December 16 2017

In Equifax Hearing, These 5 Data-Security Ideas Emerged

December 16 2017, 04:51 | Sammy Rose

Equifax Data Breach: 2.5 million more consumers affected, ex-CEO faces Congress

Equifax knew about cyber vulnerabilities before attack, ex-CEO claims

After that, consumers will have to pay for it at the standard rate of $17 a month.

He will also get a $500,000 cash bonus if he meets certain undisclosed criteria by the company's board of directors.

As for Equifax's American customers, the turnout is considerably different. ". The bottom line here is you had a hack that you found out about on [July] 29th, you told the Federal Bureau of Investigation about the breach and on that same day some high level executives sell $2 million worth of stock".

Smith noted that in addition to his departure, the company's chief information officer and chief security officer also left the company following the breach.

Equifax says fewer than 400,000 United Kingdom consumers had some of their personal information compromised, but it was more limited in scope and unlikely to lead to identity theft.

"You can't change your Social Security number and I can't change my mother's maiden name", Rep.

"I'm here today to say to each and every person affected by this breach: I am truly and deeply sorry for what happened", Smith said, according to the Los Angeles Times.

Democrats have introduced a flurry of legislation in response to the breach. The rules in force in the company require that this type of problem be corrected within 48 hours, but the internal systems not having the detected fault, and therefore it has not been corrected, he stated, without further explanation.

Meanwhile, Smith, the former Equifax CEO, argued that it's time to go come up with a way to replace the use of Social Security numbers to identify consumers.

Sen. Elizabeth Warren, D-Massachusetts, said Equifax didn't have enough incentive to ensure consumer data was secure. He said that recognition only occurred after forensic experts conducted their review in the following weeks. The company's "vulnerability scanning and patch management processes and procedures" have been enhanced, Smith said.

But the committee didn't forget the ultimate effect of the breach: The personal data genie can't go back in the bottle.

"Equifax has forfeited its right to corporate secrets", said Senator Sherrod Brown at a hearing.

The U.S. House Energy and Commerce Committee held a hearing Tuesday with former Equifax CEO and Chairman Richard Smith.

It's the first of several appearances taking place this week before House and Senate panels.

Representative Joe Barton wondered if companies like Equifax might do a better job protecting customers' data if there were federal fines for breaches.

In his questioning, which included holding up a sample of an Equifax credit report that was incredibly thick, Rep. Greg Walden (R-Ore.) said: "I don't think we can pass a law that, excuse me for saying this, that fixes stupid".

After Tuesday's grilling, Smith is scheduled to testify at three additional congressional hearings this week.

That employee is no longer with the company, Smith said. According to filings with the Securities and Exchange Commission, LifeLock purchases credit monitoring services from Equifax - so more money for LifeLock means more money for Equifax.

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