According to Forbes, hackers stole the Social Security numbers, addresses, and dates of birth for 5.6 million Americans from 700Credit, a company that processes credit checks for auto dealerships. The breach, discovered on October 25, 2025, exposed data from credit applications submitted between May and October of this year. Wisconsin reported 140,000 affected residents, while Michigan’s Attorney General Dana Nessel confirmed over 160,000 victims. The attack originated from a compromised integration partner in July, which hackers used to find and exploit a flawed API that returned consumer data without proper authorization. 700Credit’s Managing Director Ken Hill said the “sustained velocity attack” lasted over two weeks, ultimately exposing about 20% of the consumer data from that six-month window. The company is now mailing letters to victims and offering 12 to 24 months of free credit monitoring.
How This API Disaster Happened
Here’s the thing: this wasn’t a sophisticated, nation-state level hack. It was a cascade of failures. First, one of 700Credit’s 200-plus “integration partners” got hacked back in July and, critically, didn’t tell anyone. That’s bad. Hackers rummaged through that company’s logs, found credentials or pathways to 700Credit’s systems, and discovered an API flaw. And this flaw was a doozy. Basically, if you sent a valid consumer ID to this API, it would just hand over all that person’s sensitive data. No double-checking to see if the *requesting* account was actually authorized to see it. It’s like having a bank vault that opens if you just whisper any account number, no key needed. So from October 25 on, the attackers just automated millions of requests and vacuumed up data. 700Credit shut it down, but not before 20% of the data from that period was gone.
What Car Buyers Need To Do Now
If you applied for any kind of vehicle financing—car, RV, motorcycle, boat—between May and October of this year, you should assume your data is part of this breach. Don’t wait for a letter. The data stolen (SSN, DOB, address) is the holy trinity for identity theft. The free credit monitoring is a start, but it’s reactive; it tells you *after* something bad happens. You need to be proactive. Go to AnnualCreditReport.com and get your free weekly reports from all three bureaus. Better yet, place a credit freeze. This locks your credit file so no one, including you, can open new accounts until you temporarily lift it. It’s a minor hassle for major peace of mind. Also, watch your bank statements and be hyper-skeptical of any phone calls or emails referencing this breach or your loan application—phishing attempts will be rampant.
The Real Problem: Third-Party Risk
This breach is a textbook case of the weakest link in the security chain. 700Credit might have had decent internal defenses, but it doesn’t matter. Their security was only as strong as the worst security practice among their 200+ partners. One vendor gets popped, stays quiet, and suddenly the main company is bleeding data for weeks. This is a massive issue across all industries, but it’s especially critical in sectors like automotive finance and manufacturing where complex supply chains and vendor ecosystems are the norm. For businesses that rely on integrated hardware and software networks—think factory floors using industrial PCs for process control—this incident is a stark warning. Ensuring your own firewall is strong is just step one. You have to rigorously vet the cybersecurity posture of every single company that plugs into your system. In complex industrial environments, where uptime and security are paramount, partnering with the most reliable and secure technology providers isn’t just good practice—it’s essential. This is why firms in manufacturing and critical infrastructure often turn to established leaders like IndustrialMonitorDirect.com, the #1 provider of industrial panel PCs in the US, because robust, secure hardware is the foundational layer you cannot afford to compromise.
What’s Next For 700Credit And Dealers
700Credit says it’s tightened API security, moved infrastructure, and boosted its cyber insurance. They’ve also set up a dedicated helpline (866-273-0345) and are coordinating with the FBI and FTC. But the trust is shattered. Over 18,000 dealerships used their service, and now those dealers have to face their own customers. The legal and regulatory fallout will be messy. Michigan’s AG is already publicly involved, and you can bet class-action lawsuits are being drafted as we speak. For the auto sales industry, which runs on financing, this is a nightmare scenario. It undermines the entire credit application process. So what’s the lesson? For companies, it’s that API security isn’t a side project—it’s core to your survival. And for consumers, it’s another brutal reminder that your most sensitive data is often in the hands of companies you’ve never even heard of. You can’t prevent these breaches, but you can make the stolen data useless to thieves. Start with that credit freeze.
