In 2017, hackers gained access to a company database containing the personal data of 147 million US citizens.
Equifax Inc will allocate $ 700 million to eliminate the data leakage of 147 million US citizens. According to The Washington Post, the organization will pay $ 425 million to customers, $ 175 million to the authorities of 48 states of the United States and another $ 100 million will receive the Bureau of Financial Citizens Protection.
In addition, the US Federal Trade Commission required Equifax to implement a new security system. It will be subject to verification for the next 20 years by third parties. If any violations are found, organizations may issue new fines.
Unreasonableness, negligence, and poor security standards put at risk the personal data of half the US population. Now it’s time for the company to do what is necessary and this implies not only paying for the damage, but also providing protection to every American.
Laetitia James New York State Attorney General
The incident with the leak of data from Equifax happened in September 2017. Hackers managed to gain access to personal data of 147 million US citizens. They also extracted credit card data for 209 thousand clients. Information of foreign citizens was not affected. After that, the company’s shares fell by 6%.
Equifax was founded in 1899 in the United States. The organization is engaged in the processing and storage of data on loans and borrowings. The general base of the company includes data of citizens from 24 countries of the world.