The data security breach impacting 40 million credit and debit cards at Target during the holiday shopping season boosts the wisdom of larger transaction fees charged by credit unions to retailers, CUNA Senior Vice President for Research and Policy Analysis Bill Hampel said Monday.
"The more frequent and more significant the data breaches are in the future, the stronger the case will be for higher interchange fees," Hampel said.
While the diagnoses and possible fixes for the problem are still being examined, Hampel said the solution likely to require more Congressional than regulatory agency action.
To get a handle on how widespread reissuing credit cards has become for credit unions in response to the data breach along with other costs, CUNA began surveying its members Friday.
As of Monday, 200 of CUNA's 6,950 institutions responded.
Hampel said preliminary results will be available in a week or two.
