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Breach Notification

Last Updated: 2025-02-17 Status: Complete

Data breach notification is governed by a patchwork of state laws, card network rules, and regulatory requirements. Understanding these requirements is critical for timely and compliant breach response.

Quick Reference

JurisdictionTimelineKey Requirement
Card networksImmediateNotify acquiring bank
California (2026)30 days+ 15 days to AG if > 500
Oklahoma (2026)60 daysExpanded data types
Most states30-60 days"Without unreasonable delay"
GDPR (if applicable)72 hoursSupervisory authority

Notification Hierarchy

Card Network Requirements

Visa

RequirementTimeline
Notify acquiring bankImmediately upon discovery
Account Data Compromise notificationWithin 24 hours
ContainmentWithin 60 business days
PCI Forensic InvestigatorIf required by Visa

Failure to contain within 60 days may trigger mandatory PFI investigation.

Mastercard

RequirementTimeline
Notify acquiring bankImmediately
Account Data Compromise EventWithin 24 hours
Provide compromised account dataAs soon as available
Forensic investigationAs required

Notification Content

ElementRequired Information
Nature of incidentWhat happened
Data types compromisedPAN, expiration, CVV, etc.
Number of accountsCount or estimate
Date of compromiseWhen it occurred
Date of discoveryWhen you found out
Containment statusWhat's been done

State Breach Notification Laws

Key State Requirements (2026)

StateTimelineNotable Requirements
California30 days to residents, 15 days to AGApplies when ≥ 500 residents affected
Oklahoma60 daysExpanded data types (biometrics, government IDs)
New York"Expedient" + 60 days to AGSHIELD Act requirements
Massachusetts"Promptly"Director of Consumer Affairs
Texas60 daysAG notification required

Notification Trigger

Most state laws require notification when:

ElementRequirement
Personal informationState-defined (usually SSN, financial, health)
BreachUnauthorized acquisition of data
ResidentsIndividuals residing in that state
Harm likelihoodSome states require harm assessment

Payment-Specific Data

Data TypeTypically Triggers Notification
Primary Account Number (PAN)Yes
Name + PANYes
CVV/Security CodeYes
Expiration Date (with PAN)Usually yes
Cardholder Name aloneUsually no

Notification Timeline Summary

Customer Notification

Notification Methods

MethodWhen Required
Written letterStandard method
EmailIf prior consent obtained
Substitute noticeIf > 500,000 affected or cost > $250,000
PhoneMay supplement written

Required Content

ElementDescription
Nature of breachWhat happened in plain language
Data typesWhat information was exposed
Actions takenWhat you're doing about it
Contact informationHow to reach you
RecommendationsSteps customer should take
Credit monitoringOffer if applicable

Sample Notification Structure

NOTICE OF DATA BREACH

[Date]

Dear [Customer Name],

We are writing to inform you of a security incident that may have
affected your payment card information.

WHAT HAPPENED
[Description of incident, dates, discovery]

WHAT INFORMATION WAS INVOLVED
[Specific data types affected]

WHAT WE ARE DOING
[Actions taken to address the incident]

WHAT YOU CAN DO
[Recommended steps for the customer]

FOR MORE INFORMATION
[Contact details, resources]

Sincerely,
[Company Name]

Credit Bureau Notification

When Required

ConditionRequirement
> 5,000 individuals affectedNotify credit bureaus
> 1,000 in some statesState-specific requirements

Credit Bureaus

BureauContact
EquifaxSecurity Freeze
ExperianSecurity Freeze
TransUnionSecurity Freeze

Regulatory Notifications

Federal Regulators

RegulatorWhen to Notify
FTCIf consumer data involved
SECIf material to public company
OCC/FDICIf bank-supervised
FinCENIf suspicious activity involved

State Attorneys General

RequirementDetails
TimingVaries (15-60 days)
FormatState-specific forms
ContentIncident details, affected count

Documentation Requirements

Incident Documentation

DocumentContents
Incident reportTimeline, actions, decisions
Notification logWho, when, how notified
Evidence preservationChain of custody
Forensic reportTechnical findings

Retention

RecordRetention Period
Notification copies5+ years
Incident documentation5+ years
Legal correspondence7+ years
Forensic reports7+ years

Post-Breach Actions

Remediation

ActionTimeline
Patch vulnerabilitiesImmediate
Reset credentialsAs needed
Enhance monitoringOngoing
Update controlsBased on findings

Follow-Up

ActionTimeline
Customer inquiry handlingOngoing
Regulatory follow-upAs required
Legal proceedingsAs needed
Insurance claimsPer policy

References

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