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Re: [Full-disclosure] Is the Bottom Line Impacted by Security Breaches?

from [Frank Knobbe] Network Security [Permanent Link]
Subject: Re: [Full-disclosure] Is the Bottom Line Impacted by Security Breaches?
Date: Wed, 28 Sep 2005 13:54:27 -0500 
On Wed, 2005-09-28 at 10:22 -0400, Kenneth F. Belva wrote:

In the paper I ask: "If 40 million customer credit card numbers are
exposed in a security breach at the credit card processor CardSystems, why
do a significant number of people not cancel their Visa and/or
Mastercard?"


Simple. The credit card numbers are exposed every time they make a
purchase as well. Now, it someone commits fraud with your name and card
number (which a convenience store clerk can do himself... no
high-profile server breach needed), then the customer is only liable for
minimal damages. The risk and liability lies with the credit card
company.

Perhaps you should ask:
"If 40 million customer social security numbers are exposed in a
security breach at the credit card processor CardSystems, why do a
significant number of people not request new social security numbers?"

After all, there is no limit on liability with fraud on those....

Regards,
Frank

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