In 1999, Congress passed the Gramm-Leach-Bliley Act, which requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. The Act mandated the passage of the Safeguards Rule, which was promulgated by the Federal Trade Commission (FTC) in May 2002 and made effective May 2003. In 2019, the FTC began working on amendments to the Safeguards Rule, and on December 9, 2021, the FTC finalized these amendments. Depending on the classification of their financial institution, clients will need to understand the following rule changes and properly abide by the new FTC regulations.
As online and at-home banking options become more accessible, more online activity increases the risk of theft. Since 2021, IBM reported that the average cost of a breach rose from $4.24 million to $4.35 million.
A cybersecurity risk assessment helps you expose and prioritize issues that could undermine your organization’s security. The risk assessment process starts with a series of interviews during which a cybersecurity consultant will meet with key members of your organization to analyze your policies, procedures, and controls. The consultant will tailor the assessment to your organization’s size, industry regulations, business operations, and other special considerations. You’ll work through scenarios to forecast the consequences of vulnerabilities that are common in businesses like yours. One of the main benefits of a cybersecurity risk assessment is an increased ability to identify and prevent cyber incidents from impacting your organization.