Saturday, August 15, 2020

safe banking system

How to keep the banking system safe?

 The security of the banking and financial system has been debated from time to time. But the truth is that there is still a tendency to be sensitive to security only when big banking frauds occur and to ignore small incidents.

More cyber attacks or attempts are being made in the financial sector. But such incidents are rarely public. Banks do not disclose such incidents on the grounds that their reputation, prestige and distrust in the service recipients will decrease.

In some cases, even looting crores of rupees, banks consider 'hiding privacy' as a solution. Hackers have started targeting ATM switches or servers. Although they have come to the realm of investing in security in recent times, they do not seem to be ready to avoid the danger in time.

It is a fact that some banks and financial institutions are not even following the instructions given by the National Bank to adopt the security system. The concerned institutions need to be serious to keep the banking system safe.

How to keep the banking system safe?

The network and system related to the card should be supervised regularly.

Arrangements should be made to audit the information system related to the card annually.

Arrangements should be made to conduct Vulnerability Assessment and Penetration Testing (VAPT) of the card related system on a semi-annual basis.

Arrangements should be made to conduct quarterly risk assessment of the card related system and discuss it in the risk management committee of the concerned bank.

Arrangements should be made for regular centralized monitoring of ATMs connected to ATM amnesty. In addition, arrangements should be made to conduct such monitoring regularly even on Saturdays and other holidays.

Licensed financial service providers should arrange for cyber security insurance to minimize potential losses from cyber security risks.

In order to control the transaction limit through card, all banks and financial institutions should take the service of determining the transaction limit from Visa, MasterCard and other payment system operators.

Banks and financial institutions and PSO-PSPs should make arrangements to secure important infrastructure of information technology system using privilege access management.

Banks operating in compliance with Payment Card Industry and Data Security Standards (PCI-DSS) and operating ATM switches should make arrangements to audit PCI DSS annually.

No comments:

Post a Comment

If you have any doubts. Please let me know.