As the world is becoming more interconnected, data security is a must for building trust with consumers. Businesses that excel in this area are ahead of their competitors. Customers expect that their companies will protect and secure their personal data. This article outlines 10 essential principles that all businesses should know and implement to keep customer data secure.
Personal information is the most basic kind of customer data. It comprises any information that can be used to identify an individual. This includes names or addresses, phone numbers, addresses, and more. However, there are also more sensitive kinds of information that could result in serious consequences if it is in the wrong hands, such as the Social Security number or credit card number. Sensitive personal information (SPI) also includes ethnic or racial background sexual orientation, as well as many more.
SPI can be used for identity theft. This poses a serious risk to the personal and financial security of customers. When a hacker acquires this kind of data, they can utilize it to apply for credit cards or loans that are in the name of the victim and can end up with devastating results.
To decrease the risk of data breaches, companies should limit the amount SPI they collect and only make use of it for legitimate purposes. They should also use encryption on their servers and in transit to ensure that the data cannot be obtained by hackers. They should also utilize two-factor authentication and password management tools to limit the risk of data breaches caused by compromised passwords.