Understanding the Consequences of a Major Data Breach

Our personal information is more vulnerable than ever in an increasingly high-tech world. The recent data breach at National Public Data has once again highlighted the devastating consequences of inadequate data security. This breach, which affected an estimated 2.9 billion people according to an article published in Newsweek, exposed sensitive personal information. The stolen data included Social Security numbers, names, addresses, birthdates, and contact details. The scale and severity of this incident emphasize the urgent need for individuals and organizations to grasp the risks of data breaches and take proactive measures to protect themselves. A cyber group has launched NPD.pentester.com, a platform where people can check to see if their personal information was exposed in the breach.

The Scope of the National Public Data Breach

National Public Data, a major consumer data broker that performs employee background checks, recently found itself at the center of a massive data breach that compromised the personal records of billions of people. The breach came to light after hackers put the stolen information up for sale on the dark web. Several class-action lawsuits related to the breach were then filed against the company. This breach is one of the largest in history, and the implications are far-reaching. Hackers gained access to highly sensitive information. Cybercriminals can easily exploit such data, leading to a range of malicious activities that can impact individuals on both a personal and financial level.

The Risks Associated with Data Breaches

Data breaches like the one at National Public Data are not just isolated incidents; they represent a significant and ongoing threat to our privacy and security. Here’s a detailed look at the dangers:

1. Identity Theft: Identity theft is among the most immediate and severe risks of a data breach. When cybercriminals obtain your Social Security number, they can impersonate you to open credit accounts, apply for loans, and even file fraudulent tax returns. Identity theft can result in significant financial loss, damage to your credit score, and years of painstaking work to rebuild your financial reputation.
2. Financial Fraud: With access to your personal information, criminals can commit fraud by making unauthorized transactions on your existing accounts. This includes draining your financial accounts and making unauthorized purchases. Financial fraud can lead to significant monetary loss and the freezing of your accounts while investigations are conducted.
3. Phishing and Social Engineering Attacks: Armed with your contact information, cybercriminals can launch targeted phishing attacks. These attacks often involve convincing emails or text messages that seem to be from legitimate organizations, tricking you into revealing further personal information, such as passwords or credit card numbers. Remember, Choice One Community Credit Union will never call, email or text you asking for personal information like usernames, passwords or account numbers. Don’t respond; instead, contact Choice One directly.
4. Account Takeovers: Once a hacker has your personal information, they can attempt to take over your online accounts, including email, social media, and financial profiles. This can result in unauthorized access to your accounts, further financial loss, and even reputation harm if the hacker uses your accounts to spread misinformation or engage in fraudulent activities.
5. Selling of Personal Data: Personal data obtained from breaches is often sold on the dark web to other criminals. Multiple parties can then repeatedly exploit your information, leading to ongoing risks. The sale of your data increases the likelihood of being targeted for fraud and scams over time.

How to Protect Yourself from Data Breach Risks

Given the severity of the risks associated with data breaches, taking steps to protect yourself is crucial. While no method is foolproof, following these best practices can significantly reduce your vulnerability:

1. Monitor Your Financial Accounts: Frequently check your credit union, bank, and credit card statements for questionable activity. If you observe any unauthorized transactions, report them immediately to your financial institution. Most institutions offer fraud alerts that can notify you of unusual activity, helping you catch potential breaches early. For example, “Choice Alert” is a feature within the Choice One Mobile App that helps members proactively monitor their credit and debit cards by setting up controls and alerts.
2. Check Your Credit Reports: Obtain free copies of your credit reports from the three major credit bureaus—Equifax, Experian, and TransUnion. Review these reports for any unfamiliar accounts or inquiries. If you see anything suspicious, contact the credit bureaus directly.
3. Enable Two-Factor Authentication (2FA): Enable two-factor authentication on your online accounts. 2FA adds an extra layer of security by requiring a password and a second form of verification, such as a text message code or biometric authentication, to access your accounts.
4. Use Strong, Unique Passwords: Create strong, unique passwords for each online account. Avoid using easily guessable information like birthdays or common words. Consider using a password manager to create and store complex passwords securely.
5. Freeze Your Credit: Consider placing a credit freeze with the major credit bureaus. A credit freeze stops new accounts from being opened in your name, making it more difficult for identity thieves to use your information. When you freeze your credit, potential creditors and other third parties will not be able to access your credit report until you lift the freeze. While a credit freeze doesn’t affect your existing accounts, it does add an extra layer of protection against identity theft.
6. Be Wary of Phishing Attempts: Be cautious when receiving unsolicited emails, texts, or phone calls that ask for personal information. Avoid clicking on links or downloading attachments from unknown sources. Remember, Choice One Community Credit Union will never call, email or text you asking for personal information like usernames, passwords or account numbers. Don’t respond; instead, contact Choice One directly.
7. Report Identity Theft: If you believe your information has been compromised, report it to the Federal Trade Commission (FTC) at IdentityTheft.gov. The FTC will help create a personal recovery plan.
8. Stay Informed: Our Choice Words blog can help keep you up-to-date on the latest fraud protection topics, empowering you to stay ahead of potential threats.

Understand the Risks of a Data Breach

By understanding the risks of a data breach and taking initiatives to protect your personal information, you can minimize the potential of becoming a victim of identity theft, financial fraud, and other cybercrimes. In today’s interconnected world, safeguarding your data is not just an option, it’s a necessity.