INDUSTRIES

Banking, Financial Services and Insurance

Empower your BFSI organization to navigate regulatory challenges, enhance operational efficiency, and build customer trust with Glocert International's specialized compliance, risk management, and certification solutions.

Why BFSI is Different

Banking, financial services, and insurance organizations handle highly sensitive financial and customer data, operate under strict regulatory oversight, and are subject to evolving cybersecurity, privacy, and financial sector regulations. The combination of regulatory pressure, data sensitivity, operational risk, and third-party exposure creates unique compliance challenges that require specialized expertise and industry-specific solutions.

Regulatory Obligations

BFSI organizations must navigate multiple regulatory frameworks including PCI DSS (payment card security), SOC requirements (service organization controls), RBI regulations (India), GDPR (EU), and local financial sector regulations. Understanding which regulations apply and how they intersect is critical for maintaining compliance, avoiding penalties, and protecting financial data across different jurisdictions.

Common Compliance Mistakes

Many BFSI organizations make critical mistakes including treating compliance as a checkbox exercise instead of a governance system, implementing security controls without aligning with business processes, ignoring third-party and vendor risk, and failing to maintain evidence between audits. Understanding these common pitfalls helps organizations avoid costly compliance failures and regulatory penalties.

20+ BFSI Organizations Served
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50+ Countries Served
15+ Years of Experience

BFSI Verticals We Serve

From fintech platforms and payment processors to traditional banks and insurance companies, BFSI organizations must demonstrate robust security, compliance, and operational controls to win customer trust and meet regulatory requirements.

Fintech

Fintech companies require ISO 27001, SOC 2, PCI DSS, ISO 27701, and regulatory compliance (RBI, SEBI, GDPR) to demonstrate security, privacy, and operational controls required by customers and regulators.

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Payment Card Processing

Payment card processors and payment service providers require PCI DSS, ISO 27001, SOC 1, SOC 2, and ISO 22301 to demonstrate payment security, financial controls, and operational resilience.

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Traditional Banking

Banks and financial institutions require ISO 27001, ISO 22301, ISO 31000, RBI IS compliance, SOC 1, and regulatory compliance to demonstrate security, resilience, and financial controls.

Insurance Companies

Insurance organizations require ISO 27001, ISO 22301, ISO 31000, ISO 27701, and regulatory compliance to demonstrate security, business continuity, risk management, and privacy controls.

Investment Services

Investment firms and wealth management companies require ISO 27001, SOC 1, ISO 22301, ISO 31000, and regulatory compliance (SEBI, SEC) to demonstrate security and financial controls.

Financial Services Providers

Financial services providers including credit unions, lending institutions, and financial technology service providers require ISO 27001, SOC 2, PCI DSS, and regulatory compliance.

Regulatory Obligations

Understanding which regulations apply to your BFSI organization and how they intersect is critical for maintaining compliance and protecting financial data.

Mandatory Requirements

PCI DSS: Required for organizations that accept, process, store, or transmit payment card data. Applies to merchants, payment processors, and service providers handling cardholder data. Non-compliance can result in fines, loss of payment processing privileges, and reputational damage.

RBI IS (India): Required for banks and financial institutions operating in India. Mandates information security controls, risk management, and cybersecurity requirements.

GDPR (EU): Required for BFSI organizations processing personal data of EU residents. Applies to financial services companies operating in or serving EU customers.

Commonly Required Frameworks

SOC 1: Commonly required for service organizations handling financial transactions. Demonstrates Internal Controls Over Financial Reporting (ICFR) for customers and auditors.

SOC 2: Required by enterprise customers for BFSI service providers. Demonstrates security, availability, processing integrity, confidentiality, and privacy controls.

ISO/IEC 27001: Widely recognized information security management system standard, often required for enterprise contracts and regulatory compliance in financial services.

Emerging Regulatory Focus

Operational Resilience: Increasing focus on business continuity and operational resilience, including ISO 22301 and regulatory requirements for financial institutions.

Third-Party Risk: Enhanced scrutiny of third-party vendors, service providers, and supply chain security in financial services.

AI Governance: Growing emphasis on AI systems in financial services, including transparency, bias, and ethical use requirements.

Commonly Adopted Certifications

These certifications help BFSI organizations demonstrate compliance, protect financial data, and meet regulatory requirements.

PCI DSS

For payment card security. Ensures organizations that handle payment card data maintain secure environments and protect cardholder data.

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SOC 1

For financial controls. Demonstrates Internal Controls Over Financial Reporting (ICFR) for service organizations handling financial transactions.

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ISO/IEC 27001

For information security governance. Provides a systematic approach to managing information security risks and protecting financial data.

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ISO 22301

For business continuity. Ensures BFSI organizations can maintain critical operations and financial services during disruptions.

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ISO 31000

For risk management. Strengthens risk management capabilities and enhances organizational resilience in financial operations.

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ISO/IEC 27701

For data privacy. Extends ISO 27001 to provide a privacy information management system aligned with GDPR and other privacy regulations.

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RBI IS

For India financial sector compliance. Reserve Bank of India Information Security framework for banks and financial institutions.

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ISO 9001

For quality management. Improves quality, enhances customer satisfaction, and drives continuous improvement in financial services.

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Common Compliance Mistakes

Understanding these common pitfalls helps BFSI organizations avoid costly compliance failures and build more effective security and compliance programs.

Treating Compliance as a Checkbox Exercise

Many BFSI organizations implement compliance frameworks as a checklist rather than a governance system. Effective compliance requires executive leadership, organizational culture change, and integration with business processes, not just technical controls.

Security Controls Without Business Alignment

Implementing security controls without aligning with business processes and customer requirements leads to friction, workarounds, and compliance failures. Security must integrate seamlessly with financial operations and customer service.

Ignoring Third-Party and Vendor Risk

BFSI organizations often focus on internal controls while overlooking third-party vendors, payment processors, cloud service providers, and software supply chain risks. These represent significant risk vectors that must be assessed and managed.

Failing to Maintain Evidence Between Audits

Many organizations prepare evidence only during audit periods, leading to gaps, inconsistencies, and compliance failures. Continuous evidence maintenance and monitoring are essential for effective compliance in financial services.

Insufficient Payment Card Security

Many organizations fail to properly implement PCI DSS requirements, including network segmentation, encryption, access controls, and monitoring. Payment card security requires comprehensive controls, not just basic compliance.

Inadequate Incident Response Planning

BFSI organizations often have incident response plans that are not tested, not integrated with operations, or fail to address customer notification, regulatory reporting, and business continuity requirements effectively.

How Glocert Supports BFSI Organizations

Glocert supports BFSI organizations through independent certification, assurance, and audit services aligned to international standards and financial sector regulations.

Our BFSI compliance services include PCI DSS compliance for payment card security, SOC 1 audits for financial controls, ISO 27001 certification for information security governance, ISO 22301 certification for business continuity, ISO 31000 certification for risk management, ISO 27701 certification for privacy management, RBI IS compliance for India financial sector, and ISO 9001 certification for quality management.

We understand the unique challenges of BFSI organizations including regulatory complexity, financial data sensitivity, payment card security, third-party risk management, and operational resilience. Our auditors bring deep BFSI industry expertise and work with you to build compliance programs that integrate with financial operations, protect customer data, and meet regulatory requirements across multiple jurisdictions.

