The landscape of cyber security keeps on changing constantly as the new threats appear and get sophisticated all the while. In the finance and banking sector, there are high stakes involved. There is not only a big amount at stake, but in cases of any compromise of a financial system or a bank, there is a huge disruption in the economy of a country. This is a significant threat to the fortunes of a nation. Let’s take a closer look at the top cyber security breach threats that will continue to haunt financial institutions and banks in 2022.
- Ransomware: The threat of ransomware has always been a major problem for all businesses across the world. It has been around for many years now and there are no signs of bringing it under control any time soon. This is a common method used by criminals perpetrating cybercrimes. In this method, files get encrypted and the users are locked out. These criminals then demand money for re-accessing the systems. The banks and businesses affected by ransomware attacks find that their systems are crippled for long periods. This happens especially when there are no backups. Payment of ransom amount does not guarantee that the systems will get restored.
- Continued risks due to remote work: With the coronavirus pandemic entering its 3rd year there is an increasing dependence on remote work. The cloud-based software systems and hybrid workforces have almost become ubiquitous. It also means that these financial institutions such as banks have become more vulnerable to cyber security attacks than ever before. There aren’t employees working in offices that are constantly accessing the system data and networks. So, these networks and systems need additional vigilance. If your business operates in Hong Kong, you can consider opening a business account in Hong Kong for added protection.
- Rise of cloud-based cyber-attacks: With an increasing number of data and software systems getting stored in the cloud, cybercriminals are on the lookout to seize the opportunity and take advantage of the situation. There is a rise in the number of cloud-based attacks on the banks. All the banks have to make sure that the cloud infrastructure is securely configured for protection from these harmful breach attempts.
- Social engineering: One of the largest threats associated with the finance and banking industry comes in the form of social engineering. Many times, people are the most vulnerable links in a security chain. These people may get tricked into providing sensitive data and credentials. This problem can impact both the customers and employees of a bank. There are several forms related to social engineering. They can be via whaling or phishing attacks or they might come from sending bogus invoices that appear as if they are from a trusted origin. You must keep your employees informed about the tactics used in social engineering. And also the way these tactics keep on evolving.
- Supply chain attacks: Another increasingly utilized method for malware distribution by cybercriminals is targeting software vendors. Then they deliver malicious code to the bank customers and others working in the supply chain. It can be in the form of a product or an update that appears to be legitimate on the surface. These malicious attempts compromise the entire distribution system. They enable the cybercriminals to make an entry into the customer network of the supplier. The stock exchange of New Zealand was required to shut down its operations in the year 2020 after an extended DDoS attack on one of the network providers.
There are some steps the financial institutions and banks can undertake to make sure that all the systems are protected against the challenges brought forward by cybersecurity. You need to overcome the gap in talent with other businesses and security providers. You need to implement constant security awareness programs and assess the existing ones to make sure that they are up-to-date and relevant to the current landscape. You can buy response and detection tools that will help in preventing an attack. Customer awareness programs go a long way in ensuring that they are not disclosing any sensitive data to criminals.