20-year Redstone Federal Credit Union member loses funds to BIN attack fraud, with no automatic account freeze or direct communication from institution in Huntsville, Alabama

Summary

A BIN attack compromised accounts at Redstone Federal Credit Union, resulting in fraudulent charges appearing on members’ accounts, including multiple unauthorized purchases from walmart.com. Brock Shelton, a 20-year member, discovered the fraud when his checking account was drained and savings were being accessed, with 12 charges appearing on his account. Shelton was not contacted by Redstone’s fraud department and learned about the issue through Facebook and news reports. Redstone issued a statement but declined to provide details on how many members were affected, how the breach occurred, or what protections were in place. Shelton has had to rely on cash until his funds were restored and expressed concern that the credit union failed to freeze his account automatically. This incident occurred in Huntsville, Alabama, and followed a previous network issue at the credit union four months earlier.