2026 CBAK Pub. 7 Issue 1

How To Harden Microsoft 365 for Maximum Security in Financial Institutions By RESULTS TECHNOLOGY For community banks, Microsoft 365 is a powerful tool for productivity. But with great power comes great responsibility. Financial institutions are prime targets for cyberattacks, and a default Microsoft 365 setup leaves too many doors open for malicious actors. It’s not enough to simply use these tools; you must actively secure them. This process is known as Microsoft 365 hardening. It involves systematically securing your cloud environment to reduce its attack surface — the sum of all potential entry points for a security breach. For banks, this is a regulatory necessity. Hardening ensures your system only runs what is absolutely required for business functions, removing unnecessary services and permissions while deliberately configuring security features to their strongest settings. So, how can you transform your standard Microsoft 365 environment into one that meets stringent compliance standards? This guide outlines the essential steps and best practices for maximum Microsoft 365 security. Why Microsoft 365 Hardening Is Imperative for Banks The Federal Financial Institutions Examination Council (FFIEC) mandates that banks minimize their attack surface and enforce strong access controls. A standard, out-of-the-box Microsoft 365 configuration does not meet these requirements. Default settings often include services and permissions that, while convenient, create significant vulnerabilities. For instance, a system might come with mail and file-sharing services enabled by default, even if they aren’t needed for that system’s specific purpose. Each unnecessary service is another potential gateway for an attack. If system administrators overlook these unused features, they often go unpatched and unmonitored, becoming weak links 13 In Touch

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