Banks are more than just account providers — they are trusted partners in financial security. While customers rely on you to protect their funds, their online activity outside your app or site can still expose them to risks. This could include downloading a piece of malware unintentionally or even using an unsecure Wi-Fi connection.
Public Wi-Fi is one of the biggest weak points. Many assume that networks in coffee shops, libraries, or airports are safe, but cybercriminals can easily create fake ones that look legitimate.
A recently discovered flaw in the IEEE 802.11 Wi-Fi standard makes this even easier, allowing attackers to disguise rogue networks and intercept data through man-in-the-middle attacks. This means a hacker can secretly intercept and steal data as it moves between a user and a trusted network.
A virtual private network (VPN) like Pango scrambles data before it leaves the device, blocking anyone from accessing your information. Even if a customer unknowingly connects to a fake Wi-Fi network, a VPN prevents attackers from reading or stealing login credentials and banking details.
What Happens When You Use a VPN?
Pairing a VPN with your bank’s security features reduces the risk of interception, location-based fraud, and unauthorized access attempts. Since the bank only sees encrypted requests from the VPN server, attackers attempting to eavesdrop on connections are left with unreadable data.
A VPN creates an encrypted tunnel between a device and a remote server, masking the user’s internet activity before connecting to its final destination. This rerouted connection replaces the user’s IP address with one from the VPN server, making it harder to track their online movements.
VPNs are widely used by remote employees to access corporate networks securely. For consumers, they provide a way to browse privately, especially when accessing content restricted by location. But their biggest benefit is encryption.
The moment a device connects to a VPN, all outgoing data is scrambled. If an attacker intercepts the traffic — such as through a man-in-the-middle attack on public Wi-Fi — the encryption prevents them from reading or using it.
Instead of exposing customer traffic on an open network, a VPN routes it through a secure gateway before reaching your bank’s website. This process shields their real IP address and location, making it harder for attackers to target them based on browsing patterns.
What Does a VPN Hide?
VPNs can obscure a lot of information used to identify or compromise customers online. This includes:
- IP address: Your unique identifier on the internet. VPNs obscure IP addresses by routing them through a remote server, making it appear like you’re accessing the internet from a different city or country.
- Internet traffic: VPNs obscure browsing traffic behind an encrypted connection, making it difficult for anyone to track your activity online whether they’re doing it for marketing purposes or for malicious reasons.
- Physical location: By masking IP addresses, VPNs also obscure users’ real-world locations. This reduces the risk of location-based fraud or tracking.
- Financial transactions: Financial information like bank account access is protected behind an encrypted connection. Because VPNs offer encryption of all sensitive information, this adds a layer of security to financial transactions online.
- Download and streaming activity: Any activity online is encrypted through the secure tunnel of the VPN. This includes streaming activity and anything that customers download to their machines.
- Device information: As part of data encryption, VPNs hide the type of device being used to access the internet.
- DNS requests: Because DNS requests are routed through the VPN’s server, third parties like internet service providers (ISPs) or threat actors can’t see which websites you’re trying to access. This can protect the ability of customers to navigate to any legitimate website they need without being observed.
- VPN usage (with obfuscation): Some VPNs can disguise their own traffic to look like regular internet activity, making it harder for networks to detect or block them.
Why Your Customers Could be at Risk Without a VPN
Without a VPN, customers expose their data to cybercriminals whenever they connect to unsecured networks.
Fake networks, known as “evil twins,” and man-in-the-middle attacks can trick users into connecting to fraudulent hotspots. Once connected, attackers can intercept sensitive data, including login credentials and banking details. In 2024, an Australian man was arrested for setting up fake Wi-Fi networks at airports in Perth, Melbourne, and Adelaide to steal user information.
Some ISPs impose data caps, pushing users to connect to free public Wi-Fi when they exceed their limits. This increases exposure to insecure networks.
Cybercriminals can falsify their location and create deceptive networks that appear safe. Customers connecting to these networks unknowingly hand over data to attackers monitoring their activity.
Using a VPN encrypts traffic before it leaves the device, making intercepted data unreadable and reducing the risk of exposure on unsecured connections.
Who is most vulnerable without a VPN?
Certain customers face a higher risk of data exposure when browsing without a VPN:
- Customers who use public Wi-Fi: Public networks are inherently insecure, especially when they are not password protected. Customers who use these networks risk their sensitive data being stolen.
- Travelers and remote workers: Those who rely on hotel, airport, or café networks often have no choice but to connect to unsecured hotspots.
- High-net-worth customers and business accounts: Accounts with larger balances or access to sensitive company data are prime targets for cybercriminals.
- Customers in data-limited plans: Customers who have to contend with data limits on their internet plans may be forced to use public Wi-Fi when they exceed their cap.
- Anyone concerned about ISP tracking: Those who want to keep their browsing history private can use a VPN to prevent ISPs from tracking and selling their data.
Beyond VPNs: Complete Protection with Pango
Nearly half of U.S. internet users (46%) rely on VPNs for work or personal browsing. Offering a bank-provided VPN not only meets this demand but also positions your bank as being proactive about customer security.
However, VPNs aren’t a complete solution to online threats. They reduce risk but work best as part of a broader security plan that includes antivirus protection, password managers, and dark web monitoring.
Pango provides a full suite of security tools, including VPN, antivirus, and password management, designed to strengthen online banking security. By integrating these solutions into your offerings, you give customers the protection they need while reinforcing trust in your institution.
Learn how Pango can help protect your customers and grow your business. Contact us today.
