Data protection in the financial sector
Banks, insurance companies, fintechs, and financial service providers process personal data from customers and employees in almost every business process. The financial industry is increasingly taking advantage of digitalization, AI, and new technologies. The data processed in the financial sector is often particularly sensitive, as it may contain information about income and financial circumstances, business and personal relationships, payment flows, personal interests, and movement patterns.
Accordingly, high requirements must be placed on the protection of this data. At the same time, the business activities of the financial sector are subject to particularly intensive regulation and supervision, which gives rise to a wide range of obligations for the processing of personal data, such as the prevention of money laundering or the combating of market abuse. In some cases, these obligations also include the disclosure of data on a case-by-case basis, for example to tax authorities.
In addition to the typical consequences of a breach of data protection obligations, such as fines and claims for damages, there is an increased risk of reputational damage in the financial sector, as the management of assets is associated with a particular expectation of confidentiality on the part of customers. If this expectation is disappointed, customers may turn away, with potentially significant negative consequences for business activities.
We support you in introducing data protection-compliant processes and setting up an effective data protection organisation, taking care to avoid incompatible duplicate structures, e.g., by aligning data protection management with or integrating it into an existing (compliance) management system.
