Community management companies oversee a significant amount of sensitive information for the HOAs they serve, especially as part of various accounting tasks. This responsibility includes managing information that has potential to become vulnerable due to more digital processes and a rising number of cyber thieves.
Accounting systems have always contained confidential information, such as birth dates, addresses and phone numbers, banking and card account numbers, and even social security numbers. Paper processes meant that the information could be secured in lockable filing cabinets. There was limited access and few criminals interested in breaking into a community property management office for these files.
What’s changed is that putting this accounting information into the digital environment creates more opportunity for hackers to grab larger amounts of valuable data with less effort. Many community property management companies may not realize that they are at risk for data breaches. Do you have a proven strategy for securing your accounting systems and the data they hold?
When there is a breach and data is stolen from a community property management company’s accounting system, it’s not just frustrating or upsetting. There are serious consequences for those who have lost the data and those that were charged with protecting it. For those residents who have their data compromised, they must now struggle to get their digital and physical identities back from the fraudsters, which costs both time and money.
For the community property management company who was supposed to protect that data, the costs includes potential fines, penalties, and lawsuits. On top of that, the situation could lead to a tarnished brand reputation where HOA communities no longer want to work with that company. From there, that damage can lead other potential community clients to select a company with no data breaches.
Here are five accounting security strategies that you might consider for your company’s financial, community, and resident data:
Innovia is here to help you navigate the best security measures to keep your accounting, community, and resident data safe. As part of a collective, we work with a number of organizations and experts.
Contact us today to find out how we can work better together.