California Credit Union Debit Cards Hit by Hackers
The $2.2 billion Redwood Credit Union said Friday it has reissued 18,400 debit cards since June when the Santa Rosa, Calif., credit union was notified that a regional supermarket’s IT system had been hacked by criminals compromising about 200 member accounts.
Raley’s Family of Fine Stores announced on June 6 that a portion of its computer network systems may have been the target of a complex, criminal cyber attack.
The company, which operates 128 supermarkets in northern California and northern Nevada, initiated an investigation to determine whether cyber criminals may have obtained customer credit and debit card information.
Raley’s has not confirmed any unauthorized access to payment card data and said on its website that it does not believe that debit PINs could have been accessed by the cyber criminals.
“We have zero fraud liability so our members carrying our cards will not incur any loss even if there was fraud committed on their accounts,” added Robin McKenzie, senior vice president of marketing and communications for Redwood CU. “Our members have responded very positively to our response to the situation.”
The hacking incident also affected the $106 million Members 1st Credit Union in Redding, Calif., and the $39 million Dow Great Western Credit Union in Antioch, Calif.
In a statement to members on its website, the 1st Credit Union reported on July 1that it discovered some instances of fraudulent charges due to the cyber attack at Raley’s.
Though Members 1st CU said it blocked India, the country identified as the origin of the fraudulent charges, it asked members to check their statements for any suspicious transactions.
Ken Graves, CFO for Dow Great Western CU, said only two debit cards had been compromised as a result of the Raley’s cyber attack.