Cybersecurity Threats in the Banking Sector
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Cyber-attacks have been a major threat to financial institutions for the past half-a decade. The skills and tactics of cyber criminals have improved with technology. They have also become more organized, forming groups such as Lazurus that make it difficult for financial institutions to win the war against cybercrime. Cybercrime has caused significant damage to the banking sector, ranging from litigations to the cost of preventing another cyberattack and a dent in the institution’s reputation.

Targeting financial service providers like the banking sector is more common than any other sector.

Cybersecurity Banks that use mobile and web services to deliver their services have weak security systems. This is why cybercriminals are more inclined to attack online and mobile banking systems. A cyber attacker can also steal customer and employee information and use it to hack into the bank’s security system using dark web.

Let’s take a look at the cybersecurity threats facing the banking industry:

Identity Theft

Identity theft is a major problem in the banking industry. Each year, it is estimated that over $ 10,000,000 is lost annually. Javelin Strategy and Research found that over 15 million Americans have been victims to this type of fraud.

Identity theft refers to the misuse of credit information and persons without their consent to borrow money or make a purchase. Data breaches can lead to data being sold or purchased on the dark web by cybercriminals for use in other financial sector or account violations.

Threat from employees

A large part of the risk is due to human error and disgruntled workers.

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Many employees access their bank services or check their emails from their devices. This opens up to malware, phishing attacks and fake gifts. Bank employees who are not happy with their treatment can also steal sensitive bank information and sell it to cybercriminals.

Supply Chain Attack

Backdoor malware attacks such as DNS lookup or connect following can be used to access security holes in most networks. This allows the attacker remote access without the user even being aware. Once he has gained access to the network, the hacker can bypass detection systems.

Shadow pad was the site of one of the most serious supply chain attacks. Someone was able find a backdoor within it genuine software, thus exposing client information for exploitation.

Ransomware

This attack continues to be a major causality in the financial sector.

Ransomware is a malicious software program that locks the victim in captivity until ransom money is paid. This attack is carried out by employees who open suspicious emails that contain a link. The malicious software activates in the system.

ATM malware, Jackpotting

In Europe and the USA, jackpotting has become a common problem. The weakness in the ATM’s software and physical condition allows criminals to steal cash from the ATM. They can do this by wearing company uniforms and cracking the key that unlocks the ATM. The money is not traceable as belonging to any account, so it’s impossible to detect the theft early. They may also leave skimmers, which is a device that scans people’s information to sell their account information.

Synthetic Frau

This includes creating a fake identity. After creating multiple identities, the attacker can use them to obtain credit from banks to buy goods and services. Because they are not known to exist, this social security number can’t be found in the system. According to wall street journal research, there is an estimated outstanding credit of over $300 million that the debtors do not have.

Also Read:  How To Protect From Ransomware?
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Evangeline Christina is a Cyber Security Enthusiast, Security Blogger, Technical Editor, Certified Ethical Hacker, Author at Cyberspecial.net. Previously, he worked as a security news reporter in a reputed news agency.

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