In September 2017, Equifax, one of the largest credit reporting agencies in the world, suffered a major data breach that exposed the sensitive personal and financial information of more than 140 million consumers. The breach sparked widespread outrage and concern among affected customers, who feared that their identities would be stolen and their credit scores would be negatively affected.
Following the breach, Equifax faced numerous lawsuits and investigations from government agencies and consumer advocacy groups. In early 2019, the company reached a settlement agreement with the Federal Trade Commission (FTC) that provided compensation to affected consumers and required Equifax to implement new security measures to prevent future breaches.
Here’s what you need to know about Equifax compensation and how to claim your share of the settlement funds.
Who is eligible for Equifax compensation?
If you were a U.S. resident and had a credit report with Equifax, you may be eligible for compensation if your personal and financial information was exposed in the 2017 data breach. This includes your name, Social Security number, birthdate, address, and driver’s license number.
You can check if your information was exposed by visiting the Equifax data breach settlement website and entering your last name and the last six digits of your Social Security number. If you were affected, you can file a claim to receive compensation for the costs and damages you suffered as a result of the breach.
What types of claims can be filed for Equifax compensation?
There are two types of claims that can be filed for Equifax compensation: reimbursement and time spent.
Reimbursement claims cover the costs and losses you incurred as a result of the breach, such as:
– Out-of-pocket expenses: This includes things like credit monitoring and identity theft protection services, as well as fees to freeze and unfreeze your credit report.
– Fraudulent charges: If unauthorized charges appeared on your credit or debit card as a result of the breach, you can claim reimbursement for those charges.
– Identity theft or fraud: If you suffered identity theft or fraud as a result of the breach, you can claim compensation for the time and expenses you incurred to resolve the issue.
Time spent claims cover the time and effort you spent dealing with the breach, such as:
– Time spent securing your accounts: This includes changing passwords and setting up two-factor authentication for online accounts that were at risk.
– Time spent monitoring your accounts: If you spent time monitoring your financial accounts and credit reports for signs of fraud or identity theft, you can claim compensation for that time.
– Time spent dealing with the breach: If you spent time on the phone or online dealing with Equifax or other companies as a result of the breach, you can claim compensation for that time.
How much compensation can you receive from Equifax?
The settlement agreement provides for a total compensation fund of up to $700 million. Of that amount, $425 million is set aside for affected consumers to claim for reimbursement and time spent.
The amount of compensation you can receive depends on the types of claims you file and the number of people who file claims. Initially, Equifax offered up to $125 per person for reimbursement claims and up to $20 per hour for time spent claims, up to a maximum of 10 hours.
However, due to the high number of claims filed, the actual compensation you receive may be lower. Equifax has stated that if the fund is not enough to fully compensate all eligible claims, the payouts will be reduced pro rata.
How to file a claim for Equifax compensation?
To file a claim for Equifax compensation, you must submit a claim online or by mail by the deadline of January 22, 2020. You will need to provide proof of your expenses and damages, such as receipts, bank statements, and credit reports.
If you are unsure whether you are eligible or have questions about the claims process, you can contact the settlement administrator or consult with a consumer protection attorney.
In conclusion, the Equifax data breach was a significant event that had a major impact on millions of consumers. While compensation cannot undo the harm that was done, it can provide some relief for those who suffered financial losses or spent time dealing with the aftermath of the breach. If you were affected by the Equifax data breach, be sure to check your eligibility and file a claim before the deadline to receive the compensation you deserve.