Scottrade hack hits 4.6M customers

Scottrade hack hits 4.6M customers
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Online discount brokerage Scottrade said Friday that up to 4.6 million customers may have been affected by a data breach.

In a message on its website, the company said hackers roamed its networks in late 2013 and early 2014, stealing client names and street addresses. Other sensitive data, such as Social Security numbers and email addresses, were also stored in the compromised database, but not taken.

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“It appears that contact information was the focus of the incident,” Scottrade said.

The company apparently discovered the intrusion after federal law enforcement officials said they were looking into a series of cyber crimes targeting information at financial services firms.

The tip caused Scottrade to launch its own investigation, during which it discovered the attack.

“We have no reason to believe that Scottrade’s trading platforms or any client funds were compromised,” the company said. “Client passwords remained fully encrypted at all times and we have not seen any indication of fraudulent activity as a result of this incident.”

Scottrade said it had locked down the hackers’ entry point and strengthened its network defenses.

The news comes just a day after credit agency Experian revealed that a breach exposed around 15 million T-Mobile customers’ data.

In the coming weeks, Congress is set to consider a cybersecurity bill intended to help companies respond to and thwart these types of data breaches. The bill, known as the Cybersecurity Information Sharing Act (CISA), would increase the exchange of cyber threat data between the public and private sector.