People are at risk of sensitive information becoming available due to the increasing number of data breaches in the modern digital era. In 2023, Paycom, an important supplier of payroll and HR software, experienced a serious data breach that exposed customer information maintained on its servers.
The breach was linked to dangers in MOVEit Transfer, a secure file-sharing tool. Paycom was charged with failing to put strong safety protocols in place in a class action lawsuit. The business gave permission to a $900,000 settlement to end the case.
$4200 Direct Payment from Paycom
Customers whose personal information was stored with Paycom were impacted by a data breach that occurred between July and October of 2023. Due to illegal access to MOVEit Transfer, the breach revealed private information, leading to legal action against the business.
The complainants claimed that Paycom did not have sufficient safety precautions to stop these kinds of incidents, which could have led to identity theft and financial damage for those impacted. While the company has not admitted misconduct, it settled the lawsuit for $900,000 to resolve the claims. Now, if they fit certain requirements, those affected by the breach can claim compensation.
Paycom Data Breach Settlement Compensation
| Company | Paycom |
| Name of Program | Paycom Data Breach Settlement |
| Country | USA |
| Amount | Up to $4,200 |
| Payment Date | After claims process completes (a few months) |
| Mode of Payment | Direct payment (Check or direct deposit) |
| Benefits | Compensation & 3 years of free credit monitoring |
| Category | Government Aid |
| Official Website | www.paycomdatasettlement.com |
Why Data Protection Matters After a Breach
Data breaches indicate the importance of personal vigilance and solid cybersecurity. People who are impacted by these kinds of incidents need to be active by maintaining track on their bank accounts, changing their passwords, and using identity theft protection services.
To reduce post-breach risks, a number of businesses, including Paycom, include credit-monitoring services in settlement agreements. However, long-term alertness is essential, as stolen data may be misused years after the breach. This incident shows how crucial it is to protect sensitive data through both individual and corporate responsibility.
Eligibility Requirements for the Settlement
There are two primary requirements to be eligible for the Paycom settlement. First, claimants must reside in the United States, and had to be directly affected, which means that during the breach, their personal information that was preserved with Paycom was used.
Affected clients were quickly notified by Paycom of the breach, either directly or via a postcard notice that included a PIN and Claim Login ID. You can check your eligibility status by calling the settlement administrator at (844) 804-3284 or sending an email to info@paycomdatasettlement.com.
Settlement Compensation and Benefits
The settlement provides compensation based on the impacted parties’ financial losses. Up to $2,500 can be claimed by those who have confirmed out-of-pocket costs related with the breach.
The claim total increases to $4,200 for those who experienced identity theft as a result of the breach. Furthermore, free credit monitoring services for three years will be provided to all qualified claimants in order to help protect against future risks.
How to File a $4200 Direct Payment Claim
- Those who qualify should use the login information on their postcard notice to access the settlement website.
- Paycom already has records of those impacted, so no further documents is needed.
- On the other hand, 7th November 2024 is the cutoff date for submitting a claim, complaining, or choosing out of the settlement.
- You will lose your right to payment and any further claims related to this breach if you miss this deadline.
FAQs
How much money can I get from the Paycom settlement?
You can get up to $2,500 for out-of-pocket expenses, or up to $4200 direct payment if you experienced identity theft.
What should I do after the Paycom data breach?
Monitor your accounts, change passwords, and consider using identity protection services.
How was Paycom’s data breach caused?
The breach was due to unauthorized access to MOVEit Transfer, a secure file-sharing tool, between July and October 2023.
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Why are we just now hearing about this? How were we supposed to know when to find out if are qualified?
Hi this is Tonya Voss. I’ve been identity theft by Audrey Turner Rison