Now we know why Scottrade got rid of ACH eCheck payments/transfers.
Just got the letter Scottrade eCheck Secure service was hacked!
They lost all our information including the following:
name, drivers license, date of birth, phone number, bank name, bank code, bank number, bank routing number, bank account number and if you used your Social Security number instead of a DL#, that is now stolen too! The hackers got the motherlode.
I am fed up with Scottrade. When my company had this happen they offered free credit report monitoring for 1 year, they are doing NOTHING to protect us after the fact.
Scottrade has lost my accounts (literlly), first they get rid of free Mutual Fund Investing, then they get rid of electronic check transfers, now they lose all my personal data. Luckily I already have a Firstrade account and I'll be moving my $ there.
EDIT: For the doubters here is a digital picture of the letter, sorry for the quality its only 1 megapixel circa 2001: Scottrade Letter
"We take information security and the protection of customer records very seriously. We have many safeguards and processes in place."
I wonder how long ago this happened? The press release is dated October 25.
They will probably be processing checks again in a few weeks, same "safeguards" in place.
adityanm
Happy Member
posted: Nov. 21, 2005 @ 9:59p
One more disgusting thing with Scottrade. Last week their much promoted ScottradeElite updated itself and now it has bugs and does not work and terminates with Runtime error. I asked them to let me use older version but was told that the older version in not available any more. What a pity that they would push a system without any testing.
i guess the phrase 'u get what u pay for' comes to mind. i never understood why so many fw'ers were so gung-ho about scottrade, price isn't everything.
TheWiseGuy said: i guess the phrase 'u get what u pay for' comes to mind. i never understood why so many fw'ers were so gung-ho about scottrade, price isn't everything.
How are you going to fault Scottrade for a third party f-up?
KublaKhan
Broke Member
posted: Nov. 21, 2005 @ 10:31p
Got the same crappin' letter.
In other news, TROY GROUP INC stock was up 5.6% today.
jkimcpa said: TheWiseGuy said: i guess the phrase 'u get what u pay for' comes to mind. i never understood why so many fw'ers were so gung-ho about scottrade, price isn't everything.
How are you going to fault Scottrade for a third party f-up?
Scottrade probably used them because they were the cheapest....now they know why...
So are you guys putting fraud alerts on your credit report?
And since they have access to driver license #, does that needs to be changed as well?
what a PITA!
dellcds
New Member
posted: Nov. 22, 2005 @ 12:09a
I bet a lot of people here using Scottrade, me too. I think we should start calling this company and demand some free credit monitoring service, OR we should show our power and start xfering the accounts elsewhere.
Grreg
Member
posted: Nov. 22, 2005 @ 1:09a
dellcds said: I bet a lot of people here using Scottrade, me too. I think we should start calling this company and demand some free credit monitoring service, OR we should show our power and start xfering the accounts elsewhere.
Or both?
scanlan17
Member
posted: Nov. 22, 2005 @ 4:12a
I concur. I wrote a pretty nasty letter to Scottrade demanding them to pay for any fraud balances on my bank account. Let's see what their response is tomorrow. If they don't say what I want to hear, Psssh, outta there.
But I don't think we should be too fast to say that "you get what you pay for." RBC Dainrauscher also had this problem a couple of months ago (albeit not with echeck).
stateofmind said: And several months ago Ameritrade lost several "back-up tapes" containing personal info. Ameritrade provided a free year of Identity Track service to monitor/watch your credit after those tapes were lost (and its believed that the tapes were really just lost in shipping, not stolen). In this case they know the servers were hacked so they know that the information has fallen into hacker hands - they should do at least that much if not more to protect their customers.
mstlee
New Member
posted: Nov. 22, 2005 @ 9:54a
I had signed up for eCheck Oct 30 - and I got a call from the local Scottrade rep telling me my application was on hold due to vendor issues. I guess I got lucky (?) but unfortunately, my husband has had the eCheck service for couple of years so we too got the letter.
I'm going to start looking for another trading site. It would be a pain to have to write a check each time.
if scottrade's vendor has already been compromised, don't you think switching vendors opens you up to being compromised differently?
I can see both sides of it, but if hacker X now has scottrade's data, is it more likely that hacker X will want scottrade's data again vs. someone else's data?
Not sure...
piggy1
Member
posted: Nov. 22, 2005 @ 11:18a
walletfart said: if scottrade's vendor has already been compromised, don't you think switching vendors opens you up to being compromised differently?
I can see both sides of it, but if hacker X now has scottrade's data, is it more likely that hacker X will want scottrade's data again vs. someone else's data?
Not sure...
But Hacker Y might. Or hacker X can farm & re-sell the data.
masamfigblu
Happy Member
posted: Nov. 22, 2005 @ 1:27p
Scottrade should not be faulted for Troy Group's foulup. Did you notice that Scottrade immediately took their business away from Troy Group? Also, the Government uses Troy Group for check processing. So, are you going to tell the Government you want to take your business somewhere else?
