PayPal has been left red-faced after it was forced to admit a massive data breach at a recently acquired payment processor.
TIO Networks, which was acquired by PayPal in July, admitted on Tuesday that the data of up to 1.6 million customers was stolen in a recent data breach.
PayPal said in a statement that TIO’s operations had been suspended since 10 November, while it investigated “security vulnerabilities” in the firm’s platform.
“The ongoing investigation has uncovered evidence of unauthorised access to TIO’s network, including locations that stored personal information of some of TIO’s customers and customers of TIO billers,” according to a TIO statement.
“TIO has begun working with the companies it services to notify potentially affected individuals.
“We are working with a consumer credit reporting agency to provide free credit monitoring memberships. Individuals who are affected will be contacted directly and receive instructions to sign up for monitoring.
PayPal was quick to point out that its own platform “is not impacted in any way” and that PayPal customer data remains secure.
Do you use PayPal to pay for your online purchases? Are you concerned about this latest data breach? Do you think PayPal should have notified customers sooner?