Posts Tagged ‘cyber security’

Data Breaches Cost Firms $1.3 Million in 2017

Posted on October 19, 2017 by Laura Lam

Cyber attacks cost large North American businesses an average of $1.3 million in 2017, according to a new report from security vendor Kaspersky Lab and market research firm B2B International.  The companies surveyed more than 5,000 businesses across 30 countries to gather data on cyber security issues. The cost of data breaches and other attacks was up from $1.2 million in 2016, and totaled $117,000 per incident for small and medium businesses. Companies are starting to view IT security as a strategic investment, the report said. The share of budgets spent on security is growing, reaching 18% compared with 16%…

New “Invisible” Cyber Threat for Banks

Posted on March 07, 2017 by Laura Lam

Malicious software, the type criminals use to steal online banking login credentials from customer or employee desktops, has been getting more stealthy and effective over time, as its authors get progressively better at evading antivirus and anti-malware programs. But there’s an emerging generation of malware that’s even sneakier. It’s not only designed to escape detection, it can lurk in computer memory or a legitimate computer tool, where normal security software can’t see it.  Malicious code that runs in memory is called “fileless.”  Such attacks are increasing “because they are much harder to detect than file-based malware,” said Rick McElroy, security…

Banks, Credit Unions Victims of $4M Cybertheft

Posted on April 21, 2016 by Laura Lam

Cyberthieves using malicious software discovered by IBM Security have stolen $4 million from business customers of two dozen financial services providers this month, according to IBM.  The software, called GozNym, infects devices when people it targets either click a link or open an email attachment. It remains inactive until users log into their bank accounts, when it is able to access and steal information. “The end result is a Trojan in the wild,” said IBM X-Force, IBM’s security research arm.  IBM said GozNym was in active use and that it would continue to monitor it. In terms of its current…

Lenders Need to Prepare for Cyber Attacks

Posted on April 19, 2016 by Laura Lam

The sudden ordinariness of corporate data breaches has led to feelings of helplessness inside the financial industry.  That sense of despair is apt to be particularly prevalent at smaller institutions, where the resources available to stave off sophisticated cybercrimes may not match the expectations of their regulators.  So what can a small firm do in the face of well-organized bands of hackers? Quite a bit, according to experts who spoke at the Mortgage Bankers Association’s recent annual technology conference.  Here are 4 steps that banks, mortgage companies and other financial institutions can take to prepare for a digital attack. Write…

Can Banks Become Unphishable?

Posted on April 06, 2016 by Laura Lam

In a warning issued this week, the FBI said it’s seen a 270% increase in identified victims and exposed losses due to business email compromise since January 2015. Business email compromise or “CEO fraud” phishing targets businesses that frequently perform wire transfers. Perpetrators compromise email accounts through social engineering, by sending an email to the CEO that appears to be from his CFO, urgently asking for a wire transfer or for sensitive information. From October 2013 through February 2016, the FBI received reports from 17,642 victims, amounting to more than $2.3 billion in losses. The overwhelming majority of victims are…

What Banks Can Learn From the IRS Data Breach

Posted on March 15, 2016 by Laura Lam

The IRS recently acknowledged that the number of taxpayers whose information has been stolen by hackers through its systems is 724,000 – more than double the agency’s previous estimate. Reports say some of the same taxpayers are getting targeted twice, through the very mechanism set up to protect them. The breach occurred as cyberthieves broke in through the IRS’s Get Transcript program, which taxpayers use to obtain copies of their federal income tax returns from previous years. To check the identity of the person applying for a tax return, Get Transcript asked for the applicant’s name, date of birth, Social…

Underwriting and Cyber Risk On the Rise

Posted on December 21, 2015 by Saldutti

Credit risk, interest rate risk and cybersecurity concerns pose growing risks, according to a semiannual risk report issued the Office of the Comptroller of the Currency.  It found that institutions are continuing to loosen underwriting standards for a number of loan categories to search for yield in a low interest-rate environment. “In the area of credit risk, the warning lights are flashing yellow. Regulators and bank management need to act now to prevent those risks from becoming reality,” said Comptroller of the Currency Thomas Curry.  “We can’t afford to wait until the warning lights turn red.” The report found that…

EMV: The Chip Matters

Posted on December 17, 2015 by Saldutti

There have been numerous articles recently written on whether cards with newer EMV chip technology should be paired with a signature or PIN.  The articles always suggest that PINS are necessary for added security.  However, there is a key factor in the debate that is often overlooked:  neither is the most important defense against fraud. It’s the chip that matters. Whether a card with Europay MasterCard Visa technology is accompanied by a PIN or a signature, the new computer chips embedded in credit cards are an important security upgrade that better protect consumers’ financial data. The chip replaces the consumer’s…

Banks Beware: Cyber Fraud Abounds this Holiday Season

Posted on December 09, 2015 by Saldutti

As shopping gets more digital, so does fraud. The rise in technology at shoppers’ fingertips provides many new channels for scammers to exploit.  Here are 6 fraud risks banks should be on the lookout for this holiday shopping season. Gift Card Grab – Digital gift cards are a hot item for consumers and fraudsters alike. Fraudsters use stolen credit card data to buy digital cards that can be used around the Web; this scam accounted for 9.5% of all attempted online fraud in the past year, according to ACI Worldwide. Smaller Scams – The average dollar value of fraudulent transactions…

Financial Fraud is a Growing Epidemic for Seniors

Posted on November 23, 2015 by Saldutti

Seniors lose at least $2.9 billion annually to financial exploitation, and roughly 1 in 5 Americans aged 65 or older have been victimized by financial fraud, according to the Securities Industry and Financial Markets Association (SIFMA), which is the voice of the nation’s securities industries.  SIFMA’s Lisa Bleier, Managing Director & Associate General Counsel, discusses the growing epidemic of financial fraud and how to make sure you don’t become a victim. What are the biggest risks to senior investors? Bleier:  Seniors are often at greater risk of becoming victims of financial exploitation – both because they often have the most…