2014 is the tipping point year of mobile malware: RSA chief Art Coviello

"RSA executive chairman Art Coviello sees 2014 as the tipping point year of mobile malware, as businesses continue to provide greater mobile access to critical business applications and sensitive data, and consumers increasingly adopt mobile banking.

Amidst this backdrop, “it is easy to see that mobile malware will rapidly grow in sophistication and ubiquity in 2014,” says Coviello as he releases his top security predictions for the upcoming year." Continue Reading

How to Ensure Mobile Banking App Security

"From our vantage point, there’s little doubt that mobile apps have become the newest area of extreme vulnerability for financial organizations, leaving them exposed to fraud, security breaches, and other acts of piracy. With users moving in droves from PCs and laptops to smartphones, it is inevitable that malware will migrate to the new device of choice, and in rapid succession.

The stats bear this out: for example, RSA detected 350,000 malicious Android app samples in 2012, up from just 1,000 in 2011. Banking trojans found on the desktop have morphed to mobile attack mode: the Citadel trojan, one of the fiercest banking attacks online, was modified to become CitMO (Citadel-in-the-Mobile), a worm that can install itself on Android devices and intercept one-time passwords and authentication messages sent by a bank to a mobile device." Continue Reading

Mobile Banking Security - April 29

PNC Weathers Slowdown in Online, Mobile Banking
"PNC weathered a slowdown in its online and mobile services Friday that left some customers unable to access their accounts. The Pittsburgh-based company in the morning took to social media to tell customers it was investigating the problem and working to restore access for all customers. As of Friday afternoon, the bank continued to look for the cause of the disruption. "We do not have more information at this time," PNC said in a message posted on Facebook. PNC spokeswoman Marcy Zwiebel said that some customers continued to be able to log in to their accounts while others experienced difficulty."

Banking Trojans wreak havoc on mobiles
"Trojans continue to wreak havoc on mobiles, as banking transactions are increasingly being conducted on these devices. So said Ann Johnson, RSA Security’s VP for global identity protection and verification, in an interview with ITWeb yesterday. 'By and large, most of our customers today are talking about mobile banking security. The growth in mobile is expected to be about 76% this year, and mobile banking applications have started dominating the market. One of our biggest concerns in that area is Trojans,' Johnson said."

Mobile Banking on the Rise, but Security Concerns Linger
"Consumers are embracing the convenience of mobile banking solutions. A new survey by the Federal Reserve Board found that 28 percent of all mobile phone owners used their devices for banking at least once in the past 12 months. That’s an increase over 2012, when 21 percent used their mobile devices for banking. Naturally, smartphone users have a much higher mobile device banking rate than non-smartphone users. Forty-eight percent of all smartphone owners banked on their mobile phones at least once, up from 42 percent in 2012. The vast majority – 87 percent – of active mobile consumers use their devices for simple tasks like checking balances and reviewing recent transactions."

Mobile malware and your money
"According to the international software house for anti-virus security solutions, G Data Software AG, on average 6 915 new malware strains were created every day in the second half of 2012. According to the report, the number of new malware strains in the tools category, which includes online banking tools, has increased enormously in 2012. Malware is software that is intended to damage or disable computers and mobile devices and includes viruses and Trojans, for example. And the prevalence of malware on mobile devices is increasing rapidly. According to the mobile security company NQ Mobile’s latest security report malware on mobile increased 163% in 2012 compared to 2011."

Action Line Consumer Alert: The dangers of mobile banking
"It’s convenient to make banking decisions or move funds from the palm of your hands, but beware. 'So a couple of quick mobile banking tips in one, always password protect your phone. Two, always delete any text messages that a financial institution sends to you, if they do that,' says Timothy Caminos of the Hawaii Better Business Bureau Hawaii. Caminos says another thing you can do to stay safe, always log out or sign off from an application."

Mobile Banking Security - May 16

Mobile Banking: Mitigating Consumer Risks
"Which security concerns should institutions be bracing for, as more consumers adopt mobile banking? BITS offers a collection of recommendations from some of the industry's top institutions. Most banks and credit unions know they can't shy away from mobile. But that doesn't mean they don't still have serious concerns about security risks. Paul Smocer, president of BITS, the technology policy division of the Financial Services Roundtable, says banking/security leaders increasingly just want to wrap their brains around the best way to mitigate the risks of mobility."

Major bank considers new security for mobile banking
"JPMorgan is considering implementing new technologies for its improved mobile banking solution that will keep sensitive information protected and ensure data quality remains high. Currently, the bank is looking into biometric technologies, specifically voice and fingerprint recognition, as a way to keep confidential records protected, according to a report by Bank Technology News."

Zeus Botnets Are Taken Down by Unique Team
"The NACHA session opened with dramatic video. Microsoft lawyers accompanied by U.S. marshals swooped into a characterless office building in Scranton, Pa., where they proceeded to seize computers that had been used to host giant botnet networks of zombie computers that–unbeknownst to their owners–were under the control of the so-called Zeus virus."

