Challenges in Privacy and Security in Banking Sector and Related Countermeasures

Abstract

With the extensive use of technology particularly internet by users, banking is becoming more dependent on technology. Unfortunately, with this the cyber-crimes related to banks are also increasing stupendously. The tendency of cyber security attacks aimed at financial sector is much high than any other sector. Some of the common cyber security attacks aimed at banks include Phishing, Cross site scripting, Cyber-squatting, Botnets, Spoofing, etc. This causes a tremendous loss of money to the customer and bank, declines bank’s reputation and decreases the trust that users place in a bank. Banks are obligated to provide a safe online banking environment to its users. Although banks have taken a lot of steps for safety and security of their assets, yet these conventional security mechanisms are no longer optimum as still attackers are able to bypass these security mechanisms. Thus banks should tighten their security mechanisms and take appropriate countermeasures to ensure safety and privacy to bank’s most valuable assets. In this paper, the emerging challenges in security and privacy faced by banks are analyzed. The security mechanisms used by banks have been identified. The security and privacy issues in financial sector have been recognized particularly the cyber security attacks aimed at banks. Lastly, the countermeasures that should be adopted by banks to provide protection against these attacks and ensure a safe banking environment to users have been suggested.