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MoviePass confirms that it may have deferred customer credit card numbers

In a statement, MoviePass said that a security breach was recently discovered and that the system was immediately secured. Reports of the data breach first appeared Tuesday.
The breach is believed to affect tens of thousands of customers, according to TechCrunch, which first reported the news. But MoviePass did not confirm the number, saying it is still investigating the scope and will notify affected customers in the end.

The breach was discovered by Mossab Hussein, a security researcher at SpiderSilk, a cybersecurity firm in Dubai, the report states. Hussein confirmed to the CNN Business database he found contained millions of listings, some of which had sensitive data such as MoviePass customer card numbers.

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MoviePass customers are issued cards that act as debit cards. Customers pay a monthly subscription fee to watch a maximum of one movie per day. MoviePass charges the entire cost of a movie on the card, and the cash amount can then be used to pay for movies at the cinemas.

In 2017, MoviePass changed its business model to offer a $ 9.95 monthly plan that entitled customers to watch a movie a day. It rose in popularity, but it was forced to stop short of running out of money. It has since resumed service, but has continued to face challenges.

Hussein told CNN Business that when the data was discovered, he emailed MoviePass CEO Mitch Lowe to report it. When he didn't hear back after a few days, Hussein reached out to TechCrunch.

"We believe the average customer should have the right to know about such events ASAP, and as transparent as possible," Hussein said.

MoviePass said it will continue to disclose information about the incident.

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