Target, stung by a massive credit-card security breach, is taking the unusual step of offering a 10% discount Saturday and Sunday in its U.S. stores at the height of the holiday rush, its CEO announced.
In addition, the company says it is going to offer free credit monitoring to customers who could be at risk from the breach.
In another development, the nation's largest bank, JPMorgan Chase, said Saturday that it was putting limits on about 2 million debit cards used at Target during the period in which the fraud was perpetrated. Those customers were told in an email and on the website they could only use their cards for no more than $100 in cash withdrawals and $300 in total purchases per day.
The actions come after the Minneapolis-based mass-market retailing giant disclosed Thursday that about 40 million credit and debit card accounts were stolen starting with the Thanksgiving weekend. Patrons who swiped credit cards at Target stores from Nov. 27 to Dec. 15 could be at risk.
MORE:Target offers 10% storewide discounts this weekend after apologizing for data loss
The company has said that it doesn't believe that personal identification numbers, or PINs, were exposed.
The breach appears to have been the second largest in U.S. history, topped only by a 2005 case involving retailer TJX, which had 45.7 million card users victimized, according to the Associated Press.
MORE: Customers express anger and frustration over Target credit breach
Target was besieged by concerned customers after the breach was disclosed. It says its phone lines have been tied up as a result. On Friday, the 1,800-store chain reacted by announcing its special program and trying to reassure consumers that data can no longer be stolen.
"The issue has been identified and eliminated," wrote CEO Gregg Steinhafel in a note on Target's website. "We recognize this has been confusing and disruptive during an already busy holi! day season. Our guests' trust is our top priority at Target and we are committed to making this right."
MORE:Secret Service probes Target credit card breach
He apologizes and says that the 10% storewide discount, available only this weekend, is the same that employees receive. It will be available for in-store purchases, not those made online.
MORE: Debit card PINs not part of Target data breach
He says that just because customers may have shopped at Target during the period in which data thieves were at work doesn't necessarily mean they are victims. Not only are there "typically low levels of actual fraud" in these situations, but "we want to reassure guests that they will not be held financially responsible for any credit and debit card fraud."
He indicates details about free credit monitoring will be worked out later. "We will be in touch with those impacted by this issue soon on how and where to access the service," he says.
Target says in the fine print on its website that the 10% discount excludes a whole bunch of cards, whether they are gift, telephone airtime, entertainment, iTunes or prepaid cards. It also doesn't apply to purchase of liquor, Apple or Bose products, all video games and Playstation 4 or Xbox One consoles. Then there are services that do not fall under the special discount like Target Mobile, prescriptions, optical or Target Clinic. The offer cannot be combined with other storewide or department coupons.
Since Target didn't have time to promote the special discount in its advertising, many customers may be surprised to find out they are getting it. Spokeswoman Molly Snyder says the word was getting out through store greeters who were informing customers as the flocked in Saturday.
Craig Warga/Bloomberg via Getty Images WASHINGTON -- Americans bought fewer existing homes in September than the previous month, held back by higher mortgage rates and rising prices. The National Association of Realtors said Monday that sales of resold homes fell 1.9 percent last month to a seasonally adjusted annual rate of 5.29 million. That's down from a pace of 5.39 million in August, which was revised lower. The sales pace in August equaled July's pace. Both were the highest in four years and are consistent with a healthy market. Mortgage rates rose sharply over the summer from their historic lows, threatening to slow a housing recovery that began last year and has helped drive modest economic growth. But many economists expect home sales will remain healthy, especially now that rates have stabilized and remain near historically low levels. Final sales in September reflected contracts signed in July and August, when rates were about a percentage point higher than in May. The average rate on a 30-year fixed mortgage was 4.28 percent last week, down from a two-year high of 4.58 percent in August. That's also far below the 30-year average of 7 percent, according to Bankrate.com. Sales of existing homes have risen at a healthy 10.7 percent in the past 12 months. Still, that's the slowest year-over-year increase in five months. And the median home price has risen 11.7 percent in the past year, the Realtors said. That's also the slowest annual gain in the past five months. Price increases may be slowing because more homes are finally coming on the market. The supply of available homes rose 1.8 percent from a year ago to 2.21 million, the first year-over-year increase in 2 ½ years. The limited number of homes for sale is a key reason prices have risen so fast in the last year. The economy is growing modestly and employers are adding jobs at a slow but steady pace. That's helped a growing number of Americans buy homes. Still, many first-time buyers have been unable to enter the market. They made up just 28 percent of purchases in September, down from 32 percent a year ago. In healthier housing markets, they typically make up at least 40 percent of buyers. First-time buyers are having trouble qualifying for loans because many banks have adopted tougher lending restrictions and higher down payment requirements since the housing bubble burst. In their place, investors and Americans willing to pay cash are playing an outsize role in sales. Cash purchases made up 33 percent of September's sales, up from 28 percent a year ago. Borrowing rates began to rise in May after Federal Reserve Chairman Ben Bernanke suggested that the Fed could start to slow its monthly bond purchases by the end of the year. The purchases are intended to keep interest rates low and stimulate the economy. But the Fed decided against slowing its purchases at its September meeting, citing weak economic data and looming budget battles in Washington. The budget fights led to a partial government shutdown Oct. 1. The nation's borrowing limit was increased but only at the last minute. Economists have cut their forecasts for growth in the October-December quarter by about a half-percentage point because of the shutdown and debt limit fight. As a result, many economists think the Fed won't slow its bond purchases until January or even later. That's likely to keep mortgage rates low well into the new year.