2024 Archives - Safe Systems

01 Aug 2024

Banks, Compliance, Credit Unions The Safe Systems Compliance Team 0 comment

Effective Governance and Communication: Enhancing Your FI’s Resiliency

With the rise in cyber threats and the increasing complexity of regulatory requirements, Information Security Officers (ISOs) face unprecedented challenges. This blog focuses on the importance of governance and effective communication as a key strategy for enhancing operational resiliency.

The Gramm-Leach-Bliley Act (GLBA) first brought to the forefront the importance of establishing the role of an ISO for financial institutions (FIs). However, the significance of this role has only magnified as information technology has become essential to every department and business function within an FI. The exposure of customer non-public information (NPI) has exponentially increased with the widespread adoption of online transactions, mobile banking, and third-party relationships.

Managing information security risks effectively requires collaboration. Each stakeholder group, including end-users, IT management, IT Steering Committee, Executive Management, Risk/Audit Committees, and the Board of Directors, plays a crucial role in supporting and executing information security standards. Segregating duties between IT management and the ISO is one of the biggest challenges for many FIs. For those that lack a formal infrastructure, the FFIEC provides “visibility” and “accountability” guidelines showing how an ISO can and should collaborate with IT management.

In addition, ISOs must break down silos and communicate clearly with all the various stakeholders. This effort requires access to relevant, actionable, and up-to-date information that aligns with each group’s distinct reporting needs, engagement level, and technical understanding.

ISOs may also need to broaden the scope and frequency of their communications. For instance, it is a good best practice to meet with the Board more frequently than once a year. Board members will benefit from periodic discussions with the ISO and IT management to accurately and quickly identify potential issues related to risk such as inconsistent server backups, software patches, and systems nearing EOL. A comprehensive understanding of Human Resources standards and their impact on information security is also important to ensure that policies and procedures are consistent across the organization.

To facilitate and ensure these meetings and conversations are effective, ISOs should rely on industry-standard frameworks that can be customized for audience-based agendas and repeatable tasks. Essentially, ISOs should be transparent in communicating changes that could result in increased risk to NPI.

Overall, this can be a challenging effort, especially for smaller banks and credit unions who may not have the expertise or the time to ensure a consistent approach to governance and communication. For this reason, many FIs choose to partner with a reliable Virtual Information Security Officer (VISO) service. These third-party services provide strategic guidance and the necessary oversight to ensure comprehensive information security management.

Safe Systems ISOversight^® is a VISO service that includes a suite of applications, real-time reporting, and knowledgeable FFIEC risk-management professionals who assist with policy implementation, third-party relationship management, BCP, cybersecurity risk assessments, incident response and BCP testing, and other required tasks that are customized for each FI. They also provide ongoing coaching and accurate reporting to help with communication tailored to each stakeholder group. These collaborative efforts will go a long way to ensure operational resiliency and reduce reputation risk.

For a deeper understanding of governance and communication within the ISO role and to gain more insights into enhancing operational resiliency, refer to the complete white paper, Operational Resiliency: Elevating the Role of the ISO.

18 Jul 2024

Banks, Compliance, Credit Unions Christine Ray 0 comment

Ask the Experts: Get Reliable Answers to Your Risk Management Questions on ComplianceGuru.com

We are excited to announce the relaunch of ComplianceGuru.com. For over a decade, Safe Systems’ Compliance Guru site has been a trusted resource for community banks and credit unions providing essential insights on regulatory trends and compliance best practices.

We’ve reimagined it to be more interactive, allowing you to ask questions directly to our FFIEC risk and compliance experts, addressing risk management topics and concerns most relevant to your institution. You can also learn what your banking peers are concerned about and leverage the advice from our team to strengthen your security posture.

Since launching the new site, our Gurus have answered questions about Ransomware Self-Assessment Tool (RSAT) 2.0, NIST Cybersecurity Framework (CSF) 2.0, and work area security.

Here is a sample of what they’re saying about these important topics:

RSAT 2.0: A Proactive Approach to Ransomware Threats

Financial institutions are increasingly targeted by sophisticated ransomware attacks. To mitigate these risks, the RSAT (Ransomware Self-Assessment Tool) was developed to support banks and credit unions in their cybersecurity efforts. Originally released in October 2020, this tool was a collaborative initiative by the CSBS (Conference of State Bank Supervisors), the BECTF (Bank Electronic Crimes Task Force), and the U.S. Secret Service.

The updated version, RSAT 2.0, released in October 2023 was designed to address emerging ransomware attack vectors.

Some key questions surrounding RSAT 2.0 that financial institutions have been asking:

Are financial institutions required to complete RSAT 2.0?
Who should be involved in completing this self-assessment tool?
How does RSAT 2.0 differ from its predecessor?

NIST CSF 2.0: Modernizing Cybersecurity Frameworks

The National Institute of Standards and Technology (NIST) Cybersecurity Framework (CSF) is a foundational guideline for improving the security and resilience of critical infrastructure. It provides a structured approach for assessing your institution’s security posture across five components: Identify, Protect, Detect, Respond, and Recover. NIST CSF 2.0 represents the latest iteration, incorporating lessons learned and adding a sixth component, Governance.

Here are some important questions you and other institutions may be asking about CSF 2.0:

How can CSF 2.0 address current cybersecurity challenges?
What resources are available to implement CSF 2.0?
How can CSF 2.0 be integrated into your institution’s existing risk management framework?

Compliance Guru offers reliable and informed answers to these and other IT, cybersecurity, and information security challenges. It is an invaluable resource offering guidance and tools to help community banks and credit unions like yours enhance cyber resilience.

We invite you to subscribe to this new platform to stay informed and discover best practices that better position your institution to protect customer data and ensure compliance with important federal and state regulatory guidance.

And by the way, we’re offering a limited number of $50 gift cards* to valid U.S. financial institutions that submit risk management questions on ComplianceGuru.com. So, submit your questions today!

Ask the Gurus for a Chance to win!

* Contest Rules

To qualify for the $50 gift card, your financial institution must be a valid U.S. financial institution that submits a question on ComplianceGuru.com. Questions must be relevant to risk management topics, including but not limited to IT, cybersecurity, information security, and third-party.

