Following a massive security breach from 2013, Visa and Target have come to an agreement that will see Target pay in the area of $67 million to 40 million cardholders.
Target is also working on a new agreement with MasterCard. The previous settlement saw Target offer $19 million to cardholders, but MasterCard turned it down as being too low. As a result Target and MasterCard are carving out an agreement similar to Visa’s.
The agreement will also include a bonus to issuers who decide not to sue Target. If those issuers waive the suit, the company will cover the hit they took from debit card transitions as a result of breach, according to The Wall Street Journal.
The breach was found while the 2013 holiday season was in full swing. During that period several other large stores were also hit including Home Depot. Since then Target has put millions into recovering from the attack. While Target can’t predict when another attack will occur or how much damage hackers will do, it has still put money into improving its security just in case.