The financial services industry has long been a prime target for cyber criminals - and in 2025, the stakes are higher than ever. Handling vast amounts of sensitive data, processing high-value transactions, and operating in a heavily regulated landscape make financial institutions an attractive and lucrative target for cyber attackers.
From global banks to fintech startups, no organisation is immune. For financial institutions, the consequences of a cyber attack can be severe, ranging from financial losses and reputational damage to regulatory penalties and loss of customer trust. In fact, the financial sector continues to be one of the most frequently targeted industries for cybercrime, with a significant rise in phishing, ransomware, and data breaches in recent years
To safeguard against these evolving threats, financial organisations must take a proactive, people-first approach to cyber security. It’s not just about having the latest technology - it’s about ensuring employees can identify and mitigate risks before they become incidents.
As we move through 2025, several key cyber threats are particularly pertinent to the financial services sector:
Phishing involves cyber criminals impersonating legitimate entities to deceive individuals into revealing confidential information. According to UpGuard, in the first half of 2021, phishing attacks targeting the financial sector increased by 22% compared to the same period in 2020.
As well as this, the Anti-Phishing Working Group reported that the finance sector was the most targeted industry for phishing attacks in Q1 of 2021.
Attacks caused by phishing scams are very often preventable. With real-time “nudges”, ThinkCyber can stop an employee in their tracks - before they take a risky cyber action like clicking a spam link. Microlearning also raises awareness and confidence in spotting phishing attacks, so employees are less likely to engage in risky behaviours.
Ransomware attacks, where cyber criminals encrypt data and demand payment for its release, continue to pose significant risks. Ransomware attacks have grown exponentially as a cyber security threat in the finance industry. According to QBE, in 2023 the financial services sector was the fourth-most targeted by ransomware attacks around the globe.
The tidal wave of AI has allowed cyber criminals to get faster and more advanced in their attacks. Generative AI tools are being used (incredibly convincingly) to create sophisticated phishing emails, tricking employees with deep fake and create synthetic identification documents. All of this makes it more challenging to detect and prevent fraud.
With employees being the most common cause of cyber defense vulnerabilities in organisations like yours, the need for modern awareness training is more important than ever.
Financial institutions are prime targets for data breaches due to the vast amounts of sensitive information they manage.
A data breach in any business causes a huge amount of stress, but in the financial services industry, a breach can be catastrophic. In fact, Field Effect found that in 2022, the average cost of a data breach in the sector was nearly $6 million.
The financial services sector is the industry most targeted by DDoS attacks. With DDoS attacks, cyber criminals overwhelm online services to disrupt operations and cause potentially devastating financial losses.
These attacks often serve as a smokescreen for other malicious activities, such as data theft or cyber espionage. The proliferation of DDoS-for-hire services has made it easier for cyber criminals to launch attacks with minimal resources.
To protect your financial services business from the above threats, there are a number of key strategies to implement. In a nutshell, these should include (but not be limited to):
...and of course, cyber security training that engages people while driving measurable results.
Traditional cyber security training is leaving businesses vulnerable. With RedFlags from ThinkCyber, you can prevent risky behaviours in real time. Instead of “tick the box” exercises, you can be confident in your employee’s cyber actions and know they’ll be diverted away from potentially risky choices.
To see this in action, please book a free demo today.