Effects of the Target data breach

WICHITA, Kansas — Target is still dealing with the fallout of that data breach last November.

The latest numbers show that an estimated 110 million people had their personal or payment information compromised. Target’s profits have taken quite a hit too. Their earning were down 46% because of the breach.

Right now, as many as 2 million people are waiting for new debit cards while the financial services company that makes the cards tries to catch up with the massive demand.

But the headaches aren’t over, even for those who got a new debit card. Consumers had to remember all the bills they paid with the possibly compromised cards and if they forgot one it’s a problem for the business and them.

As consumers try to shift and rearrange automatic payments, businesses play catch up and are trying to get money owed from cards that no longer exist.

Lori Supinie, the president of Senseney Music in south Wichita says her business saw a dramatic rise in card declines following the massive data breach at Target.

“Probably a 20% to 25% increase in the number of declines,” said Supinie.

Supinie says about 200 people have automatic payments set up with them with charges ranging from $30 to $50 a pop.

“That affects cash flow obviously first of all, but also it’s tracking people down, making phone calls, trying to run there cards again,” said Supinie.

With close to 100 million people affected, many people have been issued new cards. Ryan Deitchler, a credit counselor with Consumer Credit Counseling Service says many consumers have turned their attention to making sure their new card is secure and protected against fraudelent actions while pushing other priorities to the wayside.

“A lot of times they lose focus of what was that debit card used for,” said Deitchler.

Deitchler says for those who have new cards, there are some procedures to follow to avoid having late fees pile up from services attached to your old cards.

“You need to know what was set up, ideally you would have that in writing, you can check your previous bank statements,” said Deitchler.

He adds to not forget one very important step.

“You need to go find out what’s coming out and what needs to get changed over. Make calls and get switched to the new debit card number.”

Deitchler also urges people to be attentive when they get a new debit card. He says if you neglect old bank statments or online transaction and you don’t catch something for a while you are going to have more problems getting those issues resolved.

Comments are closed.