Cyber security attacks can be detrimental to any business operations. Industries that manage financial data and sensitive personal information are at even greater risk of bringing harm to customers and destroying their credibility.
Recent attacks have been focused on targeting banking and financial institutions and leveraging personal information to make unauthorized charges on people’s accounts – or worse. As this happens, smaller banking companies like credit unions are under intense pressure to defend and protect their customers and data with just their limited budgets.
Putting off protections is not the right choice. Here is a closer look at crippling cyber security risks faced by credit unions and financial services and how to best protect against them.
Small Bank Hacks
Compromised personal information and theft of finances from a bank’s customer accounts is just one way a hack can occur. Other methods such as breaches from third party merchants or phishing and scams where fake credit cards are created using someone’s information have all happened.
Hackers and cyber criminals are getting more and more sophisticated so it’s hard to pinpoint exactly how an attack or breach may happen but there are things like clicking on spam links, phishing emails, visiting questionable websites and poor password protections that can certainly leave a business at risk.
Proactive protection is a must. Waiting until a breach occurs or until you feel the threat large enough to invest in a security plan, is already too late.
Managed service providers are available to provide secure solutions and monitoring in an “as-a-service” format to make security affordable even for smaller banks.
Reputation Damage & Non-Compliance Fines
With each breach and bad headline about security breaches, customer trust diminishes. Reputation damage is a huge part of trying to remedy a security hack. It takes time and lots of money to try and win back customer trust so they will see you as a viable option for banking again. This is not something you should put yourself at risk for.
In addition to winning over customers again, you’ll likely be faced with hefty non-compliance and regulatory fines in addition to hiring lawyers to combat all of the bad press and re. These costs far exceed the upfront investment in security to protect your bank and customers from security breaches.
ASG Information Technologies has been providing IT support to Connecticut credit unions and financial services for over 21 years. We take your responsibilities very seriously. With the alarming rates at which breaches continue to happen, any credit union or small bank in Connecticut that doesn’t have professional IT support services is already running the risk of losing much more than just money.