Target expected to pay $20 million to MasterCard for breach
Negotiations over the settlement between Target and MasterCard are expected to come to a close by the end of the week. The retailer is expected to pay the credit card company nearly $20 million to cover the costs incurred from its major data breach in 2013, the Wall Street Journal reports.
The money is to cover the costs that banks had to pay in reissuing new credit and debit cards as well as the costs to resolve instances of fraud that resulted from the breach.Target estimates that personal identifiers from at least 110 million people could have been stolen.
Last month, the retail giant proposed a $10 million settlement making victims eligible for up to $10,000 if they could prove that the breach actually caused them harm. Target is in separate negotiations with Visa.
UPDATE: Target has announced in a release on Wednesday that it will pay up to $19 million to MasterCard for the data breach claims.