11 Jul 2024

Banks, Credit Unions, Technology Jamie Davis 0 comment

Enhance Your DR Plan: Key Testing Strategies

Disaster recovery (DR) planning is fundamental to maintaining operational resilience within financial institutions. It ensures that essential functions can be restored rapidly following a disruptive event, minimizing operational interruptions and financial losses.

DR Testing helps organizations understand how well their Disaster Recovery plan would work if an actual disaster were to occur. Here are some essential guidelines for conducting effective disaster recovery testing.

Exercise vs Test

Both exercises and tests are crucial for validating procedures in your Business Continuity Plan (BCP) and Disaster Recovery Plan (DRP) plan, but they serve different purposes:

Exercise: A procedure designed to validate one or more aspects of your BCP or DRP. A common exercise is a structured walk-through (“table-top”) where stakeholders go through each step and component outlined in the plan. This guarantees that everyone involved is aware of their responsibilities during an emergency. It can also help uncover inconsistencies, missing information, or errors in the plan.
Test: A form of exercise that measures the performance or reliability of your system resilience in a simulated environment. For example, simulating the recovery of your communication lines, servers, and applications is a DR test.

The Cost of Downtime

Financial institutions should be acutely aware of the high costs associated with downtime. According to Emerson Network Power, the average cost of data center downtime across industries increased a staggering 41 percent since 2010. Furthermore, CA Technologies reports that financial institutions face an average annual revenue loss of $224,000 due to downtime. These costs may vary according to institution size, but the key takeaway is that any amount of downtime can lead to lost revenue. This underscores the importance of rigorous and regular disaster recovery testing.

FFIEC Guidelines

The Federal Financial Institutions Examination Council (FFIEC) provides clear guidance on disaster recovery tests and objectives. The council states, “Management uses tests to determine whether system resilience conforms to the BCP and stated recovery objectives.” Here are three critical metrics to consider:

Recovery Point Objective (RPO): The most recent backup you can safely retrieve following a disruptive event.
Recovery Time Objective (RTO): The minimum time necessary to restore your services after a disruption.
Maximum Tolerable Downtime (MTD): The longest duration your institution can afford to be down before its future is at risk.

FFIEC expects institutions not only to define but also to test these recovery objectives. If a recovery objective falls short during testing, it should be reevaluated and adjusted accordingly.

A Comprehensive Checklist

Disaster recovery testing is essential for minimizing downtime during adverse situations. However, these tests are only as effective as the practices behind them. It’s crucial to follow a consistent and thorough testing process that includes:

Critical Business Functions: Confirm that systems can support vital business processes in an emergency, including alternative site transfers, increased workloads, manual workarounds, and communication timelines.
Technological Integration: Integrate technologies that support essential business activities, such as data replication, recovery, and off-site storage.
Backup Data Testing: Regularly test backup data integrity and availability.

Post-testing Evaluation

During testing, if a recovery objective does not align with actual capabilities, you should always reevaluate that particular objective. It’s also important to consider dependencies within processes. For instance, some processes with shorter RTOs, such as lending processes, may hinge on those with longer RTOs, like the lending server’s restoration time. It is also important to remember that the evaluation of the DR tests is not only to determine whether the plan is appropriate for current needs but anticipated future needs, too.

Managed DR Testing

For many institutions, outsourcing disaster recovery testing to experts like Safe Systems can streamline the process, ensuring compliance with industry standards and focusing internal resources on core business operations.

Disaster recovery testing is more than a regulatory requirement-it is a vital practice to ensure the continuous operation and financial well-being of your institution

By following these guidelines and leveraging expert services, you can ensure that your organization is prepared to respond to any disruptive event.

To equip your team with an outline of these essential testing strategies, download our infographic: Guidelines for Disaster Recovery Testing” infographic today

27 Jun 2024

Banks, Credit Unions, Technology Jamie Davis 0 comment

Leveraging Cloud Technology for Disaster Recovery

Community banks and credit unions must stay prepared to handle unforeseen disruptions. A comprehensive disaster recovery (DR) solution is essential to ensuring financial institutions maintain operational continuity, meet regulatory requirements, and safeguard customer data. Cloud technology has emerged as a key player in modern disaster recovery strategies, providing cost-effective, secure, and scalable solutions.

Benefits of Cloud-based DR

Moving critical servers to the Cloud as virtual machines enables financial institutions to meet disaster recovery (DR) needs more cost-effectively. Traditional DR setups typically require significant investments in physical infrastructure, maintenance, and personnel, but cloud solutions eliminate the need for a dedicated DR data center, reducing both capital and operational expenditures. Additionally, cloud technology offers scalability that on-premises solutions can’t match, providing the flexibility to adapt to an institution’s evolving requirements. Whether your bank or credit union is expanding services or increasing data volumes, cloud-based DR solutions can scale to meet specific needs without requiring significant overhauls.

These cloud-based DR solutions are high-availability systems designed to rapidly recover critical servers, ensuring institutions can minimize downtime and maintain business continuity.

Managed Site Recovery

Safe Systems’ Managed Site Recovery service is a fully managed, secure data replication and failover solution built specifically for community banks and credit unions. Since each institution’s needs differ, we customize the DR solution to align with your specific requirements. Here are some other advantages to our cloud-based DR solution:

1. Meet Compliance and Examiner Requirements:

Managed Site Recovery helps institutions meet Business Continuity Plan (BCP) and Recovery Time Objective (RTO) requirements. Our service includes an annual DR test with an annual DR test with a comprehensive result write-up demonstrating a credible and robust DR strategy to examiners. According to Chris Bailey, Network Security Administrator at Bank of Cleveland, “The examiners were very pleased with how Safe Systems laid out the results and were also impressed with the fact that the test was being done by a third-party entity outside of our organization.”

2. Provide Secure Data Replication and Failover:

Our service offers strong and secure data replication with cloud server vaulting, ensuring geographically varied data center backups. This guarantees the availability of crucial business data and applications during unexpected business interruptions. Like other cloud-DR solutions, Managed Site Recovery provides expedited recovery periods to lessen disruptions and maintain operational continuity. Distinctively, it includes a team of third-party specialists available to consult on DR procedures, ensure ongoing backups and routine testing within proper timelines, and serve as an extension of your staff in the event of a disaster.

