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TD Ameritrade's ID Theft Affected 6 Million Customers

October 10, 2011
A judge has approved a proposal for TD Ameritrade to compensate 6mn customers whose personal contact information was stolen.  People who suffered identity theft because of the breach can collect between $50 and $2,500 in the settlement. Anyone who held an Ameritrade account or provided an email address to the Omaha, Neb., company before September 2007 could have been affected by the data theft. People who submitted claims before the July deadline should receive payment by mid-December, if no one appeals. According to Associated Press, the deal will cost TD Ameritrade $2.5mn and $6.5mn.  Presumably insurance covers the rest. In a 2009 proposed settlement, the firm offered anti-spam software and a promise of tighter security at Ameritrade,  That was rejected because it didn't do enough for affected customers.   [Associated Press, 10/7/11]