Yonhap News reports that penalties imposed by financial regulators following data leaks may really hurt card issuers’ bottom lines this year:
The three credit card firms hit by recent massive data leaks may lose some 100 billion won (US$93.6 million) in revenues due to a three-month business suspension ordered by the country’s financial regulator, data showed on Thursday.
Last month, the Financial Services Commission (FSC) revealed that some 20 million clients’ personal data had been leaked from the three credit card firms — KB Kookmin, NH Nonghyup and Lotte — as well as Kookmin Bank, which shared customer data with its affiliated card firm.
As punishment for the data breach, the card firms were barred from signing up new customers and offering new products and loan services starting Monday this week.
Read more on Yonhap News.