As is pointed out by several newspaper and web articles over last few weeks, each recapping long lists of financial information data breaches, something's gotta give before we entirely lose trust in financial institutions, data brokers and credit bureaus. How much privacy loss can we take without acting?

These types of data loss were very likely common and have very probably been going on for a very long time. The difference is that now, THEY ARE REQUIRED BY LAW TO DISCLOSE THOSE LOSSES - not just in California, but in many states. National disclosure laws on data security breaches are being considered in Congress.

I suggest that these breaches of data security all came to light due to California law requiring disclosure from companies suffering hacking loss or leaks or social engineering or crooked employees or organized crime rings posing as "legitimate" customers. All of above have been given as reasons for security lapses or poor security policies.

About three years ago, a friend told me his paycheck deposit to Bank of America went missing from account records after he took his check to bank on Friday. By Monday, Bank of America was in news claiming a computer glitch had disappeared entire day's deposits. I mumbled to myself, "I'll bet that was a hack and that hacker just made a huge offshore banking deposit with B of A depositors' money."

But we didn't find out why it happened in that particular case because there was no disclosure law in place at time. Now we have disclosure laws that mandate notice of security breaches. Now suddenly - huge financial services hacks and devious criminal social engineering outfits posing as legitimate customers and apparently "innocent" losses by transport companies of backup tapes begin to come to light.

This spate of data loss incidents is proof of need for corporate "sunshine laws" that make public notice mandatory of those data losses that threaten customer information.

Who is going to lose here - public, corporations, criminals, or government? I'd prefer that bad guys get shaft and take down crooked company insiders that either facilitate data loss by underfunding security and encryption or participate in data theft or loss in any form - even if that participation is security negligence.

Financial companies and data brokers have been covering up losses and keeping quiet about hacks so as not to worry or frighten their customers. But that practice is essentially ended now that they must notify public and disclose those losses instead of hushing them up.

Original URL (The Web version of article)

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href="http://www.defendingthenet.com/Newsletters/Throwing AwayYourComputer-Money-And-Identity.htm" rel="nofollow" target=_blank> Computer Disposal - Throwing Away Your Computer, Money, and Identity?

Title ----- Computer Disposal - Throwing Away Your Computer, Money, and Identity?

Computer Disposal and Security ------------------------------------------------------ Computer Disposal - Security is not only important while using your new PC, but when disposing of your legacy or old computer equipment as well. Information can be retrieved in several different ways once your system leaves your house or office. In my state we have a recycling container at solid waste authority which you can bring your old PC’s to. On May 31st, 2005, I decided to do an experiment and see what people actually throw away. So, I took my trusty laptop, an external USB hard drive shell, and waited for my first victim. (All identities have been changed to protect newest casualties of TCAD)

Leaving Your Credit Cards At The Dump -------------------------- John Doe (age – 46)

I explained my reason for being there and asked if he would like to participate. After obliging, I asked him a few question. I got a laugh out of this one.

Jackson – “What would you say your technical skills are?”

John – “I don’t know -bleep-, this is my son’s computer, and he said it was broke”

So I proceeded to take his hard drive out to see what I could find. (And boy did I find stuff) I found 64 word and excel documents containing everything from a book report titled Trusting Human Nature to a detailed spreadsheet titled Our Debt. John said "a year ago, we refinanced our house, and my son helped us put this spreadsheet together of our credit cards and miscellaneous debts". Believe it or not it, actually had names of credit cards, account numbers, and amount owed on each one. After I showed John, he asked me to check if his son was surfing on sites he was asked not to go on. I told him system looked clean and his son was following his rules to a T. (You owe me Junior)

Out of 5 PC’s I saw that day, all of them had recoverable files. John Doe’s being worst with Our Debt spreadsheet.