In today’s digital age, the financial industry has become increasingly dependent on technology. More and more individuals and businesses are turning to online banking, investment platforms, and other digital financial services to manage their finances. However, this growing reliance on technology also comes with increased risks and potential threats to financial security. This is why cyber security has become a critical component of financial planning.
According to the latest data from the Australian Cyber Security Centre (ACSC) for the 2021-22 financial year on average a cybercrime was reported every 7 minutes. Email compromises accounted to over $98 million in financial losses and over 76,000 official cybercrime reports were received. It’s important to note that these statistics only reflect the cybercrime incidents that were reported to the ACSC, and the actual numbers are likely higher as many incidents go unreported.[1]
There are several types of cyber attacks, each with unique characteristics and goals, including phishing, malware, man-in-the-middle attacks, and password attacks:
- Phishing is an attack in which an attacker tries to trick a victim into divulging sensitive information.
- Malware is a type of software designed to infiltrate or damage computer systems without the user’s knowledge or consent.
- Man-in-the-middle attacks involve intercepting communication between two parties to eavesdrop on or manipulate the communication.
- Password attacks attempt to guess or crack a user’s password to gain unauthorized access to their account.
There are many steps you can take to protect yourself from a cyber attack. Here are some important tips to keep in mind:
- Use strong and unique passwords: Use a different password for each online account and make sure they are long and complex. Consider using a password manager to securely store and generate passwords.
- Keep your software up-to-date: Keep your operating system, web browser, and other software up-to-date with the latest security patches and updates.
- Use two-factor authentication: Enable two-factor authentication (2FA) for your online accounts whenever possible. This adds an extra layer of security by requiring a second factor, such as a code sent to your phone, in addition to your password.
- Be wary of phishing emails: Be cautious when opening emails from unknown senders or emails that ask you to click on a link or provide personal information. Check the email address and hover over links before clicking on them to verify their legitimacy.
- Use antivirus software: Install and use reputable antivirus software on all your devices to detect and block malware.
- Avoid public Wi-Fi: Avoid using public Wi-Fi networks, as they may be unsecured and easily intercepted by cyber attackers. Use a virtual private network (VPN) or your phone’s cellular data instead.
- Back up your data: Regularly back up your important files and data to an external hard drive or a secure cloud storage service.
- Educate yourself: Stay informed about the latest cybersecurity threats and best practices by reading up on the topic and attending cybersecurity training sessions.
By following these tips and remaining vigilant, you can significantly reduce your risk of falling victim to a cyber attack.
If you think you have been a victim and your information has been exposed, ACSC have released a tool on their website ‘Have you been hacked’. This tool will help you assess if you have been hacked by taking you through a range of scenarios. Have you been hacked? | Cyber.gov.au
At Crest Financial Services we understand the importance of data security for our clients and take this obligation seriously. Please remember that it is important to inform your financial planner of any serious financial compromises to ensure appropriate steps are taken to safeguard your accounts.
[1] ACSC Annual Cyber Threat Report, July 2021 to June 2022, https://www.cyber.gov.au/acsc/view-all-content/reports-and-statistics/acsc-annual-cyber-threat-report-july-2021-june-2022