Anyone who received a notice from TitleMax, TitleBucks or InstaLoan stating that their personal information was involved in a data breach
What’s Going On?
TMX Finance, who owns TitleMax, TitleBucks and InstaLoan, recently announced a data breach during which over 4.8 million customers’ personal and financial information was exposed. Attorneys working with ClassAction.org are now gathering data breach victims to take action against the lending company.
Is This a Lawsuit?
No, the attorneys are pursuing a legal strategy called mass arbitration, which involves hundreds or thousands of consumers filing individual arbitration claims against the same company over the same issue.
What Could I Get?
While it’s not guaranteed, data breach victims may be entitled to a claim worth $200 or more.
How Much Does This Cost?
It costs nothing to sign up, and you don’t need to pay if the attorneys don’t win your claim.
Attorneys working with ClassAction.org want to hear from current and former TitleMax, TitleBucks and InstaLoan customers whose personal information was exposed during a recent data breach.
Specifically, TMX Finance, who owns TitleMax, TitleBucks and InstaLoan, announced that over 4.8 million consumers’ information may have been accessed between February 3 and 14, 2023, and it’s believed that the company may have failed to implement adequate data security measures to protect consumers’ sensitive information.
The data exposed during the breach may have included customers’ full names, dates of birth; passport, driver’s license and federal/state ID card numbers; tax ID numbers; Social Security numbers; financial account information; phone numbers; and physical and email addresses.
TitleMax Data Breach Sparks Class Action Complaint
In a March 31 notice sent to data breach victims, TitleMax stated that it first detected “suspicious activity” on its systems on February 13, 2023. After investigating, the company found that hackers may have breached its system as early as December 2022 and exfiltrated customer data between February 3 and 14, 2023.
On March 31, shortly after TitleMax announced the data breach, a proposed class action complaint was filed that claims the incident was a result of the company’s failure to properly safeguard borrowers’ information. Per the complaint, the data was negligently stored in an unencrypted, internet-accessible environment on TitleMax’s network.
The lawsuit alleges that data breach victims now face a lifetime risk of identity theft and fraud that “is heightened” by the highly sensitive nature of the stolen information, including Social Security numbers.
What’s Mass Arbitration? Is This Another Lawsuit?
The attorneys working with ClassAction.org are pursuing a legal strategy called mass arbitration that takes place outside of court. Like a class action lawsuit, mass arbitration allows a group of consumers to take action against a company over an alleged wrongdoing.
TitleMax’s loan agreements contain a clause requiring borrowers to resolve any disputes with the company through arbitration, a form of alternative dispute resolution that takes place before a neutral arbitrator instead of a judge or jury. For this reason, the attorneys have decided to pursue mass arbitration, an explanation of which can be found on our blog:
…[M]ass arbitration occurs when hundreds or thousands of consumers file individual arbitration claims against the same company over the same issue at the same time. The aim of a mass arbitration proceeding is to grant relief on a large scale (similar to a class action lawsuit) for those who sign up.”
How Much Does This Cost?
It costs nothing to sign up for the mass arbitration, and you won’t need to pay the attorneys if they don’t win your claim. If they win money on your behalf, their payment will come as a percentage of that amount.
How Much Could I Get?
While nothing is guaranteed, data breach victims who sign up for the mass arbitration could be entitled to a claim worth $200 or more.