Do You Understand the Risks You are Taking On?

State banking departments across the country have partnered with the Conference of State Bank Supervisors and worked to bring in top regulatory, law enforcement and cybersecurity experts to banking seminars.

All of these seminars have held a similar message:

Cybersecurity attacks are becoming more frequent. Attacks are more complex, and C-level executives and the board of directors must be aware of what their cybersecurity risks are and how they are managing those risks.

Two comments have been particularly noteworthy:

One comment compared cyberattacks to an earthquake that has already happened in the middle of the ocean. The tidal wave of cyberattacks is on the way – you can’t do anything about it. Your job now is to implement ways to protect yourself and to limit the financial and reputational risk when the worst occurs.

A second comment asked seminar attendees to take a look at the resources that their bank relies on to manage IT and decide if they have the knowledge and skills to adequately protect the bank from an event. When a cyberattack occurs will they be able to effectively navigate through the financial and reputational issues that follow?

CEOs and other executives of firms, such as Target, lost their jobs because they did not understand the cybersecurity risks their business was taking on and as a result did not adequately manage those risks.

Do you understand what cybersecurity risks your bank is taking on?

If so, how comfortable are you that the resources you rely on today could address the regulatory, financial and reputational risks your bank would have with regulators, your customers and others in the event of a cyberattack?

For more information about how your bank can manage its cybersecurity risks, please contact BankOnIT at 800-498-8877, or solutions@bankonitusa.com.