Financial institutions are a favorite target for cyber criminals, with 77% of financial organizations detecting some form of a cyber attack last year and global data breach costs reaching over $6 million for the financial industry in 2024 alone. Beyond monetary losses, cybersecurity incidents in financial institutions can also put clients’ personal information at risk, resulting in reputational damages and a loss of trust. Financial services’ cybersecurity measures must be carefully curated to protect them from these devastating effects. Let’s take a look at common threats in the financial industry that you might not be aware of and how you can keep your business safe.

What Cybersecurity Areas are Being Neglected in the Financial Industry?

Because of financial organizations’ high concentration of valuable data, hackers will use their most sophisticated methods on them. Many financial services’ cybersecurity measures don’t provide sufficient protection from these attacks, but yours can be different if you understand what you’re up against.

Phishing Schemes

Fake phone calls, texts, or emails aim to trick employees into sharing sensitive data or clicking harmful links, granting access to systems and potentially compromising client accounts or other company data.

Banking Trojans

Banking trojans are a form of malware that poses as a legitimate application, then infiltrates databases or programs to steal credentials and perform unauthorized transactions.

DDoS Attacks

Distributed Denial of Service (DDoS) attacks overwhelm financial institutions’ servers with requests, leaving online services inaccessible to clients and users.

Spyware

Posing as legitimate software, spyware secretly monitors company activity and transmits this information to a hacker’s hard drive, where it can be used to exploit systems and steal financial data.

MITM Attacks

Man-in-the-middle (MITM) attacks intercept communication between financial users and institutions, often with the goal of stealing login information.

Supply Chain Attacks

Supply chain attacks target third-party vendors involved with financial institutions, using their weak spots to get to the original company or gain information about their systems.

What Is the Solution for Financial Services’ Cybersecurity?

These attacks are becoming more complex and common every day. Luckily, there are steps you can take to keep your business in the clear. The first is to stay informed so you can stay prepared. Subscribe to newsletters, attend info sessions, pay attention to the news, and participate in online forums dedicated to financial services and cybersecurity so you know what kinds of attacks and incidents to plan for. Implementing advanced security measures that are tailored to combat these threats is also key. Practices and tools like MFA, audits & penetration testing, data encryption, employee education, frequent software patches, and incident response planning (IRP) are all essential to safeguarding company and client info and keeping your network secure. Knowing how to manage all of these tools and keep up with the changing threat landscape can be challenging and overwhelming, especially when you’re already busy with your business’s core operations. By hiring a managed service provider (MSP) to handle your cybersecurity, you’ll have access to advanced tools, specialized industry knowledge, and years of experience. Trusted IT professionals can set up proper security measures and recommend advanced tools that are specific to your needs, such as zero-trust infrastructures or intrusion detection systems. They also stay up-to-date on the latest cybersecurity trends, allowing them to keep your protection current and ensure you don’t have any vulnerabilities in your systems.

Stay Ahead of the Threats with iTology

Don’t let yourself be one of the companies that suffer frequent attacks—stand out as one of the financial services with proactive, comprehensive, and effective cybersecurity. With iTology’s expert solutions tailored to the financial industry and your business, you can safeguard sensitive data, maintain client trust, and continue accomplishing great things for years to come. Interested in upping your cybersecurity? Just send us a message.