3. Save Time and Money:

Managing a DR failover data center can be complex and costly. Managed Site Recovery removes this burden, allowing your institution to focus on its core functions. By leveraging our compliant, cloud-based disaster recovery service, your bank or credit union can also meet DR requirements and ensure rapid recovery of critical servers at a fraction of the cost.

Cloud technology has revolutionized the approach to DR, offering cost-effective, scalable, and secure solutions. Safe Systems’ Managed Site Recovery service is a cloud-based DR solution that addresses the unique needs of financial institutions, helping them stay compliant, secure, and operationally resilient. This service ensures your institution can achieve peace of mind, knowing your critical data and applications are protected against disruptions, and your test results will stand up to examiners’ scrutiny.

Ready to learn more about Managed Site Recovery? Visit Disaster Recovery Service for Financial Institutions

13 Jun 2024

Banks, Compliance, Credit Unions, Technology, Uncategorized Jamie Davis 0 comment

Resilience and Recovery: BCP and DR Essentials

The importance of disaster preparation cannot be overstated for financial institutions. These institutions must be ready for the unexpected, whether it’s a natural disaster, pandemic, or cyber-attack. If your financial institution’s systems went down, how quickly could you restore operations? Ensuring swift and efficient recovery depends on having solid Business Continuity Plans (BCP) and Disaster Recovery (DR) plans.

BCP and DR are both critical components of the overall Business Continuity Management (BCM) process, which also includes resilience, emergency response, crisis management, and third-party integration. The Federal Financial Institutions Examination Council (FFIEC) guidelines emphasize the need for institutions to adopt an enterprise-wide, process-oriented approach to business continuity. This strategy aims to ensure that financial institutions are not just prepared to recover but are also resilient enough to withstand disruptions.

Key Differences Between BCP and DR

You might wonder why both a Business Continuity Plan and a Disaster Recovery Plan are necessary. While they are closely related and designed to work in tandem, they serve different purposes. A BCP outlines the strategies and protocols that enable a financial institution to continue operations during and immediately following a disaster. In contrast, a DR plan focuses on restoring critical data and applications so the institution can operate normally.

BCP:

A plan to continue business operations.
Consists of a business impact analysis, risk assessment, and an overall business continuity strategy.
Includes pandemic planning as part of its overall strategy.

DR:

A plan for accessing required technology and infrastructure after a disaster.
Involves evaluating backups and ensuring necessary redundant equipment is up-to-date and functional.

Both plans require regular testing and maintenance to ensure they are effective. The BCP test, often a tabletop exercise, ensures employees know their roles during a disaster. The DR test is more hands-on, confirming that backup technologies can restore operations within the Recovery Time Objective (RTO).

7 Tips to Prepare for Disasters or Business Interruptions

Existing BCP and DR plans are crucial, but beyond that, several additional steps can further prepare your institution for various disruptions. Below are 7 best practices. Read the full white paper, BCP and DR Plans: What Every Financial Institution Needs to Know, for more.

Monitor the success of backups and replication services.
Utilize Uninterruptible Power Supplies (UPS) for short-term outages.
Safeguard critical equipment by preemptively shutting it down if an extended outage is anticipated.
Secure the server room and ensure all equipment is protected.
Ensure ATMs are for customers that need access to cash.
Verify key employees have someone to step in if they are unavailable.
Validate and test the BCP and DR plans at least annually to ensure they are up-to-date and effective.

Choosing to Manage BCM In-house or with an IT Partner

Preparing for or recovering from a disaster can be challenging for some community financial institutions that often lack IT resources. When choosing an in-house disaster recovery solution, they face technical and time-consuming processes, which can strain limited IT staff. When outsourcing, institutions can choose a local provider for convenience, but these providers may have little financial services expertise posing its own set of difficulties. When in-house resources or local expertise are limited, another alternative is partnering with a national managed services provider that specializes in the banking industry. This offers several benefits, including streamlined processes, improved disaster preparedness, and dedicated DR support.

However an institution chooses to manage DR and BCP, it is essential to develop, implement, and regularly test disaster recovery and business continuity plans. Though daunting, using automation and outsourcing services can ease the maintenance burden and ensure compliance with evolving regulations.

To learn more about resilience and recovery, read our white paper, BCP and DR Plans: What Every Financial Institution Needs to Know.

If you’re unsure whether your institution is BCM ready, consider a complimentary plan review to ensure your BCP and DR plans are up to date and fully compliant,

06 Jun 2024

Banks, Credit Unions The Safe Systems Compliance Team 0 comment

The Expanding Role of ISOs – Enhancing Security & Risk Management

For financial institutions of all asset sizes and complexity of products and services, maintaining cyber preparedness is a daunting task against increasing cyber threats, reliance on third-party vendors, and ongoing personnel changes.

ISOs are tasked with augmented duties to enhance visibility and accountability in protecting non-public information and financial transactions across all business lines. This article highlights some of the evolving complexities of the ISO role, including the heightened management of third-party relationships, improved reporting to boards and stakeholders, and thorough risk assessments of projects and third-party entities. For a more in-depth examination of this topic, read our new white paper, Operational Resiliency: Elevating the Role of the ISO.

Third-party Risk Management

In response to the evolving reliance on trusted third-party service providers, federal bank regulatory agencies released new third-party risk management guidance in June 2023. This guidance is intended to help financial institutions manage risks associated with third-party relationships more effectively, including those involving key technology service providers like financial technology (FinTech) partners. It emphasizes risk management throughout the life cycle of third-party relationships, from planning and due diligence to contract negotiation, ongoing monitoring, and termination.

The heightened regulatory emphasis on third-party risk management requires additional time and attention to vet and oversee these relationships effectively. Institutions are increasingly adopting automated third-party management tools as a strategic solution to aid the Information Security Officer and other management personnel. These application-based tools facilitate tasks such as risk ranking, control assignment, and due diligence reviews to designated “vendor managers” within particular departments or functions. Utilizing these tools is advantageous in facilitating a consistent approach among stakeholders to manage the risk of third-party relationships.

