Online security has increasingly become one the biggest
threats across all industries especially with financial institutions. Every day
more banks are entering the online space in order to keep up with ever changing
industry. In recent news, the state of Texas has undergone serious measures to
decrease the amount of ACH and wire fraud in 2012. The Texas Department of Banking, in partnership with a
number of local and federal organizations, has pledged to make online security
a priority in the coming year. Even with the issuance of the FFIEC Authentication Guidance, small and local banks are still having issues defending against online attacks.
Texas may have been one the first states to show significant
statistics on ACH fraud, but that does not mean this issue is exclusive to
Texas. Community financial institutions all over the country and dealing with
issues in banking fraud but Texas has taken the extra steps to implement more specific
guidelines to fight back. This plan is designed integrate all industry risks
associated with electronic crimes by putting an emphasis on sharing
information.
Sharing information may seem like a contradicting way to
tighten security but the fact of the matter is, collaboration can go a long
way. If bankers are able to understand their security measures from a holistic
manner, they may be able to see the breaks in the system more clearly. By
understanding the whole picture, institutions can better implement practices
such as ID verification and authentication into these gaps to better protect
themselves from online fraud.
[Contributed by, EVS marketing]
