Visa Sets Deadline for Debit Card Issuers after Target Settlement
Less than a week after its settlement with Target, Visa has set a deadline for their debit card issuers to receive extra compensation from the Target data breach of 2013. Card issuers who wish to seek payments beyond what they will receive through the settlement will need to submit their requests by September 4th, but they must agree not to sue Target over the breach.
Target has agreed to reimburse as much as $67 million to Visa debit and credit card issuers, and those funds will automatically be sent to the issuers. However, in addition to that, the issuers can request a reimbursement for fraud that may have stemmed from the Target breach.
If the issuers choose to accept the extra payment, they must agree not to sue Target directly. Some of the companies set to receive funds said the reimbursement alone is not enough to cover the loss they have experienced from the breach. Thus far, only a handful of companies have chosen to independently pursue class actions against Target.
There is no information at this time about when the reimbursements or additional funds will be released to affected card issuers, but the finalization of the settlement should certainly speed up the process.