Governance and Communication

Clearly defined IT and information security roles and responsibilities are required for every Financial Institution. Information technology is now a part of every department and function within a financial institution and integrates into every facet of operations. Effective management necessitates breaking down silos between IT and ISO roles and fostering regular and clear communication to ensure everyone is aligned on the security posture of the organization. Strategies ISOs can use include frequent updates to key internal stakeholders, leveraging external Virtual ISO (VISO) services, and adopting consistent frameworks for periodic, meaningful communication.

Strategic Initiatives Risk Assessment

The ISO also must play a role in the institution’s strategic IT planning. They should be involved early in assessing risks associated with new initiatives and third-party services, ensuring alignment with overall business goals and adequate preparation for potential cyber threats or operational disruptions.

As institutions navigate these increasingly complex regulatory and cyber landscapes, the role of the ISO has never been more critical. With the growing reliance on technology and third-party services, ISOs must rise to the challenge of safeguarding sensitive information and ensuring compliance with evolving guidelines.

For a deeper understanding of the complexities and evolving expectations surrounding an ISO in today’s dynamic environment, read the complete white paper: Operational Resiliency: Elevating the Role of the ISO.

30 May 2024

Banks, Compliance, Credit Unions The Safe Systems Compliance Team 0 comment

Beyond the FFIEC CAT: Evolving Strategies for Cyber Resilience in 2024

As cyberattacks continue to increase in frequency and impact, incorporating a dynamic cybersecurity strategy and building resilience to cyber-attacks is an important objective for all Financial Institutions (FIs). As a part of our country’s critical infrastructure, banks and credit unions are held to high regulatory standards for keeping NPI and financial transactions secure. This is why in 2015 the Federal Financial Institutions Examination Council (FFIEC) developed a Cybersecurity Assessment Tool (CAT) with FIs in mind. For the past nine years, many FIs in the United States have used the CAT annually to identify changes in inherent risk that may lead to cyber vulnerabilities. They also use it to assess both control maturity and cybersecurity readiness over time. The CAT continues to be an acceptable cyber preparedness tool, but many FI’s are wondering, “is the CAT enough?”

Cybersecurity Resource Guide

In 2018, the FFIEC issued a Cybersecurity Resource Guide to expand acceptance of other cybersecurity frameworks and resources, including websites, tools, and methodologies like NIST Cybersecurity Framework 1.0. Designed to strengthen resiliency, it was updated in 2022 to address changes in the cyber landscape and emerging threats such as ransomware. One of the resources in the updated guide is the Ransomware Self-Assessment Tool (RSAT). The Bankers Electronic Crimes Task Force, State Bank Regulators, and the United States Secret Service collaboratively developed the RSAT. This question-based tool assists FIs in evaluating their efforts to mitigate specific ransomware risks and identify security gaps.

The overarching message of the FFIEC’s Cybersecurity Resource Guide is that FI’s should not “over-rely” on a single methodology for measuring control maturity and cybersecurity preparedness but should integrate a dynamic cyber security strategy for long-term resilience.

NIST Cybersecurity Framework (CSF) 2.0

In February 2024 another update was released, NIST CSF 2.0, which underscores the importance of a solid governance structure within an organization’s cybersecurity strategy. The release includes a sixth function, ‘Govern,’ which highlights the importance of developing well-defined internal management roles and clear policies and procedures to assess and prioritize risk. This function incorporates the increased focus from regulatory agencies on third-party risk management and provides implementation examples.

The emphasis on governance is a reminder of the ongoing challenge that many financial institutions, particularly smaller community banks and credit unions, face with dedicating resources to the role of the Information Security Officer. The updated CSF presents an opportunity for institutions of all sizes to re-assess inherent cyber risks and consider internal infrastructure changes that could impact cyber resiliency. This type of re-evaluation is critical especially when significant roles in IT or information security management frequently change due to retirement, leave, or other job shifts. By emphasizing governance and risk management policies, CSF 2.0 provides banks and credit unions a framework to evaluate their cybersecurity preparedness, while also providing a strategic edge in the continuous fight against cyber threats.

As financial institutions continue efforts to combat the growing number and sophistication of cyberattacks, a renewed cybersecurity strategy based on the use of the FFIEC CAT along with other enhanced resources such as the RSAT 2.0 and NIST CSF 2.0 could make significant strides to improve cyber resiliency.

For more information on these and other critical factors of cybersecurity management, download and watch our recent webinar, Protect, Detect, and Respond: Prioritizing Cybersecurity Management in 2024.

23 May 2024

Banks, Credit Unions Jamie Davis 0 comment

7 Best Practices to Secure Your Printers

It’s just a printer, right? A printer might seem inconsequential, but securing all networked devices, including printers and multifunction devices (MFDs), is vital to safeguarding sensitive information within any financial institution. Consider the non-public information sent to your printers daily—overlooking these devices in your security strategy can lead to significant risks. Here are some key practices to enhance the security of these everyday devices:

1. Firmware Updates

Regular firmware updates are essential for maintaining the security and functionality of printers and MFDs. Manufacturers periodically release updates to fix vulnerabilities, enhance features, and improve performance. Without these updates, devices can become susceptible to security breaches. It’s necessary to schedule regular checks for firmware updates and apply them promptly to protect your devices against the latest threats. Some printing solutions provide firmware management and reporting as part of their contract, which is a great way to stay on top of these devices.

2. Supported Devices

It is important to ensure your institution uses supported devices for its printers and MFDs. Manufacturers provide ongoing support, including updates and patches, for current models. Using outdated or unsupported devices means missing out on these critical updates, leaving your network vulnerable to attacks. Ensure all printers and MFDs in use are within the manufacturer’s support lifecycle. When evaluating supported devices, don’t forget about ancillary devices used by remote workers.

3. Secure Print

Secure print features protect sensitive documents from unauthorized access. This involves requiring users to authenticate at the printer before their documents are printed. Implementing secure print can prevent confidential information from being left unattended in output trays, reducing the risk of data leaks.

