CONNECT WITH US
Fintech

Fintech

Regions Bank Says AI Cybersecurity Drives Up Costs 1.5% to 3.5%

PYMNTS – Fintech logo

Published on

Add as a preferred source on Google
Regions Bank Says AI Cybersecurity Drives Up Costs 1.5% to 3.5%

Regions Financial Corp., parent company of Regions Bank, expects the cost of cybersecurity to increase its adjusted noninterest expense by between 1.5% and 3.5% for full-year 2026, Chief Financial Officer Anil Chadha said Friday (Oct. 16) during an earnings call.

Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

The company’s investments in technology and infrastructure drove a 6% increase in its equipment and software expense, according to a presentation released Friday.

“That is just investment in cybersecurity,” Chadha said of the adjusted noninterest expense figure. “So, think about frontier AI and investments that we are making to ensure we have a trustful platform for our customers.”

Asked by an analyst about banks redirecting tech investment toward cyber risk due to the cyber threat posed by AI, Chadha said such investments have always been critical but are of heightened importance now. This involves “meaningful expense,” both new and redirected, Chadha said.

“We do expect that to continue through time,” Chadha said. “It is the new reality that we live in today. We are definitely front and center with that.”

Please add us to your preferred sources list so our news, data and interviews show up in your feed. Thanks!

Regions Financial has $163 billion in assets; serves customers across the South, Midwest and Texas; and, through Regions Bank, operates more than 1,200 banking offices, according to a Friday press release.

Regions Financial is also investing in implementing a cloud-based deposit platform and other modernization efforts, Chairman, President and CEO John Turner, Jr.


Source link
Related Topics:Fintech

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We TheMorningPulse.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It's possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.