HSBC fined £3.2 million for data lost in the post

HSBC has found itself on the receiving end of a record fine of over £3 million, after it was found by the the Financial Services Authority (FSA) to have carelessly handled the data of thousands of customers.

Last year it was revealed that a CD ROM containing confidential details of 369,000 insurance policies was lost in the post. The data included names, ages, sex, dates of birth, smoker status and other details of more than 180,000 people.

The personal information was lost after HSBC staff used the Royal Mail to deliver it to an office of Swiss Re in Folkestone. HSBC admitted that the sensitive information had been sent by post because their usual electronic transfer system was unavailable.

Although the disc was password-protected, the data contained upon it was not encrypted, and a search at both the HSBC…

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Graham Cluley is a veteran of the anti-virus industry having worked for a number of security companies since the early 1990s when he wrote the first ever version of Dr Solomon's Anti-Virus Toolkit for Windows. Now an independent security analyst, he regularly makes media appearances and is an international public speaker on the topic of computer security, hackers, and online privacy. Follow him on Twitter at @gcluley, on Mastodon at @[email protected], or drop him an email.