4. Set Rules for Internal Hard Drives

Many modern printers and MFDs come with internal hard drives that store documents and other data. Establishing strict rules for the management and use of these hard drives is crucial. This includes encrypting data, restricting access to authorized personnel, and setting up automatic deletion policies for files stored on the hard drives. Many of these devices allow for immediate deletion, daily deletion, or even yearly deletion. Proper management ensures that sensitive information is not inadvertently exposed.

5. Certification of Hard Drive Status

When a printer or MFD reaches the end of its life cycle or is being repurposed, it’s vital to certify the status of its internal hard drive. This involves securely wiping or destroying the hard drive to ensure no residual data can be recovered. Certification provides assurance that all stored data has been properly eradicated, preventing potential data breaches.

6. Use Manufacturer Ink Cartridges Only

While third-party ink cartridges seem like a cost-effective alternative, they can pose security risks. Manufacturer ink cartridges are designed and tested to work seamlessly with specific devices, ensuring optimal performance and security. That’s right, ink cartridges can be a security risks. Watch this video about HP printers and ink cartridges to understand the threat and recognize that it is real for all brands.

7. Location of Printers

The physical location of printers and MFDs within your office environment can also impact security. Placing these devices in secure, monitored areas reduces the risk of unauthorized access. High-traffic areas or locations accessible to the public should be avoided. Additionally, consider implementing surveillance and access control measures to enhance physical security.

Securing printers and MFDs is a critical component of a financial institution’s network management and overall security strategy. By following these seven best practices, you can significantly reduce the risk of data breaches and ensure the integrity of your network. Taking these steps will help safeguard sensitive information and ensure banking operations continue to run smoothly.

09 May 2024

2024 05 08 How to Successfully Manage IT Admins

Banks, Credit Unions, Technology Jamie Davis 0 comment

How to Successfully Manage IT Administrators

IT administrators are pivotal in managing daily IT operations that often play a broader role in strategic initiatives within financial institutions. Their responsibilities stretch from maintaining computer infrastructures and leading IT teams to ensuring robust network security. Effectively managing this multidimensional role requires an appropriate balance of empowerment and checks to create a framework that supports operational success and alignment with the institution’s goals. This blog explores integral strategies that can enhance the effectiveness of IT personnel.

Strategy #1: What to Do When an IT Admin Leaves

The departure of an IT administrator presents a unique set of challenges. It is crucial to immediately change passwords and disable accounts, including all administrative or elevated control accounts to secure the network and data. Developing comprehensive offboarding protocols, like documentation of processes and securing all assets, ensures continuity and security.

Strategy #2: Qualities to Look for When Recruiting

Look for candidates with a blend of technical expertise, problem-solving skills, and strong communication abilities. Potential IT Administrators should also demonstrate effective project management skills and adaptability to handle the dynamic needs of a financial institution.

Strategy #3: Expectations within the First 30 Days

The initial days for any new IT administrator should focus on understanding the institution’s IT framework and security protocols. Tasks like security audits, reviewing network infrastructures, and ensuring compliance with existing IT policies are crucial during this phase.

Strategy #4: Ensuring On-going Success

To assess the effectiveness of a new IT administrator, institutions should first monitor their transition. A new IT Administrator must be able to comprehend and efficiently manage the IT infrastructure quickly with minimal interruptions to operations and staff. They must master the basics such as managing controls, installing and reviewing patches, and conducting regular backups and disaster recovery tests.

Strategy #5: Outsourcing During an Absence

To ensure continuity, institutions can outsource critical IT functions during an administrator’s vacation or leave. Services like network monitoring, data replication, and regulatory reporting can be managed by third-party providers, ensuring uninterrupted operation.

Strategy #6: Succession Planning

Effective succession planning is vital, especially for smaller institutions. This strategy involves cross-training staff and partnering with external IT service providers to ensure a seamless transition and continued operation upon the exit of key IT personnel.

Strategy #7: Keeping Up with Current Trends

Staying updated with the latest in security, technology, and regulatory changes is essential for IT administrators. Awareness of emerging threats and technological innovations helps in proactively managing the institution’s IT landscape and compliance posture.

Managing IT administrators involves a strategic approach that not only focuses on filling the immediate gaps but also on long-term operational continuity. Partnering with knowledgeable IT and security managed service providers can offer additional support to enhance the effectiveness of IT personnel and ensure sustained institutional success.

For more details on implementing these approaches, fostering a strong relationship between IT and Information Security teams, and keeping up with changing regulatory guidance, read
7 Strategies for Successfully Managing IT Administrators.

18 Apr 2024

Banks, Credit Unions, Technology Jamie Davis 0 comment

Seven Pitfalls of Having a Single Employee Managing Your Banking IT Infrastructure

For community banks and credit unions, effective management of banking IT infrastructure is crucial. It ensures a streamlined operation, seamless customer experience, and data security. However, relying solely on a single employee, or even a small team, to handle all aspects of network management can lead to a host of pitfalls. Let’s explore these challenges and how augmenting your resources can help you effectively manage your network.

1. Limited Expertise

It can be challenging for a single IT administrator to possess extensive expertise across all areas of network management. This person may excel in certain technical aspects like patch management, system corrections, or overall performance enhancement, but struggle to keep up with cybersecurity and regulatory reporting requirements. Not having a full understanding of any part of the process can compromise the system’s efficiency and the institution’s security.

2. Absence of Oversight

Having a single employee who is solely responsible for managing the entire banking IT infrastructure creates a lack of oversight. Without proper checks and balances, a single IT administrator could inadvertently make a critical mistake. This concentration of power can also make the system vulnerable to biases or manipulation, potentially leading to an overinvestment in technology.

3. Lack of Redundancy

Imagine a situation where your lone IT administrator falls ill, takes vacation, or leaves the organization suddenly. Without a backup plan in place, your network management may come to a halt. This leads to a long-term lack of continuity that can be detrimental to your banking operations, resulting in downtime, delayed responses, and frustrated employees and customers.

4. Insufficient Shared Knowledge

Having the keys to your network held by a single individual can create a knowledge silo. In an attempt to “just make it work”, a sole IT administrator may build scenarios that only they understand and know how to operate. This can cause significant bottlenecks, delays in the workflows, or more serious disruptions when this person is unavailable or no longer with the institution.

