Ways to Prevent Cyber Attacks on Financial Institutions
Along with the information and communication technology development, banking services provide the direct access to customers to get savings information and conduct financial transactions simply with their own devices. Unfortunately, this simplicity also creates new vulnerabilities for hackers to steal customers information that can be very detrimental for customers.
Many financial institutions utilize technology to improve services to their customers. It makes everything fast and easy. However, what about its security? How do you guarantee its security?
Financial institutions are privy to a large amount of information about their customers. It depends heavily on information technology systems and any form of disruption from hackers to critical systems can severely undermine confidence and result in the loss of business and reputation.
Since many customers do digital activities, we should reduce risk of unauthorized data exposure with advanced security. It becomes the most-challenging thing for stakeholders in financial services industry such as Banking, Multifinance, including Fintech.
Authentication is the process of determining whether someone or something is, in fact, who or what it declares itself to be. The authentication process always runs at the start of the application, before the permission and throttling checks occur, and before any other code is allowed to proceed database that contains confidential information. To strengthen the security of IT system, Multi-Factor Authentication should be implemented. Therefore, it does not only require a username and password. To achieve Multi-Factor authentication, at least two different technologies from at least two different technology groups must be used. These methods are:
- Something users know.
It is usually a password, PIN, passphrase or questions and their corresponding answers.
- Something users have.
It can be tokens or smartcards.
- Something users are.
Such as fingerprints, retina scans, facial recognition, voice recognition, or a user’s behavior (such as how hard or fast they type or swipe on a screen) that can be used to identify a unique user.
As a result, using a PIN coupled with a password would not be considered as a Multi-Factor Authentication, while using a PIN with facial recognition would be. It is also acceptable to use more than two forms of authentication.
OneSpan Sign’s Multi-Factor Authentication solution comes for financial institutions to prevent cyber attacks and protect customer accounts and transactions by offering two or three authentication methods, yet in a simple way. Most users increasingly want frictionless authentication (the ability to be verified without the need to perform verification). That makes OneSpan create solutions for preventing cyberattacks on financial institutions. OneSpan has created an easy-to-use, scalable, and reliable solution that can deliver strong authentication using a range of verification options, such as color QR Code and also Bluetooth, which are only owned by OneSpan.
Phintraco Technology, a member of Phintraco Group, is OneSpan’s sole distributor in Indonesia. With more than 17 years of experience in delivering authentication solution, now OneSpan has sold more than 250 million authenticators and also more than 2K financial institutions has used authentication solutions from OneSpan. With Phintraco Technology, you can get various benefits, such as faster OneSpan solution’s implementation process and 24/7 customer response center.
As we know that Bank Indonesia has stated regulations that require banking industry to use Multi-Factor Authentication, so that every financial institution must have strategies to prevent cyberattacks. The best ways to prevent cyberattacks on financial services, and deliver best services to customers, Multi-Factor Authentication solutions are the best answer.