Here’s the Worst Part of the Target Data Breach

 

You know what the most infuriating part of the massive data breach at Target is? This:

Over the last decade, most countries have moved toward using credit cards that carry information on embeddable microchips rather than magnetic strips. The additional encryption on so-called smart cards has made the kind of brazen data thefts suffered by Target almost impossible to pull off in most other countries.

Because the U.S. is one of the few places yet to widely deploy such technology, the nation has increasingly become the focus of hackers seeking to steal such information. The stolen data can easily be turned into phony credit cards that are sold on black markets around the world.

There’s really no excuse for this. The technology to avoid this kind of hacking is available, and it’s been in real-world use for many years. Every bank and every merchant in American knows how to implement it. But it would cost a bit of money, so they don’t. And who pays the price? Not the banks:

J.P. Morgan Chase & Co. Saturday told debit-card holders who shopped at Target during a 20-day data breach that the bank would be limiting cash withdrawals to $100 and putting on a $300 daily-purchasing cap, a move that shows how banks will try to limit exposure to potential fraud.

In a letter to debit card holders posted on its website, the bank said such limitations on spending would be temporary while it plans to reissue cards. The spending restrictions don’t affect credit card users, the bank said.

That’s right: it’s you who pays the price. Oh, these breaches are a pain in the ass for card-issuing banks and for Target itself, and it will end up costing them some money. But mainly it’s a pain in the ass for consumers. And if this breach causes you to be a victim of identity theft, you can be sure that neither Target nor your bank nor your credit rating agency will give you so much as the time of day. It’ll be up to you to reclaim your life even though it wasn’t your fault in any way. It’s a disgrace.

 

We've never been very good at being conservative.

And usually, that serves us well in doing the ambitious, hard-hitting journalism that you turn to Mother Jones for. But it also means we can't afford to come up short when it comes to scratching together the funds it takes to keep our team firing on all cylinders, and the truth is, we finished our budgeting cycle on June 30 about $100,000 short of our online goal.

This is no time to come up short. It's time to fight like hell, as our namesake would tell us to do, for a democracy where minority rule cannot impose an extreme agenda, where facts matter, and where accountability has a chance at the polls and in the press. If you value our reporting and you can right now, please help us dig out of the $100,000 hole we're starting our new budgeting cycle in with an always-needed and always-appreciated donation today.

payment methods

We've never been very good at being conservative.

And usually, that serves us well in doing the ambitious, hard-hitting journalism that you turn to Mother Jones for. But it also means we can't afford to come up short when it comes to scratching together the funds it takes to keep our team firing on all cylinders, and the truth is, we finished our budgeting cycle on June 30 about $100,000 short of our online goal.

This is no time to come up short. It's time to fight like hell, as our namesake would tell us to do, for a democracy where minority rule cannot impose an extreme agenda, where facts matter, and where accountability has a chance at the polls and in the press. If you value our reporting and you can right now, please help us dig out of the $100,000 hole we're starting our new budgeting cycle in with an always-needed and always-appreciated donation today.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate