Increased Adoption of Digital Payment Solutions, Brought on New App Security Challenges for Financial Institutions

The rise in adoption of e-wallet, digital payment and financial transaction solutions through the proliferation of smart mobile devices coupled with faster mobile data connections have brought about new challenges and security concerns for all financial institutions. These ease of payment and money transfer solutions have also attracted the attention of scammers and hackers alike. Financial institutions now need to ensure that their mobile apps are robust and secure as well as the data transfers between the mobile devices and the bank’s systems are not compromised.

Generally, consumers place a higher level of trust on mobile apps from credible sources such as financial institutions and government agencies, and most users uphold the expectation that their data will be kept safe. Yet, these mobile apps are increasingly facing new challenges such as reverse engineering, repackaging, modification, redistribution, and ultimately, stealing users’ personal and sensitive data. With financial institutions’ apps carrying a significant amount of sensitive information and monetary transactions, they must adopt a more robust and comprehensive approach towards app security.