![]() ![]() If all 147 million affected people were to file for a claim, each person would receive mere 21 cents for the breach of their most sensitive personal information, although there are some contingent provisions in the settlement that might increase that amount. So, the amount paid out goes down after 248,000 people elect this remedy. Out of the potential $425 million available to consumers, only $31 million is initially available for consumers if they elect to receive a $125 cash payment instead of credit monitoring services. So, while it’s a lot of money to you or me, it isn’t that much to Equifax. To get some perspective, a potential total settlement amount of $700 million is less than a quarter’s worth of Equifax’s revenue in 2017. Those are big numbers, but they don’t paint the whole picture. Equifax will also pay $275 million to states and the Consumer Financial Protection Bureau. ![]() If the $300 million is not enough to compensate affected consumers, then Equifax is required to pay an additional $125 million into the fund. The ultimate Equifax settlement number is flexible-Equifax will initially pay $300 million into a fund that will provide breach victims with credit monitoring services, reimburse (up to 25%) for credit monitoring services purchased from Equifax, and compensate for other out-of-pocket expenses incurred as a result of the breach. If you do care about your privacy and want to make companies more responsible with your data, make your position known. And all too often, the fact that too few people make claims in these consumer privacy cases is used in the next case to argue that consumers just don’t care about privacy, making it even harder to force real security upgrades. Equifax must pay for the harm they have caused to everyone. In the meantime, EFF strongly urges everyone impacted by the calamitous Equifax breach to participate in the settlement claims process. ![]() Without stronger privacy legislation, the lawyers and regulators trying to respond to these data leaks are operating with one hand tied behind their back. While the direct compensation to those harmed and the fines paid are important, it’s equally important to evaluate how much this result is likely to create strong incentives to increase data security for both Equifax and the other companies that are closely watching. Last week, news broke of a large financial settlement for the massive 2017 Equifax data breach affecting 147 million Americans. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |