How to Report PCI Compliance Violation and Stay Compliant

If you've discovered a PCI compliance violation, the first step is to report it to your acquiring bank. This is typically done through a PCI-DSS compliance report, which can be submitted online or by mail.

The report should include details about the violation, such as the type of card data affected and the date of the breach. You'll also need to provide a plan for remediation, which outlines the steps you'll take to fix the issue and prevent future breaches.

Your acquiring bank will then review your report and may request additional information or evidence to support your claims. They may also require you to complete a PCI-DSS self-assessment questionnaire to assess your compliance level.

Remember to keep detailed records of the entire process, including dates, times, and communication with your acquiring bank. This will help you stay organized and ensure that you're following the proper procedures for reporting a PCI compliance violation.

Consequences of Non-Compliance can be severe. Fines for non-compliance can range from $5,000 to $100,000 per month until the merchant achieves compliance.

Monetary fines are not the only consequence of non-compliance. Banks may also pass these fines along as increased transaction fees or terminate business relationships with the merchant. For example, fines can vary from $50 to $90 per cardholder whose data was compromised.

Merchants who experience a data breach in which cardholder data is compromised can expect additional fines from their payment processors and banks. These fines can add up quickly, and in some cases, can be fatal to a small organization's financial health.

The total cost of a data breach can be staggering, as seen in the case of Target, which paid over $200 million in damages, including an $18.5 million legal settlement with 47 state attorneys general.

Here are some examples of fines that merchants may face:

Leaving credit card information in public view, such as on an employee's desk or computer screen, is a common violation of the PCI DSS.

Storing paper forms with full credit card information in unlocked cabinets is another example of non-compliance.

Usernames and passwords to electronic accounts holding payment data that are not sufficiently protected are also a concern.

The business's electronic point-of-sale system being connected to other systems or devices without adequate PCI protection is a scenario covered by the PCI DSS.

Some examples of non-compliance include:

Penalties for Violations can be severe and have a significant impact on your business. Fines for PCI compliance violations can range from $5,000 to $100,000 per month until you achieve compliance.

Monetary fines are not the only consequence of non-compliance. Additional penalties, such as increased transaction fees or termination of business relationships, can also occur.

Fines vary depending on the circumstances of the infringement and the size of the organization. In some cases, fines can be as high as $500,000 to $500,000.

Credit monitoring fees, lawsuits, and actions by state and federal governments can result from non-compliance. For example, Target's massive breach of credit card data cost over $200 million, including an $18.5 million legal settlement with 47 state attorneys general.

Payment card brands will also try to compensate for operational expenses incurred in connection with the incident. These costs can be significant, with a total assessment of $3 to $5 per affected card.

The organization's merchant bank will collect these assessments, penalties, and penalties by directly retaining a portion of the payment due to the organization until it is fully repaid from its routine payment accounts.

Here are some examples of penalties for PCI compliance violations:

Payment processors often conduct bank forensic investigations to determine their penalties for PCI non-compliance. Some penalties will be standard, and others will depend on your compliance history and grade or non-compliance at the time of the breach.

Non-compliance penalties for payment processors and banks can be significant, ranging from $10,000 to $100,000 per month, depending on the length of non-compliance and the volume of business.

Maintaining compliance is crucial to avoid devastating consequences for your business. Failure to maintain compliance could lead to severe outcomes.

You can perform your own PCI Compliance Self-Assessment Questionnaire (SAQ) or contract with a certified PCI Quality Security Assessor (QSA) to validate your compliance.

Quarterly vulnerability scans and installing critical security patches are also essential to stay on top of PCI DSS requirements.

Compliance is a must for any business that handles sensitive data, like credit card information. To be PCI compliant means you're following the rules set by the Payment Card Industry Security Standard Council.

Any merchant that plans to transmit, store, or process credit card data needs to be PCI compliant. This is a requirement, not an option.

Compliance is all about protecting sensitive data from being stolen or compromised.

Maintaining compliance with PCI DSS standards is crucial for any business that handles credit card data. Failure to maintain compliance can have devastating consequences for your business.

You can perform your own PCI Compliance Self-Assessment Questionnaire (SAQ) to determine your level of compliance. The SAQ is a series of yes or no questions to determine your level of compliance with the PCI DSS.

It's essential to stay on top of passing quarterly vulnerability scans and installing critical security patches. Non-compliance with requirements like vulnerability scanning directly contributed to breaches in many cases.

You can contract with a certified PCI Quality Security Assessor (QSA) to help with compliance validation. QSAs are certified and trained to perform PCI security assessments.

Organizations must submit their quarterly reports to their required organizations after completing the SAQ. This helps maintain transparency and accountability in compliance efforts.

Different QSAs will be more familiar with one business or another, so it's essential to find one that understands your business needs.

Reviewing your Seller Services Agreement is a crucial step in maintaining compliance. This agreement outlines the terms and conditions of accepting credit card payments, including the responsibility of complying with PCI-DSS standards.

The Merchant Services Agreement (MSA) is a binding contract between your organization and a merchant acquiring bank or payment processor. It spells out the terms of everything from POS system leases to credit card swipe fees.

You'll find that the MSA determines your vendor's responsibility for complying with PCI security standards. If a data breach occurs and you're found to be non-PCI compliant, the contract damages may be significant.

Penalties for non-compliance can range from $5,000 to $100,000 per month. These fines are typically passed on to you by your financial institution.

To mitigate this risk, review your vendor services contract carefully. Ensure you understand your obligations and discuss your comfort level with the risk with your counselors.

If you have cyber liability insurance, verify that it includes PCI Fines and Penalties coverage. This coverage is not standard across all policies, so it's essential to check your policy details.

A table to help you review your contract:

Larger organizations may face regulatory audits from the Federal Trade Commission (FTC) following non-compliance.

These audits are generally reserved for severe and repeated violations, giving smaller organizations a bit of a break.

The FTC takes compliance very seriously, so it's essential to stay on top of your game to avoid any potential issues.

In most cases, regulatory audits are a last resort, only triggered after multiple warnings and non-compliance.

Maintaining compliance with the Payment Card Industry Data Security Standard (PCI DSS) requires attention to detail and a clear understanding of what constitutes non-compliance.

A common issue with the PCI DSS is when a retailer's point-of-sale (POS) device has been rerouted or reprogrammed to connect with an external device or system. This can compromise the security of credit card information.

Another common issue is when account login credentials, including usernames and passwords, are jeopardized by a direct action of the retailer or its employees. This can be due to poor password management or employees sharing login credentials.

Paper documents containing credit card information are also a common issue. These documents should be stored in a secure location, such as a locked cabinet or safe.

Here are some specific examples of non-compliance:

If you suspect a business is not adhering to the PCI DSS, try to resolve the issue with them first. Share the PCI DSS website with them, and hope they'll take action.

You can report the violation directly to the credit card processor the business uses, or go to Visa or MasterCard. Visa's contact information is available at https://usa.visa.com/contact-us.html.

If you believe your payment card data could have been compromised, contact your issuing bank right away to alert them and request a new card.

Non-compliant businesses may face fines from the entity they use to process their credit card transactions, and larger fines and fees if they experience a data breach.

Here are the steps to report a non-PCI-compliant merchant:

Businesses found to be out of compliance with the PCI DSS may face fines ranging from $500,000 to $500,000, depending on the circumstances of the infringement and the size of the organization.

Payment card brands may also try to compensate for operational expenses incurred in connection with the incident, such as card reissue costs and fraudulent recoveries.