Finance Company Data Breach Claims Explained

This guide explains when you could be eligible to seek compensation following a finance company data breach and the evidence you could gather to prove your case.

finance company data breach

Finance Company Data Breach Claims Explained

It will also look at the data protection legislation in place to protect your personal data and the parties who must adhere to it. Additionally, we note what is meant by personal data and how it could be compromised in a finance company breach. 

A successful claim will lead to a data breach compensation payout. We explain how this is calculated and what it could comprise.

Finally, we discuss how one of our No Win No Fee solicitors could assist you in seeking compensation. 

Continue reading to learn more about data breach claims. Alternatively, get in touch with an advisor if you have any questions. To do so, you can:

Select A Section

  1. When Could You Claim For A Finance Company Data Breach?
  2. What Personal Data Could Be Impacted In A Finance Company Breach?
  3. What Evidence Do I Need To Claim For A Data Breach?
  4. Average Payouts For Finance Company Data Breach Claims
  5. Can A Specialist No Win No Fee Solicitor Help Me?
  6. Further Data Breach Claim Resources

When Could You Claim For A Finance Company Data Breach?

There are two parties who may be responsible for the storing, handling, and processing of your personal data. Firstly, data controllers determine how and why your personal data is processed. They may also process the data themselves or outsource this task to a party referred to as the data processor who acts on their instruction. Data controllers are often an organisation, such as a finance company.

Both parties have an obligation to protect your personal data under the Data Protection Act 2018 (DPA) and the UK General Data Protection Regulation (UK GDPR). If they fail to do so, it could lead to a personal data breach. The Information Commissioner’s Office (ICO), an independent body responsible for protecting data rights and freedoms in the UK, defines a personal data breach as a security incident affecting your personal data’s availability, integrity, and confidentiality. 

In order to begin a claim for a personal data breach, you must be able to prove the following:

  • A data controller or processor did not adhere to the obligations placed on them by data protection legislation.
  • This resulted in a breach that affected your personal data.
  • Because of this, you suffered emotional harm, financial damage, or both.

Limitation Periods For Finance Company Data Breach Claims

In addition to meeting the requirements listed above, it is important to be aware of the time limit for starting a personal data breach claim. Normally, the limitation period is six years. However, if you are claiming against a public body, this is reduced to one year.

Please get in touch if you have questions about your eligibility to seek data breach compensation and how long you have to do so. 

What Personal Data Could Be Impacted In A Finance Company Breach?

Personal data is information that can be used to identify you. A finance company may store and process several types of personal data, such as your:

They might also process special category data which is more sensitive in nature and requires extra protection. This could include biometric data used for the purpose of identifying individuals, such as a fingerprint used to log into a bank account.

If any of this personal data is compromised in a breach, it could potentially lead you to experience financial loss and/or emotional harm. For example, human error could lead to a letter containing your bank account details to the wrong postal address. As a result, money could be stolen from your account. Alternatively, a cyber attack could occur if adequate cyber security systems are not put in place. As such, sensitive data could be stolen in a ransomware attack causing you to experience stress and anxiety.

Call the number above to discuss your specific case and find out if you could start a claim for a finance company data breach.

What Evidence Do I Need To Claim For A Data Breach?

Evidence can help to support your finance company data breach claim. For example:

  • You can request medical records from your healthcare provider if you have been treated for a mental health disorder due to a data breach.
  • You could provide bank or credit card statements as proof of any financial losses incurred due to the data breach.
  • The organisation must inform you without undue delay within 72 hours of becoming aware of a breach that could put your rights and freedoms at risk. Correspondence with the organisation, such as a letter of notification informing you that a breach occurred and what personal data was affected, could help support your claim.
  • You could make a complaint to the ICO and they might choose to investigate. Findings from an ICO investigation can also be used as evidence to support your case.

If you have an eligible case, you could choose to instruct one of our personal data breach solicitors to guide you through the process of collecting evidence and building a strong case. Give an advisor a call to find out more about how they could help.

Average Payouts For Finance Company Data Breach Claims

If your finance company data breach claim succeeds, it could result in a compensation payout that features compensation for non-material damage and material damage.

Non-material damage refers to the mental harm you experienced as a result of the personal data breach, such as anxiety, distress, or stress. When valuing this aspect of your claim, solicitors can refer to the Judicial College Guidelines (JCG) which contains guideline compensation brackets for different kinds of psychological injuries.

Compensation Table

The table below contains figures from the JCG. Please use these as a guide only.

Psychological Injury Severe £54,830 to £115,730 A very poor prognosis with marked problems affecting several areas of the person’s life.
Moderately Severe £19,070 to £54,830 The prognosis is more optimistic in spite of significant issues affecting multiple areas of life.
Moderate £5,860 to £19,070 A good prognosis and there has been a marked improvement of the issues mentioned in the above brackets.
Less Severe £1,540 to £5,860 The level of award factors in the impact on daily activities and sleep.
Post-Traumatic Stress Disorder Severe £59,860 to £100,670 Permanent effects prevent the affected person from functioning at pre-trauma levels.
Moderately Severe £23,150 to £59,860 There is a better prognosis than for severe cases. However, significant disability still has an impact in the foreseeable future.
Moderate £8,180 to £23,150 The affected person largely recovers and ongoing effects are not grossly disabling.
Less Severe £3,950 to £8,180 Only minor symptoms persist. Within one to two years there is a near complete recovery.

Claiming Compensation For Material Damage

Material damage refers to the financial loss you experienced due to the personal data breach. For example:

  • Loss of earnings incurred due to taking time off work because of the stress caused by the breach of your personal data.
  • Money stolen from your account.
  • An impact on your credit score.

Please get in touch if you have any questions about how compensation for a data breach can be calculated. An advisor could also offer a free valuation on your potential claim.

Can A Specialist No Win No Fee Solicitor Help Me?

If you meet the eligibility criteria for a personal data breach claim, one of our experienced solicitors could assist you in seeking compensation. They could offer their helpful services, such as gathering evidence and submitting important correspondence on your behalf, under a Conditional Fee Agreement (CFA.)

This type of No Win No Fee agreement ensures that you do not pay a fee for your solicitor’s work:

  • Upfront.
  • As the claim continues.
  • If the case loses.

The solicitor takes a percentage of the compensation awarded to you as their success fee if the claim has a successful outcome. However, there is a cap on the proportion that can go to the solicitor, set in place by The Conditional Fee Agreements Order 2013.

Speak To An Expert About Financial Data Breaches

If you need any other information about finance company data breach claims, please contact an advisor. They can answer your questions and clarify anything you’re unsure about. Additionally, they could assess your case for free and connect you with one of our solicitors if you have valid grounds to proceed. 

For more information, you can:

Further Data Breach Claim Resources

Here are more of our guides:

Some further resources:

Thank you for reading our guide looking at what to do after a finance company data breach. Please call if you want to know more about whether you can seek personal data breach compensation.