Why Finance Industry Businesses Need Document Shredding

In financial matters, confidentiality is hugely important. Keeping sensitive reports, standards, projections and figures away from unauthorised individuals is a priority. On top of that, it is a legal requirement for businesses to destroy confidential but outdated financial records.

If your business belongs in the financial sector, you’ll need to invest in confidential document shredding. Here’s why shredding is so vital:

Protects Against Misuse of Corporate Documentation

Many financial transactions leave a paper trail. While some of it may not be sensitive, others may contain vital corporate information that should not fall into the wrong hands. Financial analysis reports, loan agreements and documents containing credit card or bank account details are obvious examples of business documents that an unlawful individual can easily misuse. Going through the garbage remains a popular method today for committing fraud. Shredding prevents anyone with ill intent to use confidential corporate papers against the interests of the business.

Prevents Data Breaches

A data breach can take on many forms. It could be a digital hack to a sensitive financial document. It could also be a malicious third party picking up a confidential report from a recycling or public bin, as recounted by data security experts. Regardless of the situation, breaches can be incredibly devastating for any business, as it can result in financial loss, as well as loss of trust from their customers, if it is their data that is leaked.

Shredding ensures that breach of data does not happen due to the poor disposal of documents

Safeguards Data Subjects

Businesses managing personal data have the additional responsibility of safely destroying unnecessary but confidential information. Financial documents are almost always sensitive, as they contain information that can be used to access customer data records and other personal information. Improper handling or disposal can expose data subjects, such as customers, to a range of risks like fraud and identity theft. When you fail to dispose of documented sensitive data, your business could face a range of consequences, including client attrition and heavy fines.  

The good news is you can mitigate these risks through proper shredding. Doing so allows you to retain customer trust. It also helps you comply with legal standards, such as the General Data Protection Regulation (GDPR).

Helps Companies Implement Best Practices

Companies need to meet the high standards of the financial sector. The key expectation for these businesses is to apply the best practices with respect to document disposal. Confidential shredding offers an effective way to implement a best practice.

Businesses that need assistance in securely getting rid of sensitive paper waste from their premises can turn to LKM Recycling. We provide reliable and confidential paper shredding services to companies belonging in various sectors, including finance.

What separates us from our competitors when it comes to confidential shredding is our secure closed loop process. We adhere to a highly guarded process in gathering, shredding and recycling sensitive paper waste. You can rely on us to destroy the data of former employees, old financial and legal documents, outdated medical records and more.

Let us securely dispose of your confidential corporate papers. Reach out to us today to discuss your requirements.