Best Western (Europe) becomes the victim of the largest data theft in the world (UPDATED)

The European operation of the Best Western hotel chain has become the victim of a massive cyber-theft attack. By placing a “keylogger” on a corporate computer connected to their reservations system, a whopping 8 million customer records were stolen. Included in the records are names, address, phone number, credit card numbers and employment information.

The records were stored for every single customer who stayed at one of 1300 European Best Western hotels since 2007. The Sunday Herald reports that the theft was carried out by an Indian hacker, who then put the information up for sale on an underground web site, operated by the Russian Mafia. The entire story sound like it was copied right out of a spy novel.

The whole thing is extremely embarrassing for Best Western, who have handed control of their European computer operations over to their American colleagues. According to a UK based Best Western spokesperson, the company is “taking appropriate action”. Of course, none of this will be of any use to people who have lost their information, and credit card companies might have no other option than to issue millions of new cards to victims of this theft.

If you stayed at a Best Western hotel in Europe in the past year, you may want to contact your credit card provider, and keep a close eye out for trasnactions you did not approve.

Source: Sunday Herald (via Slashdot), Image from Flickr.

UPDATE: Best Western have conducted an internal investigation and “found no evidence of 8 million stolen records” (PDF file). I’m sure time will tell whether this was all all elaborate hoax by an amateur hacker.



Virgin Atlantic’s “big” announcement

As Grant mentioned last week, Virgin Atlantic has been up to something. When they started sending all kinds of cryptic emails to their frequent fliers last week, our minds started to run wild. What could it be? In flight jacuzzis for upper class fliers?! New solid gold airplanes?! Personal in-seat LASERS?!

Last night, Gadling headed over to the Frank Gehry-designed IAC Building in Manhattan to find out. After all the suspense, it turns it was for the launch of a new Virgin credit card. Meh. If you’re looking to throw down enough money to wrack up one million miles you can redeem them for a trip on Virgin’s new space flights, Virgin Galactic. Think you can spend enough? Yeah, me neither.

While the announcement wasn’t as momentous as we had hoped, Virgin did manage to throw down a pretty swanky launch party, complete with free massages courtesy of Virgin’s spa partner Cowshed. You wouldn’t have to twist my arm to fly Virgin, the service is awesome. But only if somebody else was paying for my ticket – they are downright expensive. Hey Virgin, how about a ticket giveaway so we can let Gadling readers try for themselves?

Hidden Credit Card Charges When Charging Abroad

Do you use a credit card when traveling abroad? I do.

While having a stash of cash is always necessary, it’s also convenient to be able to reserve rooms and pay for the occasional item using your Mastercard or Visa. Be careful though; some (if not most) credit card companies will charge you a premium for using their card in a foreign country. Mastercard and Visa, for instance, charges a 1% “currency conversion” fee for each foreign purchase. And often times the issuer will tack on additional charges — usually 2% — for the convenience of using their card while traveling. This brings the total charge up to 3% for each purchase. It can add up.

Bankrate.com has a handy chart that shows what sort of additional charges you can expect from major banks. Most end up hitting you with 3% on top of your total purchase price. There are a few banks, however, that go as far as waving all fees, making a foreign purchase the same as a local one. If you’re traveling long term, it might be a good idea to go with one of those banks.

I’m lucky. My bank (USAA) doesn’t charge any additional fees, so I only get hit with the1% conversion fee from Mastercard. [via]