Credit card consumers 'will avoid' hacked retailers

Credit card users are wary of buying from shops or online retailers who have suffered security breaches, new research has revealed.

According to a survey by security firm Secerno, 53 per cent of customers would turn their backs on stores and businesses whose security had been breached by hackers seeking to steal personal details.

Given this revelation there might be pressure on retailers not to announce such a security breach and while some US states have laws requiring disclosure, there is no equivalent rule in Europe.

But respondents to the survey stated that they would want to be informed as soon as the breach was revealed. Theft of personal data was a concern for 95 per cent and 82 per cent said they would want to be told about security problems immediately.

Earlier this year the American group TJX, owner of the UK bargain retailer TK Maxx, revealed that the details of 45 million cards had been stolen by hackers.

A spokesman for credit referencing agency Equifax said that a high percentage of incidents of identity theft see criminals attempting to get loans of credit.

These fraudulent applications could affect the victims credit scoring, claimed Neil Munro external affairs director at Equifax, so credit card users should check their credit file and register with a protective registration service such as CIFAS.