The article tracks the history of email, its ubiquity, and how it has come to be used for purposes beyond what it was originally intended for – such as mortgage document collection. This overreliance on email and other legacy mortgage document collection methods has led to a number of problems around security and data compliance, not to mention some wild inefficiencies. Owen also highlighted a number of interesting statistics which show the level of risk financial institutions are taking on when they use email to collect mortgage documents:
- 94% of malware is delivered via email
- 84% of U.S. companies have experienced phishing or ransomware attacks in the past 12 months.
Data ComplianceWhen it comes to client documents and data, compliance is another area that must be considered. Compliance is a growing concern, and, with GDPR enacted in Europe and a number of regulations en-route in the United States, the onus is on financial institutions to get proactive in the area of data protection. According to Owen, “banks and financial institutions that collect documents and personal information via email are leaving themselves at risk of noncompliance.” The fines associated with non-compliance – particularly in Europe – can be devastating to a business.
The article also charts some interesting developments in finance and the new technologies which are disrupting traditional lending paradigms. In many ways, financial institutions are on the cusp of an exciting future as technologies like artificial intelligence, blockchain and machine learning are leveraged in new and unique ways – but, as Owen points out, these technologies each come with their own set of risks: “Companies investing heavily in new systems and technologies must bear in mind that any software security system is only as strong as its weakest link — and in many cases, email and its misuse is certainly the weakest link.”
A New and Secure Way to Collect Documents and InformationPlanetVerify solves these problems by automating and securing the entire document and data collection process — helping companies to reclaim hours in lost productivity, reduce security and compliance risk, and provide clients with a more professional first impression.
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