It Reduces Financial Loss
The financial sector has among the highest cybercrime costs. At$5.97 million, the average cost of a data breach in the financial sector is astronomical. The cost could be higher if the data breach leads to a ransomware attack.
DDoS attacks, malware, phishing, data exfiltration, and advanced persistent attacks are favoured by hackers targeting confidential transactional data. Cybercriminals use to steal user account information and commandeer transactional systems to siphon funds or disrupt operations.
Data breaches are prohibitively expensive because they carry direct and indirect costs.
Direct costs are common during ransomware attacks, and the ransom demands vary from thousands to millions of dollars. Hackers often set the ransom demand as a percentage of the company’s annual turnover. However, experts estimate the direct costs of a data breach to account for a small portion of the overall costs.
The indirect costs associated with data breaches are often higher. Between the resultant downtime, recovering lost data, and cleaning up the malicious software, the costs can add up. On average, a business takes 22 days to fully recover from a ransomware attack.
It Protects Against Reputational Damage
Reputational damage almost always results whenever a financial institution suffers a data breach. The resultant damage can prove costly if news of the breach goes viral on social media or is picked by media outlets.
Reputational damage can severely hurt financial service providers, leading to additional financial losses. You’ll likely lose customers in droves and have trouble attracting new customers. Rebuilding a damaged brand image following a data breach can prove tedious and challenging.
Besides the ransom paid and the mounting indirect costs, you’re also likely to incur huge fines from the regulatory authority. Getting hacked amounts to a breach of contract, and government oversight bodies levy hefty fines for these transgressions.
It Offers a Turnkey Solution
Working with a professional financial services software development partner increases your cybersecurity efforts. A reliable software development partner works with you to create a turnkey product that suits your needs. Besides designing and installing, your development partner should also test and validate the software solution.
Financial software testing and validationare crucial to the software development lifecycle. These processes ensure that your custom solution functions seamlessly, is defects-free, and meets regulatory compliance requirements.
The financial software testing and validation process covers every aspect to reward you with a solution that fits your needs. Key testing areas include functionality, performance, regulatory compliance, and user acceptance testing.
Security testing is paramount, as it helps identify potential vulnerabilities. Cybercriminals take advantage of any flaws and vulnerabilities to penetrate your computer network. Your developers must subject your solution to thorough testing and validate every aspect.
