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More Heartland Details Leak Out (And Some May Be Trying To Leak Back In)

Written by Evan Schuman
February 4th, 2009
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Details surrounding the Heartland data breach continue to dribble out, with one respected payment systems newsletter reporting that the forensic investigators Heartland brought in were Cybertrust and Neohapsis.

Heartland had tried keeping those names confidential, an effort that was succeeding prior to the Wednesday, Feb. 4 issue of The Nilson Report. That newsletter also quoted from a MasterCard alert, which provided new details about what was taken and when.

“According to a MasterCard alert, this sniffer program stole card numbers and expiration dates from credit and debit cards processed by Heartland from May 14, 2008, through Aug. 19, 2008, as the information entered Heartland’s payment switch,” the Nilson story said. “Only an estimated 5 percent of the stolen card numbers also included names. The malware was likely deactivated when Heartland conducted regular system upgrades as part of its PCI Data Security Standards (PCI DSS) compliance program, although it’s possible that the hackers shut it down to try and avoid being traced.”

In other Heartland news, it seems that officials there may be preparing to backtrack on some of the details they previously disclosed. Since Friday (Jan. 30), Heartland has been promising a written statement to clarify—and apparently back off from—some of the details they revealed in interviews. As of Wednesday (Feb. 4) night, no such statement had materialized, nor were Heartland officials willing to discuss what would be in the statement.


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Kill All The Passwords

This article does mention, but does not give enough attention to, the fact that the attacks discussed are only feasible when the encrypted password file can be copied and subjected to an offline attack. The trick is to have authentication performed on a separate, much more strongly secured host - such as an Active Directory Domain Controller, or a Kerberos server, or a NIS+ server, or even using something as banal as an LDAP-over-SSL authentication dialog. In these environments, the odds of the "password file" being stolen and subjected to an offline attack go to near zero, and only online attacks may be carried out by the attacker. With sensible exponential backoff between failed password attempts, lockout after a modest number of failed attempts on a single account, and pattern detection, that minimum 7 character password is quite secure enough. Passwords aren't dead yet for security purposes, and they will be with us for a very long while to come for practical purposes. The trick is to employ them correctly. Read more...
The possibilities you describe are years away from being implemented at best, so for the moment passwords are an ugly reality. Luckily, password managers can easily manage hundreds of passwords of any length. The only thing a user needs to remember is the master password. It seems like an easier task to educate users on how to use password managers rather than implement complex security technology on a global basis. Read more...