Patelco Credit Union is one of the biggest financial organizations in the area of San Francisco Bay that recently experienced a severe disruption after the ransomware attack that took place on the 29th of June. The raid has forced Patelco to be in a process of stabilizing circumstances and opening accounts for tens of thousands of customers.
Disruptions in the Services and the Overarching Recovery Strategies
On July 2nd, the Chief Executive Officer Erin Mendez said that Patelco is using the service of third-party cybersecurity firms to ensure that the hacked systems are quickly restored. “This is normal and to be expected during our recovery process,” Mendez pointed out, while indicating that while they noted that Patelco local ATMs may go off and on, customers can still access other common ATMs for their cash requirements.
The ransomware attack has affected a number of the organization’s key services as Patelco was unable to conduct online banking, the mobile apps as well as the call center services. Many customers have not been able to complete fundamental bank electronic operations including; deposits, transfers, balance checks and payments.
Expected Duration of Downtime
While the Patelco has not been clear to state when full service will be regained, statistics show that the average business takes 21 to 24 days to regain its functionality after a ransomware attack. This period involves data decryption or recovery from backup, system reconstruction, remedying security threats, and brand reputation recovery.
Broader Cybersecurity Challenges
The incident at Patelco reflects a broader trend of increasing cyberattacks on credit unions. A study by Orange Cyberdefense found that organizations with fewer than 1,000 employees are significantly more likely to experience cyber extortion attacks compared to larger businesses. The National Credit Union Administration (NCUA) reported a 25% increase in cybersecurity incidents at credit unions, highlighting the growing sophistication and frequency of such attacks.
Unclaimed Responsibility
To the date of writing this paper there was no ransomware group that claimed of having attacked Patelco and the credit union has not publicized any details about the attackers. This obviously leaves the consumer with doubts as to whether the company has lost their customer’s sensitive information and details. According to the UK National Cyber Security Centre, data is usually extracted from computers every time ransomware is used, and this further slows the recovery process.
Ongoing Efforts and Precautions
The Patelco authorities are already running round-the-clock to normalize the situation and strengthen the protection of the company systems. This incident serves to understate the importance of having and preparing for effective cybersecurity measures against more advanced cyber threats.
Patelco Credit Union is currently employing measures to unravel the effects of the ransomware attack that they suffered which affected their operations.