
What are the cybersecurity vulnerabilities the Financial Industry faces?
Financial firms face threats from human error, hard drive malfunction, and cyberattackers using malware, phishing expeditions, and data theft to steal treasure-troves of client and financial information. Accounts communicate with clients and pass everything from social security numbers to bank account information via electronic methods. Your customers information must be protected in transit and in your possession.
Not only do you have to meet your industry rules, but in most cases, you must meet the industry rules of your clients as well.
What cybersecurity regulations affect the Financial Industry?
Federal Laws that apply to you:
Bank Secrecy Act (BSA) (If you conduct transactions on behalf of your client)
Health Insurance Portability and Accountability Act (HIPAA) (if you have clients in the healthcare industry)
Sarbanes–Oxley Act (SOX) (if you have clients that are publicly owned)
If you have international Clients:
If you have clients in these states:
What are the consequences of a data breach?
Financial Loss
Reputational Damage
Operational Downtime
Legal Action
Loss of Sensitive Data
60% chance of going out of business