Target settles with Visa following 2013 breach

Following a data breach of Target's computer systems during the 2013 holiday shopping season that affected 40 million card accounts and the personally identifiable information (PII) of as many as 70 million people, the Minneapolis-based mass retailer agreed on Tuesday to a settlement with card issuer Visa.

Although terms were not disclosed, an unnamed source reportedly said Target will fork over as much as $67 million to banks issuing Visa cards.

The agreement covers expenses banks incurred as a result of the attack, including the outlay for reissuing cards and any fraud that resulted subsequent to the incident, according to a Bloomberg report.

As part of the deal, Target said it will pay $10 million to customers whose PII might have been compromised.

Negotiations with MasterCard are ongoing after a proposed $19 million breach settlement was reportedly terminated in May.

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