5. Inability to Keep Up with Evolving Technology

Technology is advancing at a rapid pace, and banking IT infrastructure needs to keep up. A single employee may find it challenging to stay updated on the latest network management tools, advancements in security protocols, and the changing regulations that accompany them. This can leave your organization vulnerable to cybersecurity threats, non-compliance penalties, and missed opportunities for optimization.

6. Increased Workload and Stress

The immense pressure and responsibility of managing an entire banking IT infrastructure single-handedly can be overwhelming. Without the benefit of support and peer collaboration, there’s a greater likelihood of errors or negligence in critical matters. The workload and stress can also lead to burnout, decreased productivity, and compromised decision-making.

7. Limited Multi-Site Management Capabilities

Many community banks and credit unions have multiple branches or offices. When a single employee or possibly a small team is tasked with managing a network that covers different locations, they may struggle to maintain continuity or provide efficient network monitoring and reporting. These limitations can make it difficult to track performance and may cause delays in addressing issues across systems.

Opting for an outsourced network management solution can enhance your network performance significantly. Your institution can benefit in multiple ways, such as broadening its expertise, increasing flexibility and scalability, and empowering your in-house team to focus on their vital competencies. Your community bank or credit union will also ensure that it’s always at the forefront of technological advancements.

NetComply One by Safe Systems is a tailored network service for community banks and credit unions, offering affordable technical support, security controls, and network management tools. Its features include proactive monitoring, patch management, training, strategic guidance, and regulatory compliance assistance. It’s designed to boost IT staff effectiveness and ensure efficiency.

For more details on why banks and credit unions like yours choose a managed network solution, check out this infographic!

04 Apr 2024

Banks, Compliance, Credit Unions, Uncategorized Jamie Davis 0 comment

Top 10 Benefits for Financial Institutions to Outsource Network Management

Ensuring that your network is up and running smoothly is crucial to the success of your community bank or credit union. However, managing today’s complex networks can be time-consuming and resource-intensive. This is where working with a managed service provider can offer tremendous benefits. Let’s explore the top 10 advantages of outsourcing your network management:

1. IT Expertise

You gain access to a team of IT professionals with specialized expertise in network administration for financial institutions. These experts can serve as an extension to your team and are available regardless of internal personnel shifts, such as vacations, sick days, short/long-term leave, etc. This creates continuity, ensuring your network always operates at peak performance.

2. Network Uptime

Network downtime can be detrimental when it disrupts customer service and normal business operations. Outsourcing can minimize this risk through proactive monitoring and faster response times. In addition, staff may be focused on other responsibilities and can miss alerts that could lead to a network disruption. With an outsourced solution in place, alerts are monitored, captured, and prioritized to prevent small issues from becoming larger.

3. Enhanced Reporting

Accessing customizable dashboards and real-time reporting offers your institution invaluable insights into the effectiveness of your controls. It also aids in the detection and resolution of potential issues. Leveraging a managed service provider well-versed in the financial landscape who can furnish appropriate reports enhances your readiness for exams and audits.

4. Event Log Monitoring

Manually monitoring and analyzing logs can be an overwhelming, if not impossible undertaking. A managed service provider can help you evaluate all event logs to determine which activities need further investigation or action to enhance network security.

5. Scalability

As your financial institution grows, so does the complexity of your network. An outsourcing partner can help you scale your network according to your institution’s changing needs and ensure it has the bandwidth to keep up with your organization.

6. Core Competencies

Outsourcing your network management allows you to focus on what you do best – serving your customers and your community. By delegating network-related tasks to outsourced professionals, your IT staff can spend less time on routine, repetitive tasks and have more time to help front-line employees and concentrate on core competencies.

7. Improved Security

Network security is of utmost importance for financial institutions as they handle sensitive customer information. A network management service equips you with a dedicated security team that is up-to-date with the latest security measures. They can put into place strong security protocols, conduct routine patch management, and respond quickly to security threats.

8. Cutting-Edge Technology

Keeping up with the rapidly evolving technology landscape can be challenging. Outsourcing means you can leverage tested state-of-the-art tools and technologies. A managed provider constantly updates their systems and stays on top of emerging trends, ensuring that your network is using the best technology available.

9. Regulatory Compliance

Financial institutions must adhere to strict regulatory requirements and a reputable managed service provider will help you review systems reports, discuss controls assessments, and prepare for exams and audits. You will have more confidence in knowing your network is properly adhering to its operational, security, and compliance policies and procedures.

10. Peace of Mind

Perhaps the most significant benefit of outsourcing your network management is the peace of mind that it brings. Knowing that your network is in capable hands allows you to worry less and focus more on your day-to-day banking activities.

From dedicated IT expertise and increased network uptime to substantial reporting capabilities and improved security and compliance, outsourcing network management allows your financial institution to focus on your core competencies. By entrusting network responsibilities to reliable experts, you can feel confident that your network will operate seamlessly, providing a reliable and secure platform for your customers and community.

NetComply One is a network management service that includes a dedicated strategic advisor to help with technical support, training, guidance, and regulatory compliance assistance. Learn more about outsourcing your network management solution.

14 Mar 2024

Banks, Compliance, Credit Unions The Safe Systems Compliance Team 0 comment

Strengthening Financial Cybersecurity: Navigating the Upgrades in RSAT 2.0

In today’s rapidly evolving digital landscape, cybersecurity remains a critical concern for financial institutions. With increasing reliance on technology and expanding risk of exposure through Third-party service providers and electronic banking services, the threat of ransomware attacks continues to pose significant risks to the security, confidentiality, and integrity of financial data. The Ransomware Self-Assessment Tool Version 2.0 (RSAT 2.0) emerges as an important resource for institutions seeking to strengthen their defenses against such cyber threats.

The updated version of RSAT is designed to reflect the latest developments and regulatory insights, incorporating feedback from previous ransomware victims to enhance industry-wide resilience. Key enhancements in RSAT 2.0 include a rigorous examination of cloud-based service provider relationships, an emphasis on multifactor authentication implementations, strategic employee cyber awareness training, and robust incident response testing.

