchases within the first 90 days of your account opening”. This benefit will qualify for a round-trip coach Companion Fare on Alaska...
I once had the US Airways credit card, then the airlines merged with American Airlines and my card transitioned into the AAdvantage MasterCard with a higher annual fee and without companion pass. I use the card one year and then closed it because I don’t fly with American Airline often. Now I am looking for a credit card without an annual fee. What are my options?
You may like one of the regular travel rewards credit cards offered by major banks. Travel rewards credit cards allow earning miles on all purchases. The cards also have one-time sign up bonuses which may be enough for a domestic flight. There are credit offers without annual fees, the other offers come with rather low...
I had the US Airways MasterCard back in 2013 but had to close it because I got divorced and had some troubles with keeping up with my credit cards fees. I’m back on track now and would like to apply for this card again but can’t seem to find it anywhere. Can you help?
The US Airways Premier World MasterCard is no longer offered. US Airways removed their credit card after merging with American Airlines. Today you can apply for one of the AAdvantage credit cards offered by Citi or for a regular travel rewards credit card. Both types of credit cards will allow you to earn miles and redeem...