Breaking Finance News

JPMorgan’s Data Breach Impacts 76 Million Households

JPMorgan ChaseApproximately 76 million households, as well as seven small businesses have been impacted by the JPMorgan Chase & Co. breach. The cyber-attack was first announced back in July and since then has wreaked havoc on both personal and business customers of JPMorgan, this according to a filing with the Securities and Exchange Commission today.

Customer and business contact information to include name, address, phone number, and email address has been compromised, as well as internal company data pertaining to users. However, account numbers, passwords, user IDs, birthdates, and Social Security numbers appear to have been spared. In light of this latest data breach, JPMorgan Chase & Co. (NYSE:JPM) shares dropped 0.89% in after-hours trading.

A spokesperson for JPMorgan said in a statement released today that no unusual customer fraud in connection with this incident has been noted. If fraud linked to the data breach did exist, customers would not be held liable for any unauthorized transactions on accounts, as long as JPMorgan is alerted right away.

JPMorgan is just one among many large financial institutions whose systems were breached in July. Because customer account information was hacked, both the United States Secret Service and Federal Bureau of Investigations (FBI) have taken over to identify the person or persons responsible.

For months, hackers of the JPMorgan attack went unnoticed. It was only during a routine scan that the intrusion was confirmed. Whether customer accounts are breached or not, consumers need to be aware of “piggyback attacks”. These involve social engineering attacks launched by criminals in an effort to take advantage of anxiety stirred up among consumers after a large company breach.

Tod Beardsley, engineering manager with Rapid7, a reputable security firm, advises the public that if anyone receives an email or phone call from a representative of JPMorgan, simply thank them for the contact and disregard or hang up.

It is the customer’s responsibility to initiate contact with JPMorgan, not the other way around. A legitimate company phone number can be found on the back of the company-issued credit card or actual statement. Even if someone sounds convincing, incoming emails and phone calls cannot be trusted.

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