Quite an odd combination hey?!?!? In an effort to appease their customers outrage over the theft of credit and debit card data from more than 40 million customers, Target gave a 10 percent discount on purchases inside its stores on the weekend before Christmas. Did that placate the agitated shoppers? Not so much.
Since Christmas class action suits have been piling up! Customers from California, Oregon and Washington, Louisiana, Massachusetts, Illinois and Rhode Island have filed would-be class actions in federal courts, alleging Target was negligent and did not protect their card information. Plaintiffs in several states alleged Target “failed to implement and maintain reasonable security procedures and practices.”
And additional suits against Target will likely be filed in coming weeks, including some in state courts. Judges may decide to consolidate these and others into an individual lawsuit against the retailer.
On Dec. 11, one week after hackers breached Target’s systems, EasySolutions, a company that tracks fraud, noticed a ten- to twentyfold increase in the number of high-value stolen cards on black market websites. My, my, my!
The black market for credit card and debit card numbers is highly sophisticated, with numerous card-selling sites that are indistinguishable from a modern-day e-commerce site. Many sell cards in bulk to account for the possibility of cancellations. Some go for as little as a quarter apiece. Corporate cards can sell for as much as $45.
Brian Krebs, the security blogger who first broke news of the Target security breach, said the high-value cards of some Target customers were selling for as much as $100 on exclusive black market sites.
Stay tuned…it is likely to get messy. What will Target due to sooth is customers and repair its brand and reputation. That will be interesting to see!