Under attack ... Visa and MasterCard.
Under attack ... Visa and MasterCard. Photo: AFP
Up to 10 million credit cards could be affected.
VISA and MasterCard are alerting banks across the US about a recent major breach at a credit card processor. Sources in the financial sector are calling the breach “massive,” and say it may involve more than 10 million compromised card numbers.

In separate non-public alerts sent late last week, VISA and MasterCard began warning banks about specific cards that may have been compromised. The card associations stated that the breached credit card processor was compromised between January 21 and February 25, 2012. The alerts also said that full Track 1 and Track 2 data was taken – meaning that the information could be used to counterfeit new cards. Australians in the United States are being warned to check their credit card statements carefully. A small number of Australian card holders are thought to have been affected by the theft of data.
"Visa has notified Australian card issuers of the affected account numbers so they can take steps to protect consumers, either through independent fraud monitoring or reissuing cards if necessary," spokeswoman Judy Shaw told Fairfax."If you have any concerns please contact your bank and you will not be out of pocket."

Mastercard spokesman David Masters said Australian credit card holders were protected from liability. "People should check their statements," he said. "If their card has been compromised and used fraudulently it means they don't pay for it. If you didn't contribute to the fraud you're not responsible for it."
Atlanta-based processor Global Payments has confirmed that they discovered a breach in early March. It issued a statement saying it identified and self-reported unauthorised access into a portion of its processing system. Organisations must disclose such breaches in line with US regularion.
"In early March 2012, the company determined card data may have been accessed.  It immediately engaged external experts in information technology forensics and contacted federal law enforcement. The company promptly notified appropriate industry parties to allow them to minimise potential cardholder impact.  The company is continuing its investigation into this matter," the statement said.
"It is reassuring that our security processes detected an intrusion.  It is crucial to understand that this incident does not involve our merchants or their relationships with their customers," said Chairman and CEO Paul R. Garcia in the statement.