Bank of America settles data theft suits.

• Position: DATA SECURITY

It is the biggest reported case of data theft by a financial insider: In 2008, the personal data of 17 million Bank of America customers who dealt with its Countrywide Financial mortgage unit were compromised.

To settle the case, Bank of America will provide free credit monitoring, identity theft insurance, and reimbursement for losses up to $50200 to as many as 17 million consumers. Bank of America, which acquired Countrywide in 2008, denied all allegations of wrongdoing, saying it had settled only to "avoid the additional expense and uncertainty of further litigation."

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The agreement ends more than 30 lawsuits, including nationwide class actions, filed after the August 2008 arrest of Rene L. Rebollo Jr., who worked for Countrywide's subprime division, according to the Los Angeles Times. Federal authorities said he downloaded...