KB Kookmin Bank suffers data breach

Seoul: Customer information of KB Kookmin Bank, a major commercial bank, has been breached following a similar incident by its rival Shinhan Bank, industry sources said on Friday, stoking worries over widespread data leaks in the banking sector.

According to the sources, personal data of over 100 KB Kookmin Bank customers had been stolen via hacking.

The leaked data include names, phone numbers and encrypted identification, the lender said, adding that any possible damage caused by the data breach will be fully compensated, reports Yonhap news agency.

On Thursday, Shinhan Bank said personal information of around 25,000 customers, such as their annual income, names and phone numbers, had been leaked.

Sources said the hackers, currently suspected to be based overseas, utilized advanced artificial intelligence (AI) tools in the attacks to extract information.

Shinhan Bank was likely caught in random AI-powered attacks on vulnerable online platforms, underscoring the need for other financial institutions to remain vigilant and block abnormal access attempts, according to insiders.

The entire financial industry is feared to be vulnerable to AI agent-assisted attacks, raising the need for financial institutions to promptly conduct their own security inspections to address potential vulnerabilities.

Earlier, personal information of around 25,000 customers has been leaked from Shinhan Bank, the lender said, prompting the financial watchdog to conduct an on-site inspection. According to the bank, loan borrowing by customers, their annual income, names and phone numbers were leaked on Wednesday via hacking. Shinhan said it took emergency steps to minimize potential damage from the leak.

Experts said Shinhan Bank does not appear to have been specifically targeted but was likely caught in random AI-powered attacks on vulnerable online platforms, underscoring the need for other financial institutions to remain vigilant and block abnormal access attempts.

"The entire financial industry is vulnerable to AI agent-assisted attacks. Financial institutions need to promptly conduct their own security inspections to address potential vulnerabilities," an industry official said.

ABOUT THE AUTHOR

IANS

[email protected]