Top Cybersecurity threats faced by banks.

The frequency of cybercrimes has escalated over the past several years to the point where it is believed that they are one of the biggest threats to the financial sector. Hackers’ technology and skill have advanced, making it challenging for any banking sector to constantly withstand the attack. Among the threats to banks’ cybersecurity include the following:

1. Phishing Attacks

Phishing attacks are one of the most prevalent cybersecurity issues in the banking industry. They can be used to breach the network of a financial institution and launch a more damaging attack, like an APT, which can be disastrous for those businesses (Advanced Persistent Threat). In an APT, a user who is not authorized can enter the system and utilize it for a prolonged period of time without being detected. This might have serious negative financial, data, and reputational effects. According to the survey, phishing assaults on financial institutions peaked in the first quarter of 2021.

2. Trojans

Hackers utilize a number of risky techniques known as “Trojans” to trick their way into secure data. Before it is put on a computer, a Banker Trojan appears to be reliable software. But it’s a malicious computer program designed to gain access to sensitive information processed or stored by online banking services. A backdoor in this type of computer program makes it possible to access a computer from the outside.

In the first quarter of 2022, there were about 54,000 installation packages for mobile banking trojans worldwide. When compared to the same quarter last year, there has been an increase of more than 53%. The number of trojan packages that target mobile banking surged in the fourth quarter of 2021 after decreasing for the first three quarters.

3. Ransomware

Important data is encrypted by the cyberthreat known as ransomware, which prohibits owners from accessing it unless they pay a hefty fee or ransom. Ransomware is a serious threat to banking institutions because 90% of them have experienced it in the last year.

Ransomware affects bitcoin in addition to posing a risk to financial cybersecurity. Cryptocurrencies’ decentralized design makes it possible for scammers to hack trading platforms and steal money.

4. Spoofing

Design a layout that resembles the original one in both appearance and functionality

*Establish a domain with a modest modification in spelling or domain extension

*Hackers use a clone site in this type of cyberattack. By posing as a financial website, they;

Via a third-party communications service, such as text messaging or email, the user can access this counterfeit website. While a user is not paying attention, hackers can obtain their login credentials. Several of these problems can be resolved with seamless multi-factor authentication.

In 2022, 604 billion Indian rupees in bank frauds were recorded by the Central Bank of India (RBI). This was a decrease from more than 1.3 trillion rupees in 2021.