Target Reaches $67 Million Settlement With Visa Over Data Breach Claims

More than a year-and-a-half after Target's December 2013 announcement of a massive data breach, the retailer has reached an agreement with Visa, whereby it will reimburse Visa and certain affected card issuers up to $67 million for expenses incurred in connection with the breach.  This will include costs associated with reissuing cards. The agreement comes three months after the company's proposed $19 million settlement with MasterCard fell through as not enough banks accepted the deal.  The MasterCard deal required the approval of 90 percent of banks representing cardholder accounts that were affected by the breach. The Visa deal is less likely to fall apart because it was conditioned on a majority of issuers entering into direct settlements with Visa and Target, which Visa has since certified.  According to sources within the company and at MasterCard, the retailer is also renewing efforts to settle with MasterCard on a similar basis.