Hospitality Industry Cybercrime: Hotels And Restaurants Combine For Over 50% Of All Credit Card Data Theft Because Of Their Dependence On Credit Cards And Focus On Servicing Guests

“…According to a recent study, 38% of all credit card breaches occur in hotels…financial services industry accounts for 19% of breaches… Retailers 14%, and restaurants at 13%…”

Hotels are easy targets because they are all credit card-based. It is possible to reserve a room without providing a credit card number, but they don’t make it easy. And hotels themselves certainly aren’t fortresses designed to keep bad guys out. They’re designed to be open and inviting, with, at best, a bellman whose focus is assisting guests rather than guarding the front door. Maybe that mentality exists in hotels’ IT security departments, too.

The root of the issue is the hotel industry’s insufficient security measures to prevent data breaches. Many rely on older point of sale terminals and outdated operating systems, which are more vulnerable to hackers. When the recession hit, many hotels cut back and decided to hold off on upgrades.

While their defenses were down, hackers slithered into their networks to steal guests’ personal financial data. Once thieves have accessed this data, they can clone cards with the stolen numbers and use them to make unauthorized charges.

For more:   http://www.finextra.com/community/fullblog.aspx?id=4286

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