Capital One Data Breach

Recently, it seems as if consumer companies are consistently dealing with data breach situations in the news. These cases escalate quickly, particularly when picked up by national and international media. Capital One, a bank holding company, experienced this swift challenge recently when a computer hacker allegedly gained access to their cloud computing system.

106 Million North Americans Compromised

The March 2019 Capital One data breach allegedly comes from former Amazon cloud-computing employee Paige Thompson. The hacker is said to have allegedly exploited a vulnerability in Capital One’s cloud system to gain access to 106 million records, including social security numbers, bank account numbers, credit scores, home addresses, phone numbers, and self-reported income. The largest portion of compromised data comes from consumers and small businesses applying for credit from 2005 to 2019.

Capital One will need to let every customer know of the breach by mail. All told, Capital One expects to pay over $150 million in breach-related costs. Fox News reports that “mega breaches” (50 million or more records) cost companies $388 million on average. Potentially adding to the expense, a Miami firm filed a class action lawsuit on behalf of those affected by the breach.

Big Data Breaches Are on The Rise

Capital One was one of the most significant data breaches in recent history, but they’re far from alone. According to USA Today, other sizable breaches from the last five years include:

  • Yahoo! reached a $117.5 million settlement after the 2016 breach of 3 billion accounts.
  • Marriott currently faces a $123 million fine from the UK government over an alleged four-year breach of 383 million travelers ending in 2018.
  • In 2016, MySpace notified 360 million users of a breach in email addresses, usernames, and passwords (taken prior to 2013) during a security upgrade.
  • Email addresses and login information for 150 million users was taken from Under Armour MyFitnessPal app users in March 2018.
  • Equifax reached a $575 million settlement after a 2017 breach of the personally identifying information of an estimated 147 million people.
  • A 2014 cyberattack on eBay compromised 147 million records, but a lawsuit was thrown out when plaintiffs could not prove they had suffered financial harmed.
  • In 2017, Target reached a settlement of $18.5 million after a breach of 110 million customer accounts.
  • In 2016, a LinkedIn hack compromised 100 million usernames, passwords, and email addresses.

So far, 2019 is on track to be the worst year for data exposure yet, according to USA Today. The number of breaches in the first quarter of 2019 was up by 54% from 2018. More than 3,800 data breaches occurred in the first six months.

Plan Your Secure Data Breach Class Action Settlement

Data breach cases require resources to accurately, and comprehensively notify millions of affected customers and distribute the settlement. With all our notification, contact center, and project management services handled in-house, Heffler Claims Group is fully equipped to handle the most complex data breach cases. Contact Heffler Claims Group to help plan your data breach class action settlement administration that raises the bar.

Heffler Claims Group
Heffler Claims Group is a national leader in class action settlement administration, specializing in the notice and administration of complex legal matters. Together with Prime Clerk, the leading bankruptcy claims and noticing agent and another Duff & Phelps company, we offer the most comprehensive administrative services in the industry.

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