Security's not the biggest problem with m-banking
"There's a bigger worry than security when it comes to offering m-banking to the un- and underbanked. That is, how can banks make m-banking a going business concern? This according to Thabiso Moerane, mobile commerce ecosystem leader at Alcatel-Lucent, who will address the ITWeb Security Summit, taking place from May 15–17 in Johannesburg, South Africa."

Clairmail Leads New Era of Mobile Banking Security With RSA Certification
"Clairmail, Inc., the leader in mobile banking and payment solutions, today announced its acceptance to the Secured by RSA (R) Certified Partner Program and has certified interoperability between Clairmail's Mobile Banking Solution and RSA Adaptive Authentication software from RSA(R), The Security Division of EMC EMC +0.84% . Already an RSA Secured(R) Partner, the new interoperability partnership comes after rigorous RSA certification testing of Clairmail's Mobile Banking Solution and reinforces Clairmail's commitment to continually advancing platform security for end users and Financial Institutions (FIs)."

Protecting personal information extends beyond the Web, to mobile devices
"For most people, it is rare to go a day without going online or using a mobile device. While having access to the information you want and need makes life a lot easier, it's most important to use the Web wisely. Today, keeping personal information safe is a concern for virtually anyone using a computer or a mobile device to access the Internet. Given the fast pace at which technology develops, staying up to date on the latest ways to protect yourself is vital to guarding your personal information."

Mobile Banking Security - Feb 22

Google, Citi discover first-mover advantage comes with a price
"The mobile industry let out a big “oops” this week when flaws were exposed in mobile applications from Google and Citi that put consumers at risk, suggesting that the rush to be first in mobile payments and mobile banking may come with a price. Two security flaws were identified last week in the Google Wallet mobile payment app that potentially let hackers access consumer accounts."

Fraud: The Latest Threats
"What are the top emerging fraud threats via mobile banking, and how must security leaders respond? In an RSA Conference preview, Julie McNelley of the Aite Group offers tips for fighting the newest threats. By 2014, Aite Group estimates 44 million consumers will be using some form of mobile banking. And as more institutions roll out mobile banking and payments, more consumers will jump on the mobile bandwagon, making mobile banking an increasingly inviting target for fraudsters, McNelley says."

Support Grows for Mobile Banking Apps, But Security Still a Concern
"Mobile banking applications enable smartphone and tablet users to do everything from scan and deposit checks to transfer large amounts of money, but many consumers and business professionals remain concerned about the safety of using such apps."

Fraud Fight: How to Pick Your Battles
"From mobile malware to the Anonymous hacktivist attacks, how can banking institutions tackle the changing threat landscape? Joe Rogalski of First Niagara Bank has some new ideas. One of the challenges: Proactive risk assessment often takes a backseat when banks and credit unions feel pressure to quickly launch new offers like mobile banking."

Aite - Mobile Banking Round-table Discussion

Mustafa Patni and Michael Lindsey


Left to Right: Joram, Matt, Nick, Brandon, and Mustafa

Just a few short hours ago I returned from New York where I attended a round-table discussion on mobile banking. Let me first thank the entire team at Aite. In two short hours we covered a variety of topics including:

* Is the term mobile banking tainted from the failed attempt in 2001?
* Who will ultimately own the clients - banks or carriers?
* What will be the role of mobile banking for the un-banked or under-banked?
* Does mobile banking have a business purpose or is it just keeping up with the Jones's?
* What kind of fraud or security attacks can we expect and how do we handle them?
* Where will mobile banking take us by 2010? Will mobile payments be a factor?

Overall, the discussion was outstanding and there was a strong turn-out with over 80 people in attendance representing banks, vendors, trade publications and press. I'd also like to take a minute to thank my fellow panelists:

* Nick Holland - Aite Group
* Mustafa Patni - Washington Mutual
* Joram Borenstein - RSA
* Michael Lindsey - Bancorp South
* Matt Dill - Western Union

If you are looking for a fresh opinion from an industry expert these five are as sharp as they come.

Now, this obviously does not summarize the full content and depth of the morning, but a few "big picture" notes would be:
* We (banks and carriers) will not decide who owns the client. The market will evolve and they will dictate to us who's in control by voting with their dollars.
* Do not ignore the un-banked and under-banked. They represent a very large target segment with big potential.
* Mobile banking does have inherent value. By adding another service to the relationship the client is less likely to defect.
* As always security is paramount. The keys will be customer education and a "mobile guarantee"
* Mobile payments will be a thriving and profitable industry but be patient.

Mobile Banking Roundtable and Google Phone

If your schedule permits, there's an interesting roundtable discussion that I'll be participating in next week. The event is on Thursday November 8th in New York and is sponsored by Aite. The panel will include representatives from Washington Mutual, Bancorp South, Western Union, and RSA.


On a separate note, it sounds like we're getting closer to the release of the Google phone. Will the iPhone have its first true competition? Click to read the full story.