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Hackers breach Paytime Inc. security

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A Cumberland County payroll company that Business Journal records say issued 85,000 W2s in 2012 is working to address the ramifications of a security breach.

Paytime Inc., which is based in Upper Allen Township, said in a written statement today that it discovered a compromise of user names and passwords related to its client service center on April 30 and began notifying clients May 12.

According to posts on the company’s social media sites, Paytime moved into 5053 Ritter Road, Suite 100, on April 28, consolidating what had been two separate locations. Paytime notified its clients that, because of the move, the clients would not be able to use part of its system from Thursday, April 24 at 5 p.m. through 8 a.m. Monday, April 28.

"We take any compromise very seriously, and we are truly sorry for any concern this issue may cause any of our clients or their employees," the statement said. 

According to the company, it began investigating immediately, retaining third-party IT forensic experts and working with law enforcement. So far, it has been determined that the intruders -- "skilled hackers working from foreign IP addresses" -- first gained access to Paytime’s systems April 7.

"These intruders identified and exploited a vulnerability in Paytime’s Client Service Center, which allowed them to access employee information. Paytime has since run multiple tests to confirm security, and have also implemented new monitoring and intrusion detection systems," Paytime said.

The company said it will be working with clients to notify their employees and to provide them with the resources they need to respond to this incident. The resources include providing employees access to one free year of credit monitoring, call center support and identity restoration services in the event any employee discovers fraudulent activity.

"This matter, including the provision of accurate answers to clients’ questions, remains our highest priority," Paytime said in the statement. "We thank our clients for their patience and understanding as we work with them to respond to the needs of their affected employees."

Paytime was founded in October 1992, according to its website, by President Nathan Patterson and a colleague.

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