Part One of our October Feature examined the expanding threat landscape facing financial institutions and commercial clients. This second article turns from awareness to action. For commercial bankers, cybersecurity is increasingly part of relationship management: helping clients establish reliable payment controls, recognize AI-enabled deception, prepare employees, and recover quickly when an incident occurs. The following practices provide a practical framework for reducing risk while strengthening client confidence.
Key Controls for Commercial Bankers
To address evolving threats, banks should prioritize:
Out-of-band callback verification for payment instructions and account changes
Enhanced Know Your Business (KYB) procedures
Biometric liveness detection and continuous monitoring
Staff training focused on AI-generated fraud scenarios
· Cross-functional tabletop exercises involving treasury, fraud, operations, and relationship-management teams [1]
The vast majority of banking executives have reported a significant increase in cybersecurity attacks over the past two years and are raising cybersecurity budgets specifically to address AI-driven risk. For commercial bankers, treating these controls as table stakes rather than a future upgrade has become a baseline expectation. [2]
Treasury Management: The Front Line of Fraud Prevention
While ransomware and data breaches continue to dominate headlines, many commercial customers face their greatest immediate risk through payment fraud. Wire transfers, ACH transactions, online banking platforms, vendor payment changes, and treasury management systems remain prime targets for cybercriminals. Banks should encourage commercial clients to implement:
Dual approval for wire and ACH transactions
Multifactor authentication on banking and email platforms
Segregation of duties between payment initiation and approval
Real-time transaction alerts
Formal callback procedures using established contact information
Daily account monitoring and exception review
As AI-generated impersonation attacks become more convincing, traditional reliance on familiarity, email communications, or voice recognition is no longer sufficient for authorizing financial transactions.[11,9,10]
Opportunities for Enhanced Security
Forward-thinking banks are increasingly positioning themselves as cybersecurity partners for clients in high-risk industries such as:
Healthcare: Engaging in secure payment processing and protection of sensitive information
Financial Services and Government: Requiring enhanced compliance and threat management
E-commerce and Retail: Calling for increased fraud prevention and payment security
Energy and Utilities: Necessitating protection of critical infrastructure
Education: Safeguarding student information and payment systems
By providing industry-specific guidance and solutions, banks can deepen client relationships while reducing overall risk exposure. [3]
The Importance of Customer Education
With thousands of cyberattacks occurring every day, customer education remains one of the most effective defenses against cybercrime. Human error continues to play a significant role in successful attacks, and consumers increasingly look to their financial institutions for guidance and resources. Simple practices such as recognizing phishing emails, verifying unexpected payment requests by telephone, maintaining strong passwords, and avoiding unsecured networks can significantly reduce risk.
Customer awareness programs should now include training on AI-generated scams. Employees should be encouraged to question urgent requests involving fund transfers, payroll changes, vendor payment updates, or sensitive information, even when communications appear to come from trusted executives, vendors, or business partners. Modern attacks frequently combine social engineering, compromised email accounts, and AI-generated content to create highly convincing fraud attempts. [4,5]
Implementing Effective Measures
Banks can strengthen client security by combining technology, education, and monitoring:
Multifactor authentication (MFA)
Strong encryption and secure digital banking platforms
Continuous account monitoring and fraud alerts
Secure communication channels
Customer-facing security and self-monitoring tools
Ongoing phishing and fraud-awareness training
These measures not only reduce risk but also help build trust and confidence among customers. [10]
Cyber Resilience: Beyond Prevention
Cybersecurity leaders increasingly recognize that preventing every attack is impossible. The focus has shifted toward resilience: reducing vulnerabilities, replacing unsupported technology, and ensuring a rapid recovery when incidents occur. Organizations should maintain tested backups, documented incident response plans, vendor risk-management procedures, and business continuity plans that specifically address cyber events. [8] The organizations that recover most effectively are often those that have prepared in advance rather than those that simply invested the most in prevention.
Conclusion
As cyber threats continue to evolve, banks have an opportunity to serve as trusted advisors as well as financial partners. By helping commercial clients fortify treasury management controls, recognize AI-enabled fraud, adopt multifactor authentication, and prepare for cyber incidents, financial institutions can play a critical role in protecting businesses and communities. Those that prioritize cybersecurity education, fraud prevention, and cyber resilience will be well-positioned to strengthen customer relationships, differentiate themselves in the marketplace, and support long-term growth in an increasingly digital economy.
Sources for Part Two: How to Respond
Brightside https://www.brside.com/blog/ai-cybersecurity-financial-sector
Biometric Update.com https://www.biometricupdate.com/202606/ai-fraud-drives-banks-toward-biometric-identity-defenses
Tekclarion https://www.tekclarion.com/blog/cyber-security/get-the-2026-guide-to-banking-cyber-threat/
Demandsage https://www.demandsage.com/cybersecurity-statistics/
Consumer Reposts https://innovation.consumerreports.org/2025-Consumer-Cyber-Readiness-Report.pdf
OCC Cybersecurity and Financial System Resilience Guidance https://www.occ.gov/publications-and-resources/publications/cybersecurity-and-financial-system-resilience/files/pub-2025-cybersecurity-report.pdf
Federal Reserve Synthetic Business Fraud Resources https://www.frbservices.org/news/fed360/issues/110425/fraud-mitigation-synthetic-business-fraud
SecurityScorecard Security Ratings https://securityscorecard.com/blog/celebrating-cybersecurity-excellence-forbes-most-cybersecure-banks-2024/
UpGuard Cyber Risk Monitoring https://www.brightdefense.com/resources/data-breach-statistics/
Doppel’s 2025 Cybersecurity Guide https://www.doppel.com/blog/2025-cybersecurity-guide-banks-and-financial-institutions
Expert Business Development LLC has no relationship with, nor endorses, any of the organizations mentioned above. Resources are provided solely for informational and educational purposes