Bank of America's Sensitive Customer Data Compromised in Third-Party Hack - Is Your Account Safe?

Bank of America BAC has confirmed a data breach involving a third-party software provider that led to the exposure of sensitive customer data.

What Happened: According to a filing earlier this month, an unidentified third-party software provider discovered unauthorized access to its systems in October. The breach did not directly impact Bank of America’s systems, but the data of at least 414 customers is now at risk.

The breach pertains to mortgage loans and the compromised data includes customers’ names, social security numbers, addresses, phone numbers, passport numbers, and loan numbers. The bank is currently notifying affected customers about the breach.

Also Read: Massive Data Breach Exposes Millions of Credit and Debit Cards—Is Your Account Safe?

In response to the breach, Bank of America is taking steps to mitigate any financial impact and scan for unauthorized transactions. The bank is also offering a free one-year enrollment to an identity protection service to affected customers.

Why It Matters: This incident underscores the growing risk of third-party data breaches in the banking sector.

A recent report from SecurityScorecard revealed that 97% of the top 100 US banks experienced third-party data breaches last year.

This trend highlights the increasing reliance on outside vendors for core banking functions and the associated risks.

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