Welcome to our guide to claiming data breach compensation for data breaches in mobile banking apps. Mobile banking apps have become an integral part of our daily lives, allowing us to access and manage our finances on the go. However, the increasing use of these apps has also led to a rise in the number of data breaches. If you have been a victim of a data breach in a mobile banking app, you may be entitled to compensation. In this guide, we will explain what a data breach in a mobile banking app is, how it could happen, the harm it could cause, and how to claim compensation.
If you have been affected by a data breach in a mobile banking app, we encourage you to get in touch with us to start your claim. Our expert advisors and panel of data breach solicitors can help you navigate the claims process and fight for the data breach compensation you deserve.
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What Are Mobile Banking App Data Breaches?
A data breach is the unauthorised access, disclosure, or loss of personal data. In the UK, data protection is governed by the Data Protection Act 2018, which sets out the rules for how personal data should be collected, processed, and stored. Mobile banking apps handle sensitive data, such as bank account details, passwords, and other personal information. If this information is accessed or disclosed without your permission, it can be a serious breach of your privacy and security.
To be eligible for compensation, you must meet certain criteria. Firstly, you must be able to show that the data controller (the company that holds your personal data) has acted wrongfully, either through negligence or intentional misconduct. Secondly, you must have suffered harm as a result of the data breach. Finally, there is a time limit for making a claim, known as the limitation period, which is usually six years from the date of the breach.
How Could A Mobile Banking App Breach My Data?
There are several ways in which a mobile banking app could breach your data. The most common methods include:
- Hacking – Hackers can gain unauthorised access to a mobile banking app’s servers or databases, either through exploiting vulnerabilities or stealing login credentials.
- Human error – Employees of the mobile banking app company can accidentally leak sensitive data or make errors in the handling of personal information.
- Phishing – Fraudsters can use social engineering tactics to trick users into revealing their login credentials or other sensitive information.
- Third-party breaches – Mobile banking apps may share data with third-party service providers, who may themselves be subject to data breaches.
It’s important to note that not every data breach will result in compensation. To make a claim, you must be able to show that the data controller has acted wrongfully and that you have suffered harm as a result.
Has A Bank Ever Breached Personal Data?
In the UK, the Information Commissioner’s Office (ICO) has issued fines to several banks and financial institutions for data breaches, including Tesco Bank, Halifax, and the Royal Bank of Scotland. You can learn more about the actions taken below.
How To Work Out If Your Data Has Been Breached
If you are concerned that your data may have been breached in a mobile banking app, there are some signs to look out for.
Firstly, check whether you have received any unusual emails or text messages that appear to be from your bank, as these may be a sign that your data has been compromised. Secondly, monitor your bank accounts and credit reports for any unauthorised activity, such as transactions or applications for credit that you did not make.
If you notice any suspicious activity, contact your bank immediately to report the issue and ask them to investigate. They should be able to tell you whether there has been a breach and what steps they are taking to address the issue.
In some cases, the bank may offer you free credit monitoring or identity theft protection as a precautionary measure. However, if you have suffered any harm as a result of the breach, such as financial loss or psychological harm, you may be entitled to claim compensation. In this case, it’s important to speak to a data breach solicitor who can advise you on your rights and help you make a claim.
What Harm Could Come From Data Breaches In Mobile Apps?
A data breach in a mobile banking app can cause both material and non-material damage.
Material damage includes any financial losses or expenses incurred as a result of the breach. For example, if a hacker gained access to your bank account and made fraudulent transactions, you could be entitled to compensation for the amount lost.
Non-material damage includes any psychological distress, emotional suffering, or other intangible harm caused by the breach. For example, if you suffer from anxiety or stress as a result of your personal information being compromised, you could be entitled to claim.
How To Calculate Data Breach Compensation For Data Breaches In Mobile Banking Apps
Calculating damages for financial loss could take into account the costs or repairing your credit file or compensating you for the costs associated with theft. Calculating compensation for non-material damages can be more difficult than for material damages, as it involves placing a value on intangible harms. In the UK, compensation for non-material damages could be calculated based on the Judicial College Guidelines, which set out the range of damages that can be awarded for different types of harm. They have guideline payout amounts for different levels of psychological harm, which you can see below.
- Severe general psychological injuries- £54,830 to £115,730
- Moderately severe general psychological injuries- £19,070 to £54,830
- Moderate general psychological injuries- £5,860 to £19,070
- Less Severe general psychological injuries – £1,540 to £5,860
However, then guidelines are only meant to act as a rough guide. Your compensation would be dependent on the evidence you submit with the claim, as well as the severity of your psychological injury. An advisor could help you work out how much you could claim. They could talk to you about your case and the compensation you could be eligible to receive.
What Evidence Do I Need To Claim Data Breach Compensation For Data Breaches In Mobile Banking Apps?
To make a successful claim for data breach compensation, you will need to provide evidence to support your claim. This may include the following.
- Proof of the data breach, such as emails or letters from the mobile banking app company.
- Evidence of harm suffered, such as medical reports or witness statements.
- Evidence of financial losses, such as bank statements or receipts.
It’s important to keep any documentation related to the breach and to seek medical attention if you are experiencing any symptoms of psychological harm. That way, you can be sure you are doing all that you can to protect yourself and contribute to a successful outcome for your data breach compensation claim.
No Win No Fee Claims – Get Help From A Solicitor
If you have been affected by a data breach in a mobile banking app, you may be eligible to make a claim for compensation under a No Win No Fee agreement. This means that you won’t have to pay any upfront to get a solicitor to help you, and if your claim is unsuccessful, you won’t need to pay your solicitor for their work on your case.
No Win No Fee claims can be arranged under a Conditional Fee Agreement. This agreement would dictate the success fee your solicitor would gain if they get you a compensation settlement. The agreement is legislated for under the Conditional Fee Agreements Order 2013, which caps the success fee at 25%.
To begin a claim under a No Win No Fee agreement, you can contact one of our advisors, who can assess the strength of your case and advise you on the best course of action. If they believe you have a strong case, they will offer to represent you under a No Win No Fee agreement.
Therefore, if you would like to get in touch to see if you could claim, simply get in touch with our advisors. They will be happy to assist you.
Further Guidance On Data Breach Compensation For Data Breaches In Mobile Banking Apps
The Financial Conduct Authority (FCA) – Firstly, find guidance on cyber security and data protection for financial institutions, including those providing mobile banking apps:
National Cyber Security Centre (NCSC) – Guidance on protecting mobile devices and data, including those used for banking
Cyber Aware Campaign – Guidance on how to stay safe online, including using mobile banking apps securely.