Security by Sector: Over a Third of Consumers Don’t Trust Digital Comms from Banks

The subject of how information security impacts different industry sectors is an intriguing one. For example, how does the finance industry fare in terms of information security compared to the health sector, or the entertainment business? Are there some sectors that face greater cyber-threats and risks than others? Do some do a better job of keeping data secure, and if so, how and why?

Do you trust digital communications from your Bank? Well, if you don’t, you’re not alone.

A new YouGov survey conducted by fintech security provider Entersekt has discovered that more than a third (34%) of British consumers are so distrusting of digital communications from their bank that they ignore advice and actions suggested in messages they receive from them.

The research polled over 2000 UK consumers to explore general attitudes towards ‘paperless banking’ – detailing their experiences of banking-related digital communications like emails, text messages and banking portal notifications. The results revealed a stark divide in the way such messaging is perceived by different age groups; whilst 43% of those polled in the 55+ demographic said they not do trust digital communications from banks, only 20% of 18–24-year-olds felt the same way.

The main concern highlighted by the more senior respondents was that they feel more likely to fall victim to fraud through using digital banking channels, with 18–24-year-olds noticeably less fearful of suffering the same fate.

Frans Labuschagne, UK and Ireland country manager at Entersekt, said: “With bank branches limiting on-premises operations during the nationwide lockdown and with call centers under immense strain, many people face a dilemma.

“On the one hand, they are relying on digital channels to manage their finances and conduct transactional activities to a greater extent than before. On the other, as our survey demonstrates, significant numbers fear that digital communications expose them to greater risk. The instinct of many is to ignore suggestions or instructions delivered in this way.”

After this crisis has passed, Labuschagne added, financial institutions will want to revisit how they contact their customers with important information or calls to action. “The banking app is an obvious place to look for an alternative means of engaging with your customer.”

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