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Heartland Security Breach

Date: January 23rd, 2009 - Author: Maine Credit Union League/UCU

MEDIA RELEASE
For Immediate Release
January 21, 2009

For More Information
Contact: Jon Paradise
(207) 773-5671, ext. 273
Cell: (207) 653-2309

 
MAINE CREDIT UNIONS JOIN OTHER FINANCIAL INSTITUTIONS IN ASSESSING IMPACT OF NEW JERSEY-BASED CARD PROCESSORS’ SECURITY BREACH ON MEMBERS

(Westbrook, ME) - The Maine Credit Union League reports that its member credit unions have joined other financial institutions in Maine in assessing the impact as the result a security breach that occurred through Heartland Payment Systems, a third-party card processor used by 250,000 merchants nationwide and based in Princeton, N.J. The League said that MasterCard and Visa investigations continue into this matter; however, the information received states that this processor had magnetic stripe data compromised by malicious software between the dates of May 16, 2008 and August 19, 2008, and has affected banks and credit unions.

Jon Paradise, Spokesman for the Maine Credit Union League, explained, “Based on the number of affected cards as well as the amount of recent fraud incidents we are anticipating that this event will have an impact on credit unions and other financial institutions in Maine. �However, utilizing experience from past data breaches, Maine credit unions are well-prepared to respond quickly to breaches. �The primary focus of Maine’s credit unions is on doing what is best for members and be proactive in order to minimize any inconvenience. ��A number of Maine credit unions are indicating that they will take the precaution of blocking and reissuing new cards to any members' affected by the breach. �In the meantime, all credit unions are monitoring the situation and reviewing all of the information that has been made available so far.”

The Maine Credit Union League and Maine credit unions again emphasized that consumers whose card(s) have been compromised have zero liability. �Consumers are asked to monitor their accounts for any suspicious activity and report it to their financial institution.

For additional information on this breach, a special web site has been set-up by the processor at www.2008breach.com.

A�small percentage of UCU Visa Check Cards have been compromised�as reported at this time.� If UCU received notification that a member’s Visa Check Card has been compromised we will be in contact with the member. UCU advises members to please continue to monitor their accounts.� If members have�any further questions, please feel free to call UCU at 800-696-8628.

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