Highlights of Key Enhancements:

These updates underscore the importance of a comprehensive approach in safeguarding against the dangers of cyberattacks and reflect regulatory expectations.

Cloud-based data management – The tool demands a broader understanding of cloud providers and data flows, especially concerning data housed in locations outside the U.S., as well as compliance with international privacy regulations like GDPR.
Multifactor authentication – Another notable emphasis is the expanded focus on multifactor authentication (MFA). RSAT 2.0 seeks specific details regarding the types of MFA in place, its application across systems, and plans for future enhancements. This reflects the increasing recognition of MFA as a critical defense layer against unauthorized access.
Employee cyber awareness training – A third area receiving heightened attention is cybersecurity awareness training. With human error being a significant factor in security breaches, RSAT 2.0 stresses the need for comprehensive and role-based cybersecurity training. Financial institutions are encouraged to tailor training to different audiences within the organization, ensuring relevance and effectiveness.
Incident response testing – The new version of the tool queries institutions on their incident response testing, particularly the involvement of executive management. This inclusion highlights the importance of leadership engagement in cybersecurity readiness and incident management. Additionally, procedures for validating clean data backups are underscored, emphasizing the role of data integrity and availability in recovery efforts.

Financial institutions are provided with a valuable opportunity to self-assess their readiness to deal with the threat of ransomware in the form of RSAT 2.0.

The enhanced RSAT 2.0 is not merely a checklist but a comprehensive framework that encourages financial institutions to delve deeper into their cybersecurity posture. This self-assessment can help institutions identify areas for improvement and make informed decisions about their cybersecurity management strategies.

For more information on the RSAT 2.0 and other critical factors of cybersecurity management, such as NIST CSF 2.0, Third-party Relationship Management, and more, download and watch our recent webinar, Protect, Detect, and Respond: Prioritizing Cybersecurity Management in 2024.

08 Mar 2024

Banks, Compliance, Credit Unions, Uncategorized The Safe Systems Compliance Team 0 comment

The Crucial Role of Cybersecurity Management in 2024

As we reflect on the challenges of 2023 and the growing reliance on cloud providers in the financial industry, it is clear that cybersecurity management is more important than ever. With the increasing threat of cyberattacks and the need to protect customer information and financial transactions, community financial institutions must prioritize cybersecurity to ensure the safety and trust of their customers.

In our recent webinar, our IT and Information Security experts discussed cybersecurity management with areas of emphasis on the importance of understanding third-party risk management, the new version of the Conference of State Bank Supervisors (CSBS) Ransomware Self-Assessment Tool (RSAT 2.0), and lessons learned from exams and audits in 2023. This post explores some of the key highlights.

NIST Framework and the Arrival of CSF 2.0

The National Institute of Standards and Technology’s Cybersecurity Framework (NIST CSF) is a valuable resource for organizations to manage and reduce cybersecurity risk. This framework continuously integrates lessons learned and best practices while retaining its core functions: Identify, Protect, Detect, Respond, and Recover. The recently updated CSF 2.0 includes the introduction of a sixth function, ‘Govern,’ underscoring the importance of clear role definitions, policies, and risk prioritization procedures within cybersecurity programs. It also provides improved guidance on implementation, ensuring that organizations are equipped to address the latest cybersecurity challenges.

Critical Third-party Relationship Management

Third-party risk management is crucial as financial institutions are increasingly relying on third and fourth parties. Interagency guidance underscores the importance of understanding the impact and interaction levels of these relationships on operations and customers. Financial institutions are encouraged to establish sound methodologies for comprehensive oversight of the activities surrounding third parties. This includes a thorough understanding of third-party business processes and systems as well as an understanding of the risks and benefits before contract execution. As financial institutions move forward with third-party relationships, they must also exert pressure on their service providers to ensure adherence to strong cybersecurity standards to effectively safeguard the interests of the financial institution and ultimately its customers.

Importance of the Ransomware Self-Assessment Tool (RSAT 2.0)

The Ransomware Self-Assessment Tool (RSAT) version 2.0 represents a significant step forward in helping financial institutions fortify their defenses against ransomware attacks. The latest version is developed through the integration of feedback from institutions that have been impacted by ransomware, ensuring that the tool remains relevant and effective as this type of malware continues to evolve. With a focus on cloud-based service providers, RSAT 2.0 emphasizes the importance of understanding the flow of data, particularly in environments outside the U.S., and how it is subject to various privacy regulations like GDPR. Furthermore, RSAT 2.0 places increased emphasis on multifactor authentication (MFA) and employee cyber-awareness, reflecting the industry’s recognition of the critical role these factors play in strengthening cybersecurity postures.

Key Lessons Learned from Exams and Audits

A few of the biggest areas of scrutiny that we’re seeing from recent IT exams and audits include:

Asset Management – paying attention to asset lifecycles and end-of-life risks as well as implementing robust authentication methods that govern customers who are logging into electronic banking applications
Change Management – establishing baseline standards and auditable procedures for change requests and appropriate reporting for project management and cost overruns
Data Recovery – periodically rotating through your critical servers and restoring data so that you can ensure the effectiveness, integrity, and availability of that data
Increased Incident Response Testing and Training – conducting testing as frequently as possible over different threat scenarios, documenting those tests, and training the employees who are going to be involved in the actual response

For more lessons learned and emerging trends, watch the full webinar recording.

Community banks and credit unions must prioritize cybersecurity management to protect customer information and maintain operational resilience. Enhanced cybersecurity strategies are imperative, urging institutions to adopt a multidimensional approach that incorporates people, processes, and technologies. Regular assessments, third-party risk management, and adherence to cybersecurity frameworks contribute to a proactive defense against cyber threats.

If you have any questions or want to learn more about our complimentary information security review, please visit safesystems.com/review.

08 Feb 2024

Banks, Compliance, Credit Unions Safe Systems 0 comment

The Importance of the ISO Role in 2024

The role of the Information Security Officer (ISO) in financial institutions continues to increase in responsibility and accountability year over year. The security challenges of community banks and credit unions are expanding as data breaches, targeted attacks, and cybersecurity threats become more pervasive. ISOs must be equipped to guide their institution through the complexities of addressing security threats in the current environment. The ISO job function—which should exist as a separate role within the institutions—should go beyond focusing on overall policy development, risk management, and working with high-level executives to also include visibility and accountability for technical activities on internal systems and with technology service providers (TSPs). This ensures that all security strategies are being implemented and managed according to organizational objectives.

