EBay discloses data breach, asks users to change passwords

EBay (NASDAQ:EBAY) is urging its 112 million users to change their passwords following a cyberattack impacting its online database. The breach compromised data containing a list of encrypted passwords that could potentially be decrypted through publicly available tools.

EBay said Wednesday it has not found evidence of unauthorized activity or access to financial information. EBay is adamant that the compromised database does not contain payment information and that credit card information is encrypted and stored separately from this database. Information that was compromised includes customers' names, email addresses, physical addresses, phone numbers and dates of birth.

"We know our customers trust us with their information, and we take seriously our commitment to maintaining a safe, secure and trusted global marketplace," according to a statement from eBay.

EBay's payment-processing unit, PayPal, has seen "no evidence of unauthorized access or compromises to personal or financial information." PayPal users' financial information is stored on a separate network, eBay noted.

The attack itself happened between late February and early March when hackers broke into eBay's network using employee login credentials, which allowed the attackers to gain access to eBay's corporate network.

Users will be notified via email, site communications and other marketing channels beginning later today to change their password. In addition to asking users to change their passwords, the company said it also is encouraging any users who utilize the same password on other sites to change those passwords, too.

This attack comes on the heels of several retail data breaches, including the one that hit Target (NYSE: TGT) late last year. Since then, Sally Beauty, Neiman Marcus and Michaels have also experienced cyberattacks.

For more:
-See this eBay statement

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