Banks Taking Cyber Threats More Seriously

  • Internet Fraud

As more banks start moving into the digital and mobile space, cyber threats have become an increasingly bigger issue. And while most banks have educated themselves on the risks, only some have taken actions to address or prevent them. Now that online banking is more of norm, other organizations are starting to take notice of cyber threats and how to prevent them. For the first time The Office of The Comptroller of the Currency (OCC) has acknowledged cyber threats as a top risk. In their most recent risk report, the OCC notes that cyber threats arent just growing they are becoming more sophisticated.

One the most important aspects that this report covers is the affect of cyber threats on operational risks. Most businesses see their physical business (brick and mortar stores) as a part or the operation landscape of the company, but put the online segment in the separate landscape. In many cases, business conducted in physical stores and business conducted online are not related and have separate logistics and analysis. But as the online business-sphere is getting larger and more commonly used, companies are starting to see the line between online business and operational business become blurred. This is a huge step in the right direction for not just banks, but all industries. Companies will start to see a shift in their flow of transactions and will need to adjust their fraud prevention systems accordingly. Because truly integrated fraud prevention does not cover physical business differently than online business, but incorporates both.

The intersection and risks between physical business and online business are soon to be one in the same. Its important to understand the risks of both and how they could potentially affect one another. Be sure to incorporate a strong fraud prevention strategy that will prevent fraud on all fronts.

[Contributed by EVS Marketing]