The Risk is Not Worth the Reward

Email is no longer the tool for direct communication. In most cases, email proves to be more of a headache than a useful resource, but more importantly sending sensitive information via email is extremely unsecure.

Information is power and yet may of us go about our work days exchanging info over email oblivious to our exposed vulnerability. Many companies rely on email for exchange of information; however, once you hit that send button, you have relinquished complete control of your email and any confidential attachments.

This lack of security and control is particularly taxing for companies in the financial sector. Financial service companies are the most targeted and high risk for data breaches and account hacks.

A bank will typically advise a customer to distrust emails seeking bank account or personal finance information. Ironically, these same banks will place their trust in email as a main communication channel for sharing confidential files. Access to financial data enables cyber criminals to open up bank and credit card account, file tax returns, spend, etc.

Some of the biggest data breaches in the finance sector have included banks, payment processing companies, loan providers and credit reporting bureaus.

Don't believe us? See for yourself:

In 2008, Heartland Payment Systems reported a system hack. The hack affected around 130 million customers and multiple credit card types. According to ComputerWorld, the company spent around $140 million to deal with the massive breach: $60 million to settle with Visa, $3.5 million to settle with American Express, and legal fees amounting to at least $26 million. In addition, $42.8 million was earmarked for potential settlements and litigation in the future.

In 2014, JPMorgan Chase, the largest U.S. bank, reported a data breach that affected 7 million small businesses and 76 million households. No financial information was leaked, but the hackers were able to break into the bank's systems and unlock a list of applications and programs. This could provide the hackers with new opportunities to exploit vulnerabilities.

The list goes on. The takeaway? Email may be quick and simple, but it's also costly and dicey. The risk is not worth the reward.

There are ways to combat this problem and prevent it from happening to you or your company. A simple way to attack the risk head on is the start with a policy change including a complete overhaul on how to use email: determine what content is safe to share and what content is not safe to share, etc. An alternative to using email is to turn to online portals. Online portals are a secure option for easy, secure file sharing. And yes, it is still quick.

The Syndifi platform is built to modernize the syndication process around secure file sharing. Syndifi is the only online syndication platform built specifically for the Equipment Finance industry enabling Buyers & Sellers to transact more securely with their trusted partners in the cloud. Simplify your syndication process and eliminate the risk factor. For more information about Syndifi visit www.syndifi.com.

To learn more about the top 10 FinServ data breaches visit https://digitalguardian.com/blog/top-10-finserv-data-breaches (source)