Summer is an excellent time to consider streamlining Financial Technology (FinTech) compliance processes. 

The vacation season promotes a mindset of taking it easy with more straightforward approaches to everyday practices, including those on the job. 

But can “easy” also apply to your company’s infosec compliance? 

We think it can. 

Key takeaways

This blog post provides a high-level overview of FinTech multi-framework compliance, including these key takeaways: 

• Why infosec compliance is important to FinTech companies
• A breakdown of common FinTech compliance frameworks 
• How to determine which compliance frameworks apply to your company

Infosec compliance matters

Earlier this year, several Thoropass team experts shared the infosec and data privacy trends they expected to see in 2024. They encouraged compliance teams to follow emerging data privacy regulations and to proactively invest in compliance programs to avoid rushing to implement practices at the last minute. 

Data privacy is essential to consumers fueling FinTech industry growth. Plaid’s 2022 FinTech survey results demonstrated that 76% of Americans trust financial companies that clearly disclose their privacy practices. Your customers want to know how you uphold your privacy policies and how well their personal information is kept safe. 

FinTech industry growth

According to research by global financial services provider McKinsey & Company, the number of FinTech startups valued at over $1 billion has increased sevenfold over the past five years. Despite more recent downturns, the research also projects growth in FinTech industry revenues nearly three times faster than in the traditional banking category between 2023 and 2028. 

The Thomson Reuters Report: FinTech, RegTech, and the role of compliance in 2023 indicates that compliance will be an ongoing factor in the successful growth of the FinTech industry. FinTech companies can use infosec compliance to establish credibility among competitors as the industry expands. 

Personal financial data rights

FinTech-backed consumer services are everywhere, ranging from food purchase apps to digital wallets, money transfer accounts, budgeting and banking programs, and even technology to pay your kids’ weekly allowance. 

The Consumer Financial Protection Bureau (CFPB) issued a Notice of Proposed Rulemaking last October, and if enacted, will require financial “institutions” and other data providers to furnish consumer financial data, such as account verification information, transactions, billing details, etc., to consumers and authorized third parties, at a consumer’s request. FinTech companies must be ready to respond to these consumer requests for information securely.

The CFPB’s proposed rule highlights the importance of several compliance frameworks, including SOC 2, PCI DSS, GDPR, and ISO 27001. 

SOC 2 

Service Organization Control 2 (SOC 2) framework evaluates all aspects of data security housed within a service organization and demonstrates a company’s commitment to security. A third-party audit assesses how securely a company is managing third-party data. SOC 2 has five trust services criteria (defined by the American Institute of Certified Public Accountants), including:

• Security – How do you keep my data secure?
• Availability – How do you make sure my data is available?
• Confidentiality – How do you ensure that my data is kept confidential?
• Processing Integrity – How do you process my data and make sure it’s accurate when processed?
• Privacy – How do you keep my data private, and what are the methods?

Continued Reading

Data security and SOC 2 user control considerations

Learn More

PCI DSS 

Payment Card Industry Data Security Standard (PCI DSS) Attestation of Compliance (AoC) provides evidence of a company’s adherence to PCI DSS and its ability to protect cardholder data. An AoC also demonstrates a company’s dedication to cultivating and maintaining a secure customer payment environment. 

PCI DSS v 3.2.1 was retired on March 31 this year with the launch of v 4.0. Previous users will have up to a year—until March 31, 2025—to implement the latest version. However, if your organization is up for renewal before then, you must update with the newest version.

Companies can plan for the 2025 audit by incorporating the PCI v 4.0 changes for 2024.

GDPR

The General Data Protection Regulation (GDPR) is a European Union (EU) regulation framework focused on protecting personally identifiable information of EU citizens. Thoropass experts predict the infosec industry is gradually shifting toward universal compliance following the lead of GDPR and other current and proposed regulations. 

Developing a targeted plan for GDPR compliance is essential to establishing a legitimate basis for processing personal data. 

In general, GDPR defines personal data by combining four elements:

1. “any information” (objective information such as eye color, weight, medication)
2. “relating to”
3. “an identified or identifiable” (information that can directly or indirectly identify a person, such as date of birth or gender)
4. “natural person” (a live person)

ISO 27001

ISO 27001 is a management standard for setting up a certified Information Security Management System (ISMS). An ISMS helps companies manage and protect sensitive information, ensuring confidentiality, integrity, and availability.

ISO 27001 sets out the criteria for establishing, implementing, maintaining, and continually improving an ISMS. It applies to any international organization that wants to keep its information safe, and the standard includes the following types of information:

• Organizational policies
• Physical security
• Human resources security
• Access control
• Cryptography

Which compliance framework does my company need?

The projected outlook for FinTech industry growth is positive, and companies can create value for customers and up their competitive game with infosec compliance. The Thoropass Multi-Framework Quiz can help you learn which compliance frameworks apply to your business, helping you get started with the correct information. Once you determine the frameworks your company needs, we encourage you to check out how easy it is to achieve compliance with The Oroway.

Making it easy with the OroWay

The OrOWay can help your company pursue multiple compliance frameworks with a single audit. Customers find everything they need in a single solution with an AI-infused platform that automates much of the audit journey and a team of in-house experts who consult customers and provide peer-reviewed independent audit and certification services.

You understand the growing demand to prove that your company is secure and meets compliance regulations. With a data breach’s average cost of $4.35 million, infosec compliance deserves all our attention. The OroWay provides an end-to-end compliance solution for our customers, all in a single platform, making it easy for you. 

Want to learn more about how the right solution can help you protect your company and your customers? Contact us to book a demo today.

One audit, multiple frameworks

Experience The OrO Way for multi-framework compliance

Thoropass’s AI-infused technology and expert guidance allow you to achieve more with less. With Unified Controls and multi-framework action items, you’ll save time and resources and acheive yoru compliance goals faster than ever before.

• 
  Thoropass Team
  See all Posts

See it in Action