Read the full article here: http://www.hackedonxbox.com/how-and-why-your-xbox-live-accounts-are-hacked/ I found it to be a good read, it sounds believable to me and could explain how Major Nelsons account got "jacked" back in 2010 - Xbox Live Director's Account Hacked! (Are You Next?)
This is disgusting and sickening, it seems like they're teenagers who're doing this type of thing, I can't believe they're doing it... They shouldn't be stealing from people who're innocent but the big companies.
There needs to be more security on payment methods, either you should have to enter the paypal password or your card security code. It's too easy to buy anything on the dashboard.
It's highly likely its true and shows some real issues with the process used at Microsoft. Hopefully now its in the open and being discussed, MS will do something to stop it.
I really hope so, this is very crucial for everyone with an Xbox LIVE account regardless of whatever reason, the account that the user created for himself/herself shouldn't be hacked for someone else.
Got hacked beginning of this year, lost 1900 MSP and vowed never to buy anything from MS again. They told me to ring them up to sort out the problem and gave me a minimum time of 1 month for it to be sorted (that's minimum....) so I didn't bother. Least to say I changed all my passwords right afterward.