The advent of mobile technology has brought about a groundbreaking transformation to the financial industry. To deliver customer services through mobile devices, there has been a steady shift away from centralised systems operating in closely regulated environments. This shift has, undoubtedly, prompted a re-evaluation of conventional approaches.
The emergence of mobile banking applications has presented a notable dilemma: how to safeguard the confidentiality of customers’ financial data when their banks are accessible at the touch of a button. With the proliferation of mobile banking apps, this is an increasingly pressing issue. For app developers to ensure the protection of sensitive information during various functions and weak links of mobile banking, a comprehensive understanding of the banking industry and customer expectations is crucial.
To guarantee the optimized functionality of the system towards the intended goal, engineers involved in developing mobile applications must possess a thorough comprehension of the legal framework they are operating within. This understanding empowers developers to grasp the intricacies involved in creating a secure and confidential mobile banking app. This exemplifies the advancements achieved in this domain.
Get Acquainted with Mobile Banking Fundamentals
Before commencing the development of a mobile banking app, software engineers must possess a solid grasp of the fundamental principles. Beyond the programming aspect, security and confidentiality are pivotal in any mobile banking app, and numerous factors require consideration.
Amidst the continually evolving mobile landscape, maintaining a consistently high level of security is proving increasingly challenging. In response, mobile app developers are enhancing their risk and vulnerability categorization techniques, enabling them to effectively manage all relevant threats during each phase of the app development process. Depending on the specific attack being attempted, an area’s “attack surface” can be divided into distinct zones, as explained above.
Consequently, designers have identified three crucial areas of susceptibility:
Devices:
Mobile devices offer numerous entry points, including the browser, device, applications, and operating system, making them an attractive target for malicious activities like phishing, brute-force attacks, spear-phishing, and dynamic runtime injection.Networks:
Since mobile devices depend on wireless networks to fulfill their purposes, these networks have become an attractive target for hackers. Although there are various ways for mobile devices to connect, Wi-Fi is the most vulnerable due to encryption weaknesses, man-in-the-middle attacks, and even Facebook SSL Certificates.Telecom Data Centers:
The connection between mobile devices and servers responsible for processing extensive amounts of data can make them susceptible to malicious attacks in numerous forms, such as server misconfigurations, poor input validation, data dumping, and SQL injections. As a result, databases and web servers are frequently targeted in such attacks.
The integration of all components involved in mobile security leads to a comprehensive overview. Although the development team working on a new banking application for mobile devices might not predict every scenario, they must take into account the security concerns associated with this type of software. These concerns could relate to worldwide issues, user conduct, or device security.
Modified Devices with Root Access:
The act of eliminating specific restrictions from an operating system, commonly known as ‘jailbreaking’ or ‘rooting’, enables users to gain more authority over their system. Nevertheless, this could also render them susceptible to attacks. When unlocking the limited portions of an operating system, users could acquire more control over the device; however, this could also expose them to potential security risks.Device’s Data Storage Capacity:
Storing your financial information on your mobile device could pose a significant security concern. Any application that gains access to this information could potentially utilize it for fraudulent activities. It is crucial to take appropriate measures to secure your data.Absence of Secure Sockets Layer (SSL):
Users who fail to utilize SSL encryption when accessing URLs expose themselves to a significant security risk. Malicious attackers might attempt to seize users’ credentials by inserting a fake login prompt into the traffic. These attackers could also gain the required information to hijack a session in the event that personal information like activation codes is transmitted without a security certificate. Hence, it is highly recommended that users leverage SSL encryption while accessing URLs.Obsolete Technology:
Open Wi-Fi networks are susceptible to significant threats.
These four significant limitations indicate that mobile app developers must consider not only any existing systemic inadequacies but also be mindful of the constraints exerted by the mobile devices themselves, as well as the users handling them.
Mobile engineers are cognizant of the various methods that malevolent actors employ to exploit security vulnerabilities. Consequently, they pay meticulous attention to designing robust security features required for mobile banking applications. These measures are vital to safeguard users and their personal information.
To prevent Man-in-the-Middle (MiTM) attacks:
The transfer of significant data between the banking application and the bank plays a vital role in the information exchange when a user interacts with the application. Regrettably, this has also rendered the data susceptible to cybercriminals who use it as a means to gain unauthorized access to user accounts.Infrastructure Threats:
Attacks that aim to pilfer credentials, frequently from servers (such as usernames, passwords, and other personal information).Software Piracy:
Hackers frequently employ reverse engineering techniques to obtain sensitive information from users who install pirated versions of software. During this process, they alter the original software code to produce a malicious version, which they subsequently distribute to unsuspecting users. This practice poses a substantial risk to user security and potentially exposes them to data theft.Harmful Software for Mobile Devices:
It is apparent that mobile malware is growing progressively more common, similar to desktop computers. The primary objective of this malicious software is to attack mobile applications related to financial institutions. Consequently, it is crucial to exercise prudence when downloading and installing applications on mobile devices to warrant their safety and security.Clickjacking:
Social engineering tactics involve deceiving users to participate in an activity that seems innocuous but, in reality, triggers the release of malicious code like malware, or collects sensitive information.
Not only are the apps themselves vulnerable, but the underlying infrastructure and careless behaviour of end-users are also at risk. Therefore, it is critical that the mobile development team ensures the alignment of their security measures with the broader organisational efforts to enhance the system’s overall security significantly.
Measures Implemented by Mobile App Developers to Safeguard Financial Data
During the initial stages of the Software Development Life Cycle (SDLC), it is crucial that mobile development teams take into account the potential hazards and best practices for application security. By doing so, they can create a more secure mobile banking software with minimal risk. Although there are several different approaches available to developers, it is recommended that they adhere to the best practices for application security. They may also utilize alternative techniques if necessary.
- Security protocols of the development team should prioritize user needs.
- The creation of a mobile banking application necessitates several measures to mitigate the inherent risks associated with the process. These may include integrity checks, repackaging detection, regulatory compliance, data encryption, and vulnerability identification in the source code. Implementing these measures can assist in reducing the likelihood of any problems arising and provide users with a secure experience.
- Every mobile banking application should feature multi-factor authentication, either via SMS or (preferably) biometric data.
- The application must incorporate emphatic password security measures that disallow users from saving their passwords.
- Integrating an automatic logout feature after a specific period of inactivity is imperative. The idle duration may extend up to a minute, but should not exceed that.
- The app should feature digital signatures and employ up-to-date transfer methods.
- SSL verification and end-to-end encryption are two key features that must be incorporated into project development.
- Comprehensive testing and quality assurance are crucial components of the Software Development Life Cycle (SDLC).
The development team must exercise great care in considering the rules governing data storage and handling. Depending on the region in which the application is used, there may be a wide array of regulations that must be complied with. It is essential that competent developers ensure that all regulations are properly followed and adhered to, as this not only assists in preventing penalties but also guarantees that the implemented security measures are sufficient in mitigating the potential risks associated with mobile development.
This serves as a testament to the fact that developing a mobile banking application is a difficult and demanding endeavour. It is undeniable that not all mobile app development teams possess the necessary expertise to undertake such a project. To solve this intricate problem, it is imperative to engage a competent team of engineers who have previously worked on similar projects and possess an extensive understanding of the industry.
To create a secure banking application, any venture seeking to establish its mobile banking app must meticulously research the field and select a reputable mobile development firm that prioritises security, privacy, and compliance. It is imperative to choose an option that accounts for all these factors, to enable the application to grow and progress alongside the mobile banking industry. It is only by thoroughly examining this information that an app can be constructed that is genuinely secure and safeguards both users and financial institutions.
