Business

Judge OKs $10 Million Settlement in Target Data Breach

Published

11 years ago

March 19, 2015

In this Dec. 19, 2013, file photo, shoppers arrive at a Target store in Los Angeles. Target has proposed to pay $10 million to settle a class-action lawsuit brought against it following a massive data breach in 2013. (AP Photo/Damian Dovarganes, File)

STEVE KARNOWSKI, Associated Press
MICHELLE CHAPMAN, Associated Press

A Minnesota judge has endorsed a settlement in which Target Corp. will pay $10 million to settle a class-action lawsuit over a massive data breach in 2013.

U.S. District Judge Paul Magnuson granted preliminary approval of the settlement after a hearing Thursday in St. Paul, Minnesota. The move will allow people to begin filing claims ahead of another hearing for final approval, which was scheduled for Nov. 10.

People affected by the breach can file for up to $10,000 with proof of their losses, including unauthorized charges, higher fees or interest rates, and lost time dealing with the problem.

“Target really needs to be commended for being willing to step up,” Magnuson said.

Target’s data breach in 2013 exposed details of as many as 40 million credit and debit card accounts and hurt its holiday sales that year. The company offered free credit monitoring for affected customers and overhauled its security systems.

The settlement would also require Minneapolis-based Target to appoint a chief information security officer, keep a written information security program and offer security training to its workers. It would be required to maintain a process to monitor for data security events and respond to such events deemed to present a threat.

“We are pleased to see the process moving forward and look forward to its resolution,” Target spokeswoman Molly Snyder said in an emailed statement.

Claims will mostly be submitted and processed online through a dedicated website.

Vincent Esades, an attorney for Target customers, said after the hearing that the settlement could end up costing Target $25 million, when attorneys’ fees and administrative costs are added in.

He said consumers will likely be able to start filing claims around April 30, and 100 million people may be eligible. Consumers can claim up to $10,000 if they can document unreimbursed losses; after those claims are paid out, the rest of the settlement funds will be divided among consumers who state under oath that they suffered a qualifying loss, but don’t have documentation. People who’ve already been fully reimbursed aren’t eligible, he said.

Esades said customers who opt out of the settlement have the right to object. Since the funds can’t be paid out until all appeals are resolved, he said, the earliest that customers would see any money would be early next year.

Target attorney David McDowell declined to comment after the hearing.

The chain has worked hard to lure back customers that were hesitant to shop there after the incident. Over the 2014 holiday season, Target offered free shipping on all items. It recently announced that it was cutting its minimum online purchase to qualify for free shipping in half to $25. And on Wednesday the retailer said it will now allow returns for up to a year for its private and exclusive brands.

Target’s bounce back from a turbulent stretch including the data breach and exit from Canada has been met with optimism on Wall Street. The retailer’s stock traded above $80 for the first time Monday, reaching another in a string of all-time highs that it began to log just before the crucial holiday shopping season began in December.

Earlier this month, Target said it would lay off about 1,700 people, eliminate another 1,400 unfilled positions and cut up to $2 billion in costs. It will also focus more on technology to boost online sales growth. The latter move will involve about $1 billion aimed at beefing up business from shoppers who are more likely to shop online.

Target shares fell 46 cents to close Thursday at $80.60. Its shares are up 35.5 percent over the past year.

___

Associated Press writer Karnowski contributed from St. Paul, Business Writer Chapman from New York.

Oakland Post

Posts by Oakland Post

Activism

Oakland Post: Week of March 18 – 24, 2026

The printed Weekly Edition of the Oakland Post: Week of March 18 – 24, 2026

Published

2 weeks ago

March 22, 2026

Oakland Post

To enlarge your view of this issue, use the slider, magnifying glass icon or full page icon in the lower right corner of the browser window.

Oakland Post

Posts by Oakland Post

Advice

Financial Wellness and Mental Health: Managing Money Stress in College 

While everyone’s financial situation is unique, several common sources of stress have the potential to strain your financial health. These include financial and economic uncertainty, existing debts, unexpected expenses, and mental or physical health changes. Financial stress may differ from situation to situation, but understanding the factors contributing to yours may help you begin to craft a plan for your unique circumstances.

Published

3 weeks ago

March 17, 2026

Oakland Post

Sponsored by JPMorganChase

As a college student, managing financial responsibilities can be stressful.

If you’ve found yourself staying up late thinking about your finances or just feeling anxious overall about your financial future, you’re not alone. In one survey, 78% of college students who reported financial stress had negative impacts on their mental health, and 59% considered dropping out. While finances can impact overall stress, taking steps to manage your finances can support your mental, emotional and physical well-being.

When it comes to money, the sources of stress may look different for each student, but identifying the underlying causes and setting goals accordingly may help you feel more confident about your financial future.

Consider these strategies to help improve your financial wellness and reduce stress.

Understand what causes financial stress

2. Determine your financial priorities

Start by reflecting on your financial priorities. For students this often includes paying for school or paying off student loans, studying abroad, saving for spring break, building an emergency fund, paying down credit card debt or buying a car. Name the milestones that are most important to you, and plan accordingly.

3. Create a plan and stick to it

While setting actionable goals starts you on the journey to better financial health, it’s essential to craft a plan to follow through. Identifying and committing to a savings plan may give you a greater sense of control over your finances, which may help reduce your stress. Creating and sticking to a budget allows you to better track where your money is going so you may spend less and save more.

4. Pay down debt

Many students have some form of debt and want to make progress toward reducing their debt obligations. One option is the debt avalanche method, which focuses on paying off your debt with the highest interest rate first, then moving on to the debt with the next-highest interest rate. Another is the debt snowball method, which builds momentum by paying off your smallest debt balance, and then working your way up to the largest amounts.

5. Build your financial resilience

Some financial stress may be inevitable, but building financial resilience may allow you to overcome obstacles more easily. The more you learn about managing your money, for instance, the more prepared you’ll feel if the unexpected happens. Growing your emergency savings also may increase resilience since you’ll be more financially prepared to cover unexpected expenses or pay your living expenses.

6. Seek help and support

Many colleges have resources to help students experiencing financial stress, like financial literacy courses or funds that provide some assistance for students in need. Talk to your admissions counselor or advisor about your concerns, and they can direct you to sources of support. Your school’s counseling center can also be a great resource for mental health assistance if you’re struggling with financial stress.

The bottom line

Financial stress can affect college students’ health and wellbeing, but it doesn’t have to derail your dreams. Setting smart financial goals and developing simple plans to achieve them may help ease your stress. Revisit and adjust your plan as needed to ensure it continues to work for you, and seek additional support on campus as needed to help keep you on track.

 JPMorgan Chase Bank, N.A. Member FDIC