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Upbound Group (NASDAQ: UPBD) cyber incident drives $13M Acima fraud loss

(High)
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

Upbound Group, Inc. reports having experienced cybersecurity incidents in which certain non-sensitive customer information and other documents were obtained without authorization. The company believes some of this information was used to facilitate fraudulent lease-to-own agreements, contributing to approximately $13 million in elevated fraudulent contract losses in its Acima segment during the second quarter of 2026.

In response, Upbound Group has implemented mitigation and remediation measures with external cybersecurity experts, including enhanced authentication controls, additional fraud detection and monitoring capabilities, and other security enhancements, and has notified federal law enforcement. The investigation is ongoing. Based on current quantitative and qualitative information, the company believes the incidents are not material but will reassess materiality under Item 1.05 if relevant facts or circumstances substantively change.

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Item 1.05 Material Cybersecurity Incidents Business
A cybersecurity incident that the company has determined to be material to investors.
Item 8.01 Other Events Other
Voluntary disclosure of events the company deems important to shareholders but not covered by other items.
Fraudulent contract losses $13 million Approximate elevated fraudulent contract losses in the Acima segment during the second quarter of 2026
Incident impact period second quarter of 2026 Period during which elevated fraudulent contract losses occurred in the Acima segment
Report signature date July 21, 2026 Date the report was signed by the Executive Vice President, Chief Financial Officer
Fiscal year-end reference December 31, 2025 Year-end referenced for the company’s most recent Annual Report on Form 10-K cited in risk factors
Quarter-end reference March 31, 2026 Quarter end referenced for the company’s Form 10-Q cited among risk factors
lease-to-own agreements financial
"used to facilitate fraudulent lease-to-own agreements, contributing to elevated fraudulent"
fraudulent contract losses financial
"contributing to elevated fraudulent contract losses of approximately $13 million in the"
enhanced authentication controls technical
"include enhanced authentication controls, additional fraud detection and monitoring"
forward-looking statements regulatory
"contains “forward-looking statements” within the meaning of the Private Securities"
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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FAQ

What cybersecurity incident did Upbound Group (UPBD) disclose in this 8-K?

Upbound Group disclosed cybersecurity incidents where certain non-sensitive customer information and other documents were accessed without authorization and, in some cases, used to facilitate fraudulent lease-to-own agreements within its Acima segment.

How much did the cybersecurity incident impact Upbound Group (UPBD) financially?

The company believes the incidents contributed to approximately $13 million in elevated fraudulent contract losses in its Acima segment during the second quarter of 2026, tied to fraudulent lease-to-own agreements.

What type of customer information was involved in Upbound Group (UPBD)'s incident?

Upbound Group states that the incidents involved certain non-sensitive customer information and other documents. It does not describe the data as sensitive but links it to fraudulent lease-to-own agreements.

What remediation steps is Upbound Group (UPBD) taking after the cybersecurity incidents?

Upbound Group, working with external cybersecurity experts, implemented enhanced authentication controls, additional fraud detection and monitoring capabilities, and other security enhancements, and also notified federal law enforcement about the incidents.

Does Upbound Group (UPBD) consider the cybersecurity incidents material?

Based on its current understanding of the quantitative and qualitative facts, Upbound Group believes the incidents are not material but will reassess materiality under Item 1.05 if relevant circumstances substantively change.

Has Upbound Group (UPBD) notified authorities or regulators about the incidents?

Upbound Group reports that it has notified federal law enforcement about the cybersecurity incidents and will make any required legal or regulatory notifications based on the outcome of its ongoing investigation.
false000093303600009330362026-07-212026-07-21

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 21, 2026

 

 

Upbound Group, Inc

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware

001-38047

45-0491516

(State or Other Jurisdiction
of Incorporation)

(Commission File Number)

(IRS Employer
Identification No.)

 

 

 

 

 

5501 Headquarters Drive

 

Plano, Texas

 

75024

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: 972 801-1100

 

 

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:


Title of each class

 

Trading
Symbol(s)

 


Name of each exchange on which registered

Common stock, $.01 par value

 

UPBD

 

The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

 


Item 8.01 Other Events.

Upbound Group, Inc. (the “Company”) recently experienced cybersecurity incidents in which certain non-sensitive customer information and other documents were obtained without authorization. In connection with certain such incidents, the Company believes the information was subsequently used to facilitate fraudulent lease-to-own agreements, contributing to elevated fraudulent contract losses of approximately $13 million in the Company’s Acima segment during the second quarter of 2026.

 

Upon identifying the data compromise, the Company promptly began implementing mitigation and remediation measures. These measures, implemented in coordination with external cybersecurity experts, include enhanced authentication controls, additional fraud detection and monitoring capabilities, and other security enhancements. The Company also notified federal law enforcement of the incidents.

 

The Company’s investigation of these incidents remains ongoing, and it will make any legal or regulatory notifications as appropriate based on its investigation findings. Based on the Company’s current knowledge of the quantitative and qualitative facts and circumstances related to the incidents, the Company believes that the incidents are not material. Should any of the relevant facts and circumstances substantively change, the Company will reassess materiality considerations in accordance with Item 1.05 of Form 8-K.

 

Caution Concerning Forward-Looking Statements

This Current Report on Form 8-K contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties, including statements regarding our understanding of the event and its potential impacts. Factors that could cause or contribute to material and adverse differences between actual and anticipated results include, but are not limited to, (1) the discovery of new information regarding the events described above, (2) the general strength of the economy and other economic conditions affecting consumer preferences, spending and payment behaviors, including the availability of credit to the Company’s target consumers and to other consumers, impacts from continued inflation, central bank monetary policy initiatives to address inflation concerns and a possible recession or slowdown in economic growth, (3) risks described in our full first quarter 2026 earnings release and related materials, and (4) the other risks detailed from time to time in the reports filed by us with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2025, and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, as well as subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. Accordingly, you should not rely on these forward-looking statements. All forward-looking statements are based on information currently available to us. The Company undertakes no obligation to update these statements for revisions or changes after the date of this Current Report on Form 8-K, except as required by law.

 

 


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

 

UPBOUND GROUP, INC.

 

 

 

 

Date:

July 21, 2026

By:

/s/ Hal Khouri

 

 

 

Hal Khouri
Executive Vice President, Chief Financial Officer

 


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