If you did not use the echeck transfer to open an account, then your account should be safe. However, Scottrade should offer a free one year credit check the same as Ameritrade did.
Probably should watch accounts closely and check credit reports.
masamfigblu said: Scottrade should not be faulted for Troy Group's foulup. Yes, they should. Here's how it works, you pick Scottrade to do your business with and they pick who they do business with. You are responsible for your decision and they are responsible for theirs. When you are picking a broker its not reasonable for you to do due diligence with every vendor that they contract with/to - you have to assume that there are appropriate security minded folks employed by them that are watching out for your interests and make sure that their customer's data is protected adequately. So when one of their vendors f*!@ up then it is very much their fault IMHO
BigBucksNoWhammy
Tired Member
posted: Nov. 22, 2005 @ 1:38p
You know, if Scottrade was using this "third party vendor" to process its ACH, what makes you think that Scottrade is the only financial oriented company to use them? I'm betting they had several if not dozens of contracts with other banks and companies too. Watch them all come out of the woodwork now, since Scottrade has spilt the beans. If Troy is publically traded, and you own shares, time to dump them. . . .FAST.
BigBucksNoWhammy
Tired Member
posted: Nov. 22, 2005 @ 1:42p
Does the letter specifically state that information was stolen? Or was it only possible that it was stolen? I believe Troy officials claim that they do not believe info was compromised, but that they cannont guarantee it 100%. This is probably going to be much to do about nothing.
lijing
Member
posted: Nov. 22, 2005 @ 2:09p
adityanm said: One more disgusting thing with Scottrade. Last week their much promoted ScottradeElite updated itself and now it has bugs and does not work and terminates with Runtime error. I asked them to let me use older version but was told that the older version in not available any more. What a pity that they would push a system without any testing.
I think the old version is always there. I kept using old version all these days and never want to even try out the Elite thingy.
chuzzlewit
Senior Member - 1K
posted: Nov. 22, 2005 @ 4:03p
mstlee said: I had signed up for eCheck Oct 30 - and I got a call from the local Scottrade rep telling me my application was on hold due to vendor issues. I guess I got lucky (?) but unfortunately, my husband has had the eCheck service for couple of years so we too got the letter.
I'm going to start looking for another trading site. It would be a pain to have to write a check each time.
I think this hacking happened well before last week. I signed up around Nov. 3, and every few days I would click the echeck link and get a message about echeck not being available for new signups due to problems of some sort. It seems highly unlikely they would have had a separate problem a few weeks prior.
GAH i have scottrade...maybe ill move that sucker somewhere else...what is everyone else doing?
chuzzlewit
Senior Member - 1K
posted: Nov. 22, 2005 @ 4:50p
dudeimstoked said: GAH i have scottrade...maybe ill move that sucker somewhere else...what is everyone else doing?
If someone just stole your name, address, DOB, SSN, bank acct info, etc., are you really more worried about closing your account to get back at Scottrade than putting a credit freeze or fraud alert on your credit files, checking your credit report, closing your bank account, etc.?
chuzzlewit said: dudeimstoked said: GAH i have scottrade...maybe ill move that sucker somewhere else...what is everyone else doing?
If someone just stole your name, address, DOB, SSN, bank acct info, etc., are you really more worried about closing your account to get back at Scottrade than putting a credit freeze or fraud alert on your credit files, checking your credit report, closing your bank account, etc.?
yea im in the process of closing everything right now...wondering what the next plan of action is...
SeriusBlack
Senior Member - 4K
posted: Nov. 22, 2005 @ 5:33p
It all begins with a simple letter to your Congressman/Congresswoman...
propcgamer said: wow thats horrible
best of luck to you!
the government really needs to do a hard crack down on these banks who are so careless with our extremely private and important information
manuel
Greedy Member
posted: Nov. 22, 2005 @ 5:45p
You're hoping for a solution from those who brought us the SSN?
Their hands are all over this mess - and nobody's more careless with your info than government.
chuzzlewit
Senior Member - 1K
posted: Nov. 22, 2005 @ 6:07p
One thing for sure, this will certainly make me think twice about setting up/using ACH links in the future.
Edit: I called Scottrade, at this time they have no other potential ACH providers. (not that I'll signup once they do)
scried
Senior Member
posted: Nov. 22, 2005 @ 6:21p
piggy1 said: So are you guys putting fraud alerts on your credit report?
And since they have access to driver license #, does that needs to be changed as well?
what a PITA!
Ohh well, I got the same letter today. I have done all these today to prevent further problems in the future:
1. Put a fraud alert in my account 2. Change all my personal password for my bank and scottrade account 3. I will problably check my credit report next month.
Although this is not a situation where Scottrade's network was breached, you may, nevertheless, want to consider changing your Scottrade account number for additional protection.
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