Heartland Offering Data Breach Warranty

Provides protection in cases of data theft

Heartland Payment Systems breach (CSP Daily News / Convenience Stores / Gas Stations)

PRINCETON, N.J. -- One of the industry's largest payment processors recently announced a warranty protecting businesses from payment-card breach losses in the case of data theft.

Heartland Payment Systems, Princeton, N.J. announced the warranty, which comes at no charge to customers using its Heartland Secure service for the first year, with an $8.33 per month per card-entry device fee after that. The warranty protects businesses from payment card breach losses in the event of a breach.

"Protecting customers is our No. 1 priority, and the breach warranty that we've developed will cover a merchant's breach-related costs in the case of a breach of card numbers," said Robert Carr, chairman and CEO of Heartland. "Knowing that cyber criminals are becoming more sophisticated and small businesses are their new targets, our Heartland breach warranty provides peace of mind."

Other elements of the product:

  • The Heartland Secure offer is a credit-and-debit-card, data-secure payment solution that combines Europay MasterCard Visa (EMV) standards, the Heartland E3 end-to-end encryption technology and tokenization.
  • Although EMV compliance is not a government or card-brand mandate, it is up to the merchant to implement EMV-compliant terminals, the company says.
  • If the encryption fails on a Heartland Secure machine, Heartland will reimburse the merchant for the amount of compliance fines, fees or assessments the merchant must pay to the card brands, issuing banks and acquiring bank or banks.

"Many small-business owners aren't aware of the magnitude of data security breaches or the potential liabilities lurking around the corner," Michael English, executive director of product development for Heartland. "Damage to a company's reputation can be catastrophic, and the fines can be overwhelming."

Princeton, N.J.-based Heartland Payment delivers credit, debit and prepaid processing, point-of-sale (POS), mobile commerce, e-commerce, marketing solutions, security technology, payroll solutions and related business solutions.