Q9. 

What happens when there is a credit card breach?

In a recent PCI brochure, the National Restaurant Association outlines a typical breach scenario:

• The fraud department of the credit card company that suspects a breach will contact the restaurant owner to discuss the irregular credit card transactions.
• The store will be submitted to an internal credit card security audit, which cost from $8,000 to $15,000. The restaurant owner has to select a pre-approved forensic audit firm from a list provided.
• With little or no notice, the restaurant’s card processing company may begin withholding funds to pay for the projected fines and penalties.
• After the forensic audit is completed, the owner, auditor, and credit card company representative(s) will hold a conference call to review the findings and outline what steps the restaurant must take to remedy the credit card breach. Failure to comply with remediation steps results in additional fines and the loss of credit card processing privileges.
• The restaurant must pay all fines, penalties, and assessments that arose as a result of the breach.