Posts Tagged ‘cybersecurity’

Will Regulation Solve Cybersecurity Problems?

Posted on November 13, 2017 by Laura Lam

Cybersecurity was a main topic at a recent New York banking conference.  According to Arthur Lindo, senior associate director of the Fed’s division of supervision and regulation, more rules may not be the best answer to protecting the financial system.  “I don’t think the solution to the cybersecurity problem rests in regulation,” said Lindo.  “We’re going to try a more flexible approach.” The Fed and other regulators issued a notice of proposed rulemaking on cyber risk management standards last year, which is typically followed by a prospective rule. After the industry and others involved in computer security discouraged regulators from…

What’s Next for Consumer Data Security?

Posted on September 29, 2017 by Laura Lam

For Equifax, the fallout from its massive data breach is far from over.  The company is facing numerous inquiries from government agencies and even lawsuits.  The breach exposed serious flaws in the financial system’s consumer data security framework.  So how can the financial services industry protect against fraud in the future?  How can they make things safer? According to a new report from ratings agency DBRS, the answer to making things safer is to further embrace technology.  Specifically, DBRS states that it believes the financial services industry needs to move towards biometric security, which would provide additional layers of protection that a Social Security…

Banks: Are There Too Many Cybersecurity Alerts?

Posted on June 27, 2017 by Laura Lam

Security alert overload, a source of frustration for bank security departments for some time, appears to have careened out of control.  A survey of bank security chiefs by the research firm Ovum documents how high the daily volume of messages about possible security incidents has grown.  Over a third (37%) of banks, it turns out, receive more than 200,000 security alerts a day. “It’s too much for humans to cope with, even at banks with the largest security teams. Adding more operators isn’t the solution, the problem needs to be solved through automation,” said Rich Baich, chief information security officer…

Push for Faster ACH Payments Increases Bank Fraud

Posted on January 10, 2017 by Laura Lam

As of September, credit-based ACH payments are now being settled within the same day. These transactions involve one person/entity pushing money from their bank account to another person or organization, using the automated clearinghouse. Examples include direct deposit, payroll, person-to-person and vendor payments. Where before banks had 2 to 5 days to analyze suspicious transactions, now in some cases they have only 2 hours. Banks haven’t quite caught up with the shorter time frame for checking red flags, some say, and fraudsters have jumped on this opportunity. “Recently we’ve seen more evidence of incidences of ACH fraud than we have…

Law Firms Ramp Up Cybersecurity

Posted on January 02, 2017 by Laura Lam

A surge in high-profile law firm data breaches is shifting the way businesses are shopping for lawyers, say cybersecurity experts, academics, and attorneys.  Clients with sensitive information like patents, medical records, and financial data are placing greater emphasis on data security when hiring a law firm, these experts say. Many businesses are starting to send their law firms cybersecurity questionnaires and request periodic vulnerability assessments. “It’s really important for clients to vet their law firms,” said Sherri Davidoff, chief executive of cybersecurity and digital forensics firm LMG Security.  She recommends checking that a law firm follows a recognized cybersecurity framework,…

Banks/Retailers Need Protection Against Everyday Devices

Posted on November 01, 2016 by Laura Lam

Security experts fear the big cyberattack that debilitated Twitter, PayPal, Netflix, and dozens of other companies last week could be a precursor to a larger assault that deeply impacts the American economy, possibly during the holiday shopping season.  They worry that hackers have figured out how to more effectively use malicious software to hijack unsecured, web-connected devices in people’s homes and then turn them into a network that floods a target with data, shutting it down. Unidentified hackers used this type of attack – called distributed denial of service, or DDoS, to overwhelm Dyn, a technology company that handles traffic for…

Inside Job? Insider Data Theft on the Rise

Posted on July 15, 2016 by Laura Lam

As businesses spend billions of dollars a year trying to protect their data from hacking that’s costing trillions, they face another threat closer to home: data theft by their own employees.  That’s one of the findings in a survey published by management consultant Accenture Plc and HfS Research on Monday. Of 208 organizations surveyed, 69% “experienced an attempted or realized data theft or corruption by corporate insiders” over the past 12 months, the survey found, compared to 57% that experienced similar risks from external sources. Media and technology firms, and enterprises in the Asia-Pacific region reported the highest rates —…

What Keeps Business Professionals Awake at Night?

Posted on July 08, 2016 by Laura Lam

The Wall Street Journal rounded up some recent surveys and reports dealing with payments, risk and security issues.  Here are some of the findings. Pay Up: A survey of around 200 private practice lawyers, in-house counsel and corporate C-level executives in the U.S., U.K., Europe and Asia by global finance firm Burford Capital found 86% of private practice lawyers have clients who in the last 5 years have not been paid the full value of a successful litigation or arbitration judgment or award. Almost 1 in 5 lawyers (19%) said their clients’ unenforced judgments were worth between $10 and $50 million, while 14%…

Banks Court Hackers for Cybersecurity Jobs

Posted on July 01, 2016 by Laura Lam

Even though cybersecurity jobs can offer 6-figure salaries, generous signing bonuses and other perks, banks are struggling to find people to hire.  Part of it is perception – banks don’t seem nearly as cool as all of the other industries that are just as aggressively targeting the same talent pool.  But another serious factor is that the demand for cybersecurity experts is vastly outstripping supply. The digital security firm Symantec estimates there are 500,000 to 1 million open cybersecurity jobs across the nation that cannot be filled due to a shortage of skilled candidates. By 2020, Symantec expects that number…