Dollar Bank Hit with Class Action Over Data Breach Announced in May 2023 [DISMISSED]

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Dollar Bank, FSB faces a proposed class action over a cyberattack discovered in February 2023 that affected at least 13,213 individuals.

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The 36-page lawsuit says the data breach affecting the Pittsburgh-based bank impacted current and former customers of Standard Bank, which the defendant acquired in 2021. The suit relays that the personal information compromised in the cyberattack included at least individuals’ names, addresses, Social Security numbers, dates of birth, driver’s license numbers, state and military IDs, bank account types and account and routing numbers.

According to a May 2023 notice letter, Dollar Bank discovered on February 4 of this year that there had been unauthorized access to certain Standard Bank systems. A subsequent investigation revealed that the threat actor had “gained intermittent access” to the Standard Bank servers between March 24, 2021 and February 4, 2023, the notice explains.

The letter points out that the data breach occurred prior to the merger with Dollar Bank and that Dollar Bank customers were not affected.

The case argues that the defendant failed to provide its employees with reasonable cybersecurity training and maintain adequate data security protocols to safeguard the private information in its care. The complaint alleges that as a result of Dollar Bank’s negligence, cybercriminals were given “unrestricted access” to customer data for over 22 months after the breach purportedly began.

What’s more, the filing takes issue with the bank’s delayed notification of victims. Although Dollar Bank claims to have detected the incident in February 2023, it waited until late May to begin sending notices to impacted individuals, the lawsuit says.

By keeping victims in the dark, Dollar Bank has deprived them of the chance to mitigate the harms that may be caused by the disclosure of their personal information, the suit charges.

As the case tells it, the bank has “done little” to provide relief to those affected by the breach. Though Dollar Bank has offered certain credit monitoring services, the complaint contests that the gesture is “wholly insufficient” considering the lifelong risks of fraud and identity theft that victims now face.

The lawsuit looks to represent anyone in the United States whose personal information was compromised in the data breach discovered by Dollar Bank, FSB in February 2023, including those who received notice of the incident.

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