Regulatory Expectations and Requirements

While the role can vary among different financial institutions, today’s ISO has leadership responsibilities that involve crucial areas like cyber risk assessment, regulatory compliance, business continuity planning, and incident response. Other key duties include the technology committee and board reporting and preparing for and responding to audits and exams.

In terms of regulatory expectations and requirements, today’s ISO is responsible for proving its institution has met all relevant regulatory requirements and is protecting all the data, records, and personal information of its customers/members. In addition, the Federal Financial Institutions Examination Council (FFIEC) requires all institutions to have a designated ISO that is responsible and accountable for implementing and monitoring the information security program. Although general information security management duties may be shared among various business lines, the ISO is responsible for providing stakeholders and decision-makers with sufficient information to support their oversight efforts.

Augmenting the ISO Role

As today’s ISOs expand their focus beyond conventional information security issues and duties, they will need more expertise and advanced tools to protect their institution against ever-changing cyber threats. The ISO will need to address more complex challenges relating to cloud security, artificial intelligence, and other technological advancements. Many ISOs with community FIs do not have the time, experience, or technology expertise to organize and manage these responsibilities. The good news is that financial institutions can augment any lack of expertise with a Virtual ISO (VISO) solution. A VISO does not remove the need for a resident ISO at the institution, but it can provide valuable expertise, perspective, and assurance that all periodic responsibilities are adequately addressed. Safe Systems’ virtual ISO solution, ISOversight™, offers access to a suite of applications, resources, reporting, and dedicated risk and compliance specialists to help community banks and credit unions manage the myriad of risk management and FFIEC Compliance responsibilities including accountability and visibility for anomalies and exceptions for technology and IT (Information Technology) security activities that could negatively affect non-public information and financial transactions.

Safe Systems is dedicated to sharing knowledge and providing training around this critical role. Our IT and Information Security Compliance experts have hosted numerous “ISO 101” classes and webinars that focus on the requirements of the role within today’s regulatory framework and the accountability factors among the various stakeholders. Our next webinar, “Protect, Detect and Respond: Prioritizing Cybersecurity Management in 2024” will discuss the regulatory trends we saw in 2023 and share real-life experiences to help you enhance cybersecurity management efforts and build resiliency. Join us on Wednesday, February 14 at 2:00 PM ET.

18 Jan 2024

Banks, Compliance, Credit Unions, Security, Technology Safe Systems 0 comment

Top Blogs of 2023

Our Top Blog Posts of 2023

As we begin the new year, it’s a great time to revisit some of the most popular blogs we published in 2023. Our top blogs from last year covered a range of topics, including a cybersecurity outlook, updated third-party risk management guidelines, using conditional access policies (CAPs) and multifactor authentication (MFA) to enhance security within Microsoft Azure Active Directory (AD), and NetConnect 2023. If you didn’t have a chance to read these posts—or simply want to review them—here is a recap of each of them. They offer unique perspectives, best practices, and a wealth of insights that can help your financial institution prepare for greater success in the year ahead.

2023 Cybersecurity Outlook for Community Banks and Credit Unions

Safe Systems’ 2023 Cybersecurity Outlook for Community Banks and Credit Unions revealed valuable peer-to-peer insights that can help financial institutions enhance their security posture. The survey highlights cyber preparedness and budget restraints as top security challenges of more than 50% of the 160 participating financial institutions. It also shared participants’ feedback on other important areas, including prevention and detection security layers; employee security awareness training and testing; and advanced firewall features. For instance, respondents use multiple layers of security, but less than 50% of them combine every security layer listed in the survey. Survey respondents also use a variety of security training—including resource-intensive individual instruction. In addition, most of the survey participants are taking advantage of advanced firewall features, although only 24% of 135 respondents leverage sandboxing technology to detect threats. Read more.

Updated Regulatory Guidelines on Third-Party Risk Management

In June, federal bank regulatory agencies issued updated guidelines to make it easier for financial institutions to manage third-party risks. This new guidance from the Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation (FDIC), and Office of the Comptroller of the Currency (OCC) impacts all banking institutions that use third parties. The majority of statements in the new guidance focus on the planning, due diligence, and contract phases with an emphasis on pre-engagement. Since auditors and examiners will be looking more closely at what happens during the pre-engagement stage, institutions need to place more emphasis on scrutinizing potential third parties. Not all statements in the guidance will apply to all institutions or relationships, so we have developed an interactive checklist designed to walk you through key regulatory requirements of the third-party relationship life cycle. Read more.

Using CAPs and MFA to Enhance Security within Microsoft Azure AD

There was a surge in successful phishing campaigns last year, including sophisticated schemes that were able to bypass MFA. MFA-resistant phishing is a significant threat since this type of attack could impact a vast segment of organizations that rely on Microsoft Azure AD (now known as Microsoft Entra ID) and Microsoft M365 services to support their operations. However, financial institutions can use a variety of measures to prevent cyberattacks, including Conditional Access Policies (CAPs). CAPs, which are foundational to safeguarding identities within Microsoft Entra ID, protect the initial step of the identification chain—the sign-in attempt. To maximize protection, institutions should stack multiple CAPs, such as requiring MFA, denying sign-ins from outside of the USA, and requiring device compliance. When designing CAP logic, they should take a broad approach to the scope of the CAP to impact as many areas as possible. Institutions can take a multi-layered approach to optimizing security by leveraging multiple security tactics, technologies, and resources. Read more.

NetConnect 2023—A Glimpse into the Future of Technology and Compliance

The 2023 NetConnect Customer User Conference brought Safe Systems’ customers, employees, and partners together in Alpharetta, Ga. to discuss banking industry trends, challenges, and innovations. NetConnect 2023 provided valuable insights into banking and technology’s vital role in shaping the industry’s future. With multiple informative sessions, the conference covered the significance of hope in business, changes relating to regulatory compliance, vulnerability management, and Microsoft Azure fundamentals. Read more.

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