Community Bank, which operates across Pennsylvania, Ohio, and West Virginia, has disclosed a cybersecurity incident involving the exposure of sensitive customer information after the use of an unauthorized artificial intelligence application.

In a filing submitted to the United States Securities and Exchange Commission on May 7, the bank confirmed that customer names, dates of birth, and Social Security numbers were potentially compromised.

The institution stated that the incident involved the use of an unapproved AI based software tool that handled confidential customer information.

Although the bank did not reveal the specific AI application involved or the total number of affected customers, reports suggest that an employee may have uploaded sensitive banking information into an online AI chatbot system.

Such platforms can potentially store or process submitted data through external servers operated by third party companies.

Community Bank stated that it is currently reviewing the scope of the incident and notifying affected customers in compliance with relevant legal requirements.
The company described the exposure as serious due to the highly sensitive nature of the personal information involved.

Cybersecurity experts have increasingly warned organizations about the risks associated with employees using unauthorized artificial intelligence tools in workplace environments.

Concerns include data leaks, accidental exposure of confidential records, and the possibility of sensitive information being processed outside secure corporate systems.

The incident highlights growing challenges faced by financial institutions as artificial intelligence tools become more widely available in professional settings.

Businesses across multiple industries are now being urged to establish stricter policies governing how employees interact with AI platforms to prevent similar security breaches in the future.

Source: TechCrunch