Nubank Reissues 3,000 Cards Possibly Exposed by Online Stores

RIO DE JANEIRO, BRAZIL – Nubank will reissue the physical and virtual cards of 3,000 clients: this is a preventive measure, as the fintech detected that these users have entered payment data in “risky websites”. The goal is to prevent fraud in the period before Black Friday, Cyber Monday and Christmas shopping.

Clients will be contacted by email in the coming days. If the physical card is reissued, a new one will be sent to the address registered with Nubank. If it is a virtual card, the procedure is simpler: a new one can be generated through the App.

In a statement, Nubank reported that it reviewed a number of transactions in “establishments with a historical track record of anomalies,” and detected that some of its clients may have entered their card information into these online stores.

“We will reissue the purple card for 3,000 clients who may have used risky websites,” says the company. This is a small fraction of its customer base: it had 12 million users in August, including products such as the annuity-free credit card and NuConta.

The fintech does not disclose these sites but says it has forwarded the details of these outlets to Mastercard, which is in charge of handling discussions with these retailers.

Nubank provides real-time security monitoring

To prevent fraud, Nubank uses real-time monitoring systems, statistical models, and transaction management systems. There are also security features within the app, such as password blocking, digital or facial recognition; temporary card blocking; and disposable virtual cards.

From time to time, digital banks and large financial institutions reissue cards to clients when a data security risk is detected. However, it is uncommon for these companies to report this to the general public. “We decided to act transparently and preventively to protect our clients’ data,” says Vitor Olivier, vice president of consumer affairs at Nubank, in a statement.

LatAm Markets: Live Signals → — real-time movers, turnover leaders and FX across Latin America.