74% of Financial Institutions See Spike in COVID-Related Threats

Financial institutions are hit hard by COVID-related cybercrime, according to new research from BAE Systems Applied Intelligence.

The index surveyed 902 organizations in the financial services sector and found 74% of respondents have experienced a rise in cybercrime since the pandemic began, with 42% of banks and insurers saying the remote working model has made them less secure.

"We're noticing a clear collaboration emerging between different groups of criminals across the wider landscape of serious and organized crime," says Adrian Nish, Head of Cyber at BAE Systems Applied Intelligence, in a release. "Fraudsters and cybercriminals seek to exploit fear, uncertainty and change, and the pandemic has offered them new opportunities to probe for weaknesses they can monetize and new ways to disguise their activity."

Among the financial institutions that have experienced a rise in threats, 35% saw an increase in botnet attacks, ransomware and phishing attacks. Mobile malware was up 32% and COVID-related malware rose 30% in the sector.

The research also finds 56% of financial institutions have seen a rise in financial losses associated to fraud or cybercrime in last 12 months, with the average cost reaching $720,000 and rising.

A detailed breakdown of the research can be found here.