Although cybercrime seems woven into the web of society, it still creates significant damage. Many people may not think about any phishing emails they receive because they know to ignore these scam attempts, but there are others who still fall victim. Nearly three times as many financial breaches occurred in 2023 as in 2022, according to Statista.
Fortunately, technology provides many effective solutions. Artificial intelligence is one of the latest. With the use of AI, you can find ways to keep your financial data secure.
Threats to Financial Data Security
You might think that the most common threats to financial data security, such as phishing or malware, are so commonplace that people should know how to avoid them. These attacks continue to be a serious problem in the present, requiring sophisticated solutions to root out the causes and prevent a breach. Common threats include:
Malware
The installation of malware can target a system and control it or shut it down. Malware usually becomes problematic when an employee opens or downloads a suspicious file. The file then runs a program that compromises system security or prevents users from gaining access to critical software.
Phishing
Phishing emails and texts are getting more sophisticated. The content usually tries to trick recipients into thinking that a service will be shut down or a package returned if they don’t take a recommended action. Modern phishing attempts spoof senders in the recipient’s contact list, increasing their trust and the likelihood that they will follow instructions to provide sensitive financial information or other data.
Insufficient Encryption
Encryption is a key aspect of protecting financial data. Unfortunately, many users fail to encrypt their data, or allow it to become unencrypted during storage or transport. Weak or missing encryption can allow hackers to gain access to the data. Many businesses struggle with maintaining consistent encryption, especially with a remote workforce.
Misconfigured Systems
System security provides the backbone of protection from cybercrime, and too many businesses and individuals lack the proper configurations. Slight weaknesses in the system can be exploited by a clever criminal, leading to a successful break-in or the ability to shut down a website entirely.
Weak Passwords
Employee or individual use of weak or repeated passwords can make it easier for hackers to gain access to the system. A person who uses similar passwords for various financial and communication sites may allow hackers who collect one piece of data to fill in the puzzle with others.
AI Solutions for Financial Information Security
Although financial crime is on the rise, AI can provide some answers. With these and other solutions for financial services, cybersecurity professionals can provide tighter security for sensitive financial data.
Email Evaluation
Phishing is much less successful if it cannot reach the recipient in the first place. AI can use algorithms to methodically scan each email for accuracy and legitimacy. Communications that seem suspicious can be flagged for review by administrators, preventing recipients from receiving them until it is clear that they are safe.
Predictive Analytics
When people try to break into a system to gain access to sensitive data, they tend to use predictable methods. AI can use big data to identify common steps that cybercriminals follow. With this information, the AI system can trigger alerts when users commit the first few steps, shutting down their access to the system until administrators can review it.
Comprehensive Encryption
Encryption can fail at inconvenient times, such as during transmission of data or system security checks. Since AI works from within, it can maintain comprehensive encryption, even while the system is undergoing an inspection or update. Constant encryption makes it harder for hackers to find holes that allow them to process data.
Finding Cybersecurity Weaknesses
Administrators can build the most effective system possible, but it may still have weaknesses. Human testing of a security system can take days; AI can perform testing in a much shorter period. AI’s thorough inspections can identify weaknesses that administrators can fix before they create problems.
24/7 Site Monitoring
While administrators cannot watch their systems every minute of the day, AI can. An integrated AI system monitors the site constantly for regular and suspicious use. When an unexpected event happens, AI can generate immediate alerts for administrators to look at the system, while shutting down access to threatening users.
Crimes related to unauthorized access to financial data are increasing, but AI can help. By implementing AI into robust security systems, individuals and businesses can discover tools that help them protect their financial data.
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Adam Nguyen is Senior Vice President for Donnelley Financial Solutions™, a global financial solutions company. He has many years of experience in the industry and focuses on the company’s financing activities and daily operations.
