Sources close to the LSCU report that Sens. Elizabeth Warren (D-MA) and Mark Warner (D-VA) will introduce legislation later today that creates significant new penalties for data breaches that occur at credit reporting agencies.
The Data Breach Prevention and Compensation Act would impose $100 fines for each consumer who has personal information breached at a credit reporting agency, with additional $50 fines for succeeding bits of information breached. There would be a cap of 50 percent of the gross revenue at the credit reporting agency.
The bill also creates an Office of Cybersecurity at the Federal Trade Commission, responsible for cybersecurity examinations at credit reporting agencies to ensure compliance with new safeguards that will be prescribed by FTC.
The LSCU will keep you updated as more is learned.