Cyber Security in Financial Institutions
In this era of the digital landscape, individuals or businesses can easily take personal loans available in offline and online methods, offering a wide range of options with different plans to people with different financial backgrounds. This easy process comes with a growing concern over cyber security.
Cyber Threat Landscape
The news about a hacker targeting the central bank of Bangladesh and taking advantage of weaknesses in SWIFT, the global financial system’s main process is an online payment messaging system, and with that, they are trying to steal $1 billion. Most of the transactions were blocked, and millions still disappeared, The incident was a wake-up call for the finance world that cyber risks in the banking system had been increasingly under-rated. These kinds of activities are increasing with attackers working with innovative ideas to violate financial institutions’ security systems. Scamming attacks, spyware, file locker, and social engineering are some ways that can violate personal loan data. These can originate from various sources, including emails, software, or even exposed websites.
Robust Cyber Security Measures
the worldwide financial system has been going through a remarkable digital transformation which is being used and accepted by people due to the COVID-19 pandemic situation. Banks always have competition with technology companies. The pandemic has increased the demand for online banking and work-from-home opportunities. Central banks around the globe are considering throwing their tension behind digital money and modern payment systems. when a small incident could easily affect people’s trust and make moves with innovations, cybersecurity is more essential than ever. financial sectors in Kolkata developed robust cyber security measures to safeguard customer data. banks implemented Advanced Encryption Methods that will protect and secure encryption algorithms, such as AES and RSA, that will ensure confidentiality and honesty. Blocking unauthorized access to systems and networks, preventing harmful messages from entering or leaving the network. Two-factor authentication in every app setting involves verifying through multiple means, such as passwords, biometric data, or one-time passwords, these prevent fraud. conducting regular security checks will helps to identify risks and address them before people get manipulated. Educating employees helps to provide better service and make sure they are aware of the latest types of attacks.
Emerging Technologies in Cyber Security
Artificial Intelligence and Machine Learning are both used to detect and prevent risks in real time, reducing the time taken to respond to customer issues and false information.
Blockchain methods of solutions are used to secure data and money transactions, uniformity and transparency.
Best Practices for Personal Loan Customers
Banks need to take some measures for best practices in loan dealings and also it plays a crucial role in protecting themselves from cyber-attacks. individuals are requested to Use Strong and Unique Passwords to secure their accounts, Also to avoid using easy access to information, names, or birthdates, and opt for complex passwords with a mix of characters, numbers, and special characters. Stop replying to spam emails and links also never provide information in response to any requests from third parties even to the bank. keep updated with apps in systems, browsers, and other software to ensure you have the latest security updates and features. Always keep a close eye on your accounts and report if there is any kind of unusual things happening in your account.
The Importance of Cyber Security Awareness
It’s very crucial to raise awareness about their data security by understanding the risks and measures in place, so personal loan customers can actively protect their information. Financial institutions must also prioritize transparency, educating their customers on the security measures before taking an account or loan, and providing guidance as the best practice. It’s a shared responsibility between banks and their customers.