Frequently Asked Questions

Do BFSI organizations need both PCI DSS and ISO 27001?
Many BFSI organizations benefit from both certifications. PCI DSS is mandatory for organizations handling payment card data and demonstrates payment card security. ISO 27001 provides a comprehensive information security management system framework that can help demonstrate PCI DSS compliance more effectively. Many organizations use ISO 27001 as the foundation for their security program and pursue PCI DSS to meet payment card security requirements. The choice depends on whether you handle payment card data, customer requirements, and compliance strategy.
How does third-party vendor risk affect BFSI compliance?
Third-party vendor risk is critical in BFSI given reliance on vendors for payment processing, cloud services, software components, and business processes. BFSI organizations must assess vendor security capabilities, require appropriate certifications (SOC 1, SOC 2, ISO 27001), ensure contracts include security and privacy requirements, monitor vendor compliance, and have incident response plans that include vendors. Many financial breaches originate from third-party vendors, making vendor risk management a priority. PCI DSS, ISO 27001, and regulatory requirements include vendor management obligations.
Are fintech companies subject to the same requirements as traditional banks?
Fintech companies face similar but sometimes more stringent requirements. Fintech companies handling payment card data need PCI DSS, those handling financial transactions may need SOC 1, and those handling customer data need ISO 27001 and ISO 27701. Regulatory requirements vary by jurisdiction and services offered. Many fintech companies must comply with banking regulations, payment regulations, and data protection laws. Customers often require fintech companies to achieve certifications before engaging their services, making compliance a competitive necessity.
What happens if a BFSI organization operates in multiple jurisdictions?
BFSI organizations operating across jurisdictions must comply with all applicable regulations. A US fintech company with EU customers must comply with both US financial regulations and GDPR. Organizations may need to address data residency requirements, cross-border data transfer restrictions, and jurisdiction-specific financial and privacy laws. ISO 27001 and ISO 27701 provide frameworks that can help harmonize compliance across jurisdictions, but organizations must still meet jurisdiction-specific requirements. Many organizations use ISO 27701 to demonstrate GDPR compliance while also addressing other privacy regulations.
How do payment card processing requirements differ from general financial compliance?
Payment card processing introduces specific requirements including PCI DSS for payment card security, network segmentation, encryption, access controls, and monitoring. Payment processors must also comply with financial regulations, SOC 1 for financial controls, ISO 27001 for information security, and ISO 22301 for business continuity. Payment card security requirements are more prescriptive than general financial compliance, focusing on protecting cardholder data throughout the payment lifecycle. Many payment processors pursue PCI DSS, SOC 1, and ISO 27001 to demonstrate comprehensive security and financial controls.
Can organizations use ISO 27001 instead of separate PCI DSS and SOC 1 certifications?
ISO 27001 provides a comprehensive information security management system, but PCI DSS and SOC 1 serve different purposes. PCI DSS is mandatory for organizations handling payment card data and demonstrates payment card security. SOC 1 demonstrates Internal Controls Over Financial Reporting (ICFR) for financial processes. Many organizations pursue ISO 27001 as the foundation for their security program, add PCI DSS for payment card security, and pursue SOC 1 to meet customer and regulatory requirements for financial controls. The choice depends on whether you handle payment card data, customer requirements, and compliance strategy.
What are the implications of cloud hosting for BFSI compliance?
Cloud hosting introduces additional compliance considerations for BFSI organizations. Organizations must ensure cloud providers meet security and privacy requirements, implement appropriate access controls, and ensure data encryption. Under PCI DSS, organizations remain responsible for payment card data even when stored in the cloud, so proper vendor assessment and contract management are critical. Many BFSI organizations require cloud providers to achieve SOC 2 or ISO 27001 certification. ISO 27017 and ISO 27018 provide cloud-specific security and privacy controls. Regulatory requirements may also restrict cloud hosting of financial data in certain jurisdictions.
How should BFSI organizations approach business continuity and operational resilience?
Business continuity and operational resilience are critical for BFSI organizations given the need to maintain financial services during disruptions. ISO 22301 provides a business continuity management system framework, and many financial regulators require operational resilience capabilities. Organizations should implement business continuity plans, test them regularly, ensure critical systems can be recovered, and have incident response plans that address customer notification and regulatory reporting. Many BFSI organizations pursue ISO 22301 to demonstrate business continuity capabilities and meet regulatory requirements for operational resilience.

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Glocert International

Are you ready to protect financial data and achieve compliance excellence? Glocert International is ready to assist with compliance, risk management, and certification solutions tailored to your BFSI organization.