Consumer Bankers Association’s (CBA) member banks in the US have so far invested more than $172m to reissue over 17.2 million credit and debit cards, following the recent data breach at Target stores.
The number is in addition to 15.3 million cards issued by CBA’s member banks in the first round of replacements.
Go deeper with GlobalData
According to data collected from CBA member banks, the average cost to replace each credit or debit card is valued at $10 and includes the card, informing consumers of card replacement, shipping and activation charges, and supplemental communication through call centres and the internet.
CBA CEO and president, Richard Hunt, said when retailers say this data breach comes at no cost or liability to consumers they are right – because its banks and card issuers who are on the hook often at little or no cost to retailers like Target.
"Retailers should recognize the costs of data breaches snowball with time and they should take responsibility when they are at fault," Hunt added.
To counter the data breach, CBA has partnered with other financial services trade associations and outlined some recommendations for policymakers to improve the payments system.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThe standards include establish a national data security breach and notification standard, make those responsible for data breaches responsible for their costs, and better sharing of threat information.
