What Is Financial Information Security? Learn the Keys to Protecting Financial Data

Ransomware attacks

Ransomware continues to hit the financial industry hard, posing serious threats to data security and financial stability. In 2023, ransomware attacks affected a huge number of financial institutions worldwide, with estimates suggesting that over 60% of these institutions experienced at least one attack. Cybercriminals exploit vulnerabilities to lock up critical financial data and demand hefty ransom payments for decryption. These attacks mess with operations, leaving financial institutions without access to vital systems and customer info. The costs don't just stop at the ransom—they also include hefty recovery bills and damage to reputation. 

Phishing attacks

Phishing has caused plenty of havoc on financial institutions by tricking employees into revealing sensitive information or clicking malicious links. This can lead to unauthorized access to customer data, financial accounts, and internal systems. Phishing attacks are becoming even more sophisticated, targeting specific roles within financial organizations with very convincing messages that look extremely authentic.

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A cyber breach can wreak havoc on a financial institution, affecting everyone from customers to business partners and the institution itself. Keep in mind: It's not just about the stolen data (like social security and bank details) that can be sold for a tidy profit on the dark web. For customers, it's a nightmare of potential identity theft and financial loss, even if the bank covers their losses. Business partners might lose trust or face disruptions in services.

For the bank, the costs are huge. Beyond the financial hit of reimbursing customers and dealing with legal fallout, there's the damage to their reputation. It takes years to rebuild trust with clients who feel betrayed or exposed. Cyber breaches force banks to tighten their security, which means spending more on protection and insurance against future attacks.

It's a tough lesson in the digital age: one breach can ripple out into years of recovery and rebuilding, both financially and in terms of trust.

Banks and financial service organizations should employ these methods to help bolster information security and prevent unwanted visitors in their internal systems.

Educate Staff on How to Detect and Avoid Threats

Employee awareness can often serve as the first line of defense against cybercriminals. Educated staff members are less likely to be victimized and more equipped to identify and promptly report infiltration attempts like phishing. Huntress' expert-led Security Awareness Training greatly enhances your team's ability to identify and avoid a wide range of online threats.

Defend Your Networks and Systems with a Robust Cybersecurity Solution

Managed endpoint detection and response secures financial institutions by continuously monitoring and swiftly responding to suspicious activities across all devices in the organization, minimizing the impact of cyber threats and safeguarding sensitive data. Without managed endpoint detection and response, financial institutions are more vulnerable to prolonged undetected cyberattacks which can lead to significant data breaches, financial losses, operational disruptions—and that’s just the start. 

The financial sector will always remain a favorite target for cybercriminals—don’t leave your institution (or their endpoints) at risk. Huntress Managed EDR provides a human-led team of security experts that monitors your endpoints 24/7, detecting and containing suspicious activities and notifying you only when necessary.