As co-operative banks adopt core banking software and digital services, protecting member data and money becomes more important than ever. Many security incidents do not need sophisticated attacks: a shared password, an unpatched computer or a convincing phishing email can be enough. The good news is that a set of consistent, practical habits greatly reduces the risk.
1. Control user access
- Give every staff member their own user ID; never share logins
- Assign rights based on each person’s role, and require approval for sensitive transactions
- Disable user IDs immediately when staff are transferred, retire or leave
- Review user rights and the audit trail regularly
2. Use strong passwords
Insist on strong passwords that are changed periodically and never written on notes near the computer. Lock computers when staff step away from the counter, and set screens to lock automatically after a short period of inactivity.
3. Keep systems updated and protected
- Use licensed operating systems and install security updates promptly
- Install and update antivirus or endpoint protection on every computer
- Restrict the use of USB drives and the installation of unapproved software
- Use a properly configured firewall and secure network equipment
4. Back up and test recovery
Regular backups protect the bank against hardware failure, accidental deletion and ransomware. Keep copies in more than one secure location, including at least one copy that is not permanently connected to the network, and test restoring data periodically. A backup that has never been tested cannot be relied on.
5. Train staff to recognise phishing
Staff should be cautious with unexpected emails, links, attachments and phone calls, especially those that ask for passwords or urge urgent action. Encourage staff to report anything suspicious, and make sure they know whom to contact.
6. Protect members
Remind members regularly that the bank will never ask for their PIN, password or OTP. SMS alerts for every transaction help members notice and report unauthorised activity quickly.
7. Physical security
Keep servers and network equipment in a locked room with power backup and protection against heat and dust. Limit access to authorised persons only.
8. Have a plan
Decide in advance what to do if a system is compromised or unavailable: whom to inform, how to isolate affected computers, how to restore from backup and how to continue serving members. Follow the guidelines and directions issued by the regulators and authorities that apply to your bank.
MITCO supports co-operative banks with secure core banking software, hardware and networking, backup guidance and ongoing technical support and maintenance. Contact us to review your bank’s IT setup.