Why October is crucial for your financial cybersecurity

Every 39 seconds, a new cyberattack hits somewhere in the world. Financial institutions are among the top targets, and the consequences aren’t just digital. Lives, reputations, and hard-earned money are all at stake. In South Africa, a single breach can cost a business millions of rands, while the loss of trust is irreversible.

Globally, the stakes are enormous. IBM’s Cost of a Data Breach 2024 report shows the average data breach now costs USD 4.88 million, with financial services firms facing even higher losses. Locally, the average cost of a breach in South Africa reached roughly R53 million in 2024, with the largest incidents exceeding R360 million according to Corbado. Cybercrime is on the rise, now accounting for over 30% of reported crimes in some African regions.

These numbers aren’t abstract. For financial clients and investors, cyber threats are very real. In 2024, two-thirds of financial institutions globally reported experiencing a cyber incident. The lesson is clear: digital threats to your money and identity are evolving fast, and October’s Cybersecurity Awareness Month is the perfect time to take action.

Finance and cybersecurity: two sides of the same coin

 Money is motivation for cybercriminals. Transaction histories, credit data, and personal details are digital gold. As digital banking, fintech, and online payments expand, these assets are increasingly vulnerable. The IMF (International Monetary Fund) warns that nearly one in five cyber incidents globally already affects financial services.

In addition, the sophistication of attacks is increasing. AI-driven phishing, deepfake voices, credential stuffing, and supply chain hacks now dominate headlines. And the cost isn’t just monetary - breaches can destroy trust, trigger regulatory fines, and drive clients away.

That’s why cybersecurity should be treated as central to client trust, not as an optional extra. It is vital for clients to rest assured that their money, identity, and data are shielded. Cybersecurity should never be an afterthought – it should be embedded in every process, every digital touchpoint, and every client interaction.

Practical steps every client can take

 While financial institutions bear responsibility, individuals also have the power to protect themselves. Experts recommend:

1. Enable Multi-Factor Authentication (MFA). SMS codes, authenticator apps, or biometrics provide a crucial extra layer of security.
2. Monitor transactions daily. Even tiny unauthorised payments can signal early-stage attacks.
3. Be wary of phishing. Emails, SMS, and calls claiming urgent account issues are often traps. Always verify via known contacts.
4. Update software promptly. Security patches fix vulnerabilities that hackers exploit.
5. Use trusted platforms. Ask your financial provider about encryption, audits, and incident response plans - clarity is a sign of serious protection.

How financial institutions can protect clients

 Beyond standard security measures:

• Encryption & system segmentation ensure that even if one layer is breached, other systems remain secure.
• Continuous security audits test vulnerabilities internally and externally.
• Incident response planning ensures rapid mitigation, client notification, and system recovery.
• Client education initiatives empower clients with practical tips and awareness campaigns.

The Bottom Line

 This October, the message is simple: don’t be passive about financial safety. As cybercriminals sharpen their tools, vigilance, safeguards, and trusted partners matter more than ever. Cybersecurity Awareness Month isn’t just another marketing gimmick - it’s a reminder that safeguarding your financial future is a shared responsibility.

* Reyneke is the CEO of Multilink Financial Services.

PERSONAL FINANCE