Regulators Approve New Cybersecurity Reporting Rules
New changes will decrease the amount of time an organization has to report incidents to regulators and customers…
An article review.
Citing the increasing frequency and pace of cyberattacks in recent years, the FDIC, Federal Reserve Board of Governors and the OCC have issued a Final Rule requiring financial organizations to notify their primary regulator within 36 hours of a “major” cybersecurity incident. The new rules, which go into effect April 1, 2022, apply to banking organizations regulated by the three agencies as well as their service providers.
Specifically the rule applies to what are considered “notification incidents,” and also extends to incidents that could disrupt customer account access for an extended period of time. Similarly, service providers will be required to notify banking organizations when they experience an incident that is likely to cause a “material service disruption or degradation” for four or more hours.
The Bank Policy Institute supports the new rules, with a representative adding that the regulations will “encourage early collaboration between regulators and banks” and allow regulatory agencies to be aware of incidents that may broadly impact the financial system.
As the seriousness of cyberattacks continues to rise, early awareness of major incidents has become more important to regulators and security professionals alike, potentially allowing for incidents that impact multiple organizations to be identified and contained more quickly.
Original article by Carly Page writing for TechCrunch
