Hackers were able to get access to a multitude of consumer private information, including names, Social Security numbers, dates of birth, credit card numbers and even driver's license numbers.ĭuring the investigation into the breach, Equifax admitted the company was informed in March that hackers could exploit a vulnerability in its system, but failed to install the necessary patches.Īs part of Monday's settlement agreement, Equifax will also pay $175 million in civil penalties to states, and a $100 million fine to the Consumer Financial Protection Bureau. The company announced the data breach in September 2017, eventually reporting that 147 million consumers were affected. The Equifax data breach was one of the largest in history. "Now it's time for the company to do what's right and not only pay restitution to the millions of victims of their data breach, but also provide every American who had their highly sensitive information accessed with the tools they need to battle identity theft in the future." Scale of Equifax breach population," New York Attorney General Letitia James said in a statement Monday. "This company's ineptitude, negligence, and lax security standards endangered the identities of half the U.S.
#EQUIFAX DATA BREACH SETTLEMENT 2021 FREE#
This is in addition to the one free credit report from each credit bureau - Equifax, Experian and Transunion - that all Americans can request annually.Īdditionally, the settlement allows for seven years of free assisted identity restoration service to help you fix any fraud or identity theft issues caused by the breach. Starting next year, you can request up to six additional free credit reports per year from Equifax through 2027. If you already have credit monitoring in place, you can request a $125 cash payment. In addition to the cash compensation for those who can prove they directly lost time or money, all affected consumers will have the opportunity to receive at least four years of credit-monitoring services through Experian and up to an additional six more years of monitoring with Equifax. Consumers can claim additional services from Equifax While that could make it more difficult for consumers to claim the total $20,000 cash payment available, Monday's settlement offers other forms of relief and ongoing help for consumers. The claims process has not opened yet, but you can sign up for email notifications about the Equifax settlement from the FTC.ĭuring a conference call Monday, a spokesperson from Equifax said that data from the 2017 breach has yet to be discovered for sale on the dark web. As part of that $20,000 restitution, consumers can submit claims for any time they had to spend dealing with data breach - $25 per hour, up to 20 hours, according to the Federal Trade Commission. consumers and Equifax as we move forward from the 2017 cybersecurity incident."Īccording to Equifax, individual consumers will be able to claim up to $20,000 for any losses or fraud caused by the breach or any out-of-pocket expenses they may have incurred, such as buying credit monitoring services or paying to freeze and unfreeze their credit reports.
"This comprehensive settlement is a positive step for U.S. "We have been committed to resolving this issue for consumers and have the financial capacity to manage the settlement," Equifax CEO Mark Begor said in a statement. The restitution fund will have $300 million dedicated to consumer compensation, with an additional $125 million at the ready if the initial funds run out. The proposed settlement, which still needs to be approved by a judge in what's expected to be a six-month process, includes $425 million to directly help consumers affected by the breach.
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