Financial scams and cyberattacks targeting personal information and institutions are on the rise. Recently, Slim CD, a popular credit card processing service in the US and Canada, disclosed a data breach that exposed the personal information of nearly 1.7 million customers. The breach, which took place between August 2023 and June 2024, allowed unauthorized access to customer names, addresses, credit card numbers, and expiration dates.
In response to the breach, Slim CD advised affected customers to remain vigilant against identity theft and fraud by reviewing account statements, monitoring credit reports for suspicious activity, and detecting errors. The company did not offer identity theft protection services to affected customers, according to the Maine Attorney General’s office.
To protect themselves, customers can order a free credit report annually from the three major credit reporting bureaus: Equifax, Experian, and TransUnion. Additionally, customers have the right to place a “fraud alert” on their credit file at no cost, which would require businesses to verify their identity before extending new credit. Another option is to place a “credit freeze” on their credit report, preventing unauthorized credit approvals.
Slim CD is just one of the many financial firms targeted by hackers in recent months. Evolve Bank & Trust and Prudential Financial also suffered data breaches compromising customer information. A report by SOCRadar highlighted that data/database sales and leaks accounted for the majority of attacks in the finance industry, followed by credit card sales and carding methods. The most frequently targeted financial institutions were based in the United States, India, the United Kingdom, Russia, China, Spain, Brazil, Indonesia, Canada, and Germany.
According to Check Point Research, global cyber attacks increased by 30 percent in the second quarter of the year. The finance/banking sector ranked fourth among the 14 industries analyzed, with 7 percent of ransomware attacks targeting this sector. The report emphasized the need for financial institutions to address AI-specific cybersecurity threats, as there is a widening “capability gap” between large and small institutions in deploying AI systems. While larger institutions have the resources to develop their own AI systems, smaller institutions may lack the necessary data resources.
In conclusion, the increasing frequency of financial scams and cyberattacks highlights the need for individuals and institutions to take proactive measures to protect personal information. By remaining vigilant, monitoring credit reports, and implementing security measures such as fraud alerts or credit freezes, individuals can mitigate the risk of identity theft and financial fraud. Additionally, financial institutions must prioritize cybersecurity and address the specific threats posed by AI technology to ensure the safety of customer data.
