February 04, 2014

Berger to Bankrate: We need data security standard

Feb. 5, 2015 – A report quoted NAFCU President and CEO Dan Berger explaining that the country needs a national data security standard for retailers, in light of the news that hotels have now suffered cyber attacks.

"None of this is going to stop. You're going to hear of more retailers having breaches in the next few months," Berger was quoted saying. "There's no incentive for (retailers) to change." also cited NAFCU's member survey results showing that credit unions were notified, on average, more than 100 times of possible breaches last year; and that in eight out of 10 times, the credit unions had to reissue a card. Reissuing one card cost the credit unions between $5 and $15, which means the massive Target Corporation data breach in December could cost the industry as much as $30 million.

NAFCU was the first financial trade organization to respond to the Target breach by calling for hearings and legislation on standards for retailers. Four hearings on the data security were scheduled in the House and Senate this week; NAFCU will continue to follow the developments closely.