Brief: Shore Bancshares Detects Fraudulent Credit Card Account Openings During Q1 Of 2024

Shore Bancshares

30/04/2024 21:49

April 30 (Reuters) - Shore Bancshares Inc  SHBI.O :
    * SHORE BANCSHARES- ON APRIL 2, SHORE UNITED BANK, N.A
DETECTED IT
HAD BEEN SUBJECTED TO FRAUDULENT CREDIT CARD ACCOUNT OPENINGS
DURING Q1 OF 2024
    * SHORE BANCSHARES- BAD ACTORS USED STOLEN PERSONAL
INFORMATION TO
OPEN BANK-ISSUED CREDIT CARDS THROUGH BANK'S ONLINE CREDIT CARD
ACTIVATION SYSTEM
    * SHORE BANCSHARES- PERSONAL INFORMATION USED HAD BEEN
STOLEN FROM
INDIVIDUALS WHO ARE NOT CUSTOMERS OF BANK
    * SHORE BANCSHARES INC - NO EXISTING BANK CUSTOMERS WERE
IMPACTED
BY THIS FRAUDULENT ACTIVITY AND BANK'S CORE PROCESSING SYSTEM
WAS NOT COMPROMISED
    * SHORE BANCSHARES INC - BANK WILL NOT OPEN NEW CREDIT CARD
ACCOUNTS UNTIL ITS INVESTIGATION IS COMPLETE
    * SHORE BANCSHARES INC -  AS A RESULT OF FRAUDULENT ACTIVITY
COMPANY WILL RECOGNIZE A $4.3 MILLION FRAUD-RELATED EXPENSE IN
Q1
    * SHORE BANCSHARES INC - DOES NOT ANTICIPATE ADDITIONAL
LOSSES
RELATED TO THIS EVENT
    * SHORE BANCSHARES INC - MAJORITY OF FRAUD LOSS,
APPROXIMATELY
$3.6 MILLION, OR 84%, OCCURRED BETWEEN MARCH 25, 2024 AND APRIL
2, 2024

Source text for Eikon:  ID:n0001628280-24-019344 
Further company coverage:  SHBI.O 

 ((Reuters.Briefs@thomsonreuters.com;))