Staples Investigate Payment Card Data Theft

News Article - Wednesday, 22 October 2014 11:09

By: Kerry Butters Category: Security

Office stationary supply superstore Staples is investigating a pattern of fraudulent transactions after banks traced suspicious activity on cards used at Staples branches in the US.

If the claims made in a blog report by revered security expert Brian Krebs prove to be correct, it would make Staples the latest in a long line of retailers in the US that have been successfully targeted by hackers.

Krebs, writing in a blog post , reported: "Multiple banks say they have identified a pattern of credit and debit card fraud suggesting that several Staples Inc. office supply locations in north-eastern United States are currently dealing with a data breach."

Mark Cautela, spokesman for Staples has spoken on the issue: "We take the protection of customer information very seriously, and are working to resolve the situation. If Staples discovers an issue, it is important to note that customers are not responsible for any fraudulent activity on their credit cards that is reported on a timely basis.” (Sky News )

Hackers install card stealing malware on cash registers and many retail stores have found themselves caught out by the breach.

Kmart found earlier this month that such malicious software had been installed onto its systems, compromising the point-of-sale registers, and the fast food chain Dairy Queen also reported that nearly 400 of its stores had been infected by the malware.

Last year, Target reported more than 40 million credit and debit card accounts compromised. More recently, last month Home Depot launched an investigation into a possible attempt of a hack into its computer systems.

In response to this latest security threat reported by Staples, the US government has called for retail stores to start to make a swifter move from magnetic strip payment cards (still the most common and least secure form of payment in the US) to chip-and-pin.

"With over 100 million Americans falling victim to data breaches over the last year, and millions suffering from credit card fraud and identity crimes, there is a need to act and move our economy toward secure technologies that better secure transactions and safeguard sensitive data," the Obama administration has said. (BBC )

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