What is a Social Engineering Scam? Examples & Prevention Tips

social engineering scams

Nowadays, Internet users have grown exponentially all over the globe, and many of them are newcomers. They don’t even have the basic knowledge of safe Internet browsing. Modern scammers use different methods to take possession of their data and money illegally. One of them is social engineering scams. Let’s talk about them in detail and discuss how they cause financial damage to individuals or companies.

What is A Social Engineering Scam?

In simple words, social engineering scams are a set of manipulation and deception practices. Hackers use multiple methods to obtain confidential information and steal digital assets from people and companies. Usually, they exploit human psychology by playing on trust and urgency. Here are some common examples of social engineering scams:

  • You get a call from your bank with information that fraudsters have gained access to your card. Share all your details immediately to resolve the problem. 
  • A message from a hacker with text like- your email has been hacked. I have placed a Trojan on your PC that has collected compromising information about you. Send me money, otherwise…”.
  • An email from a suspicious address stating that your account has been hacked. You need to change the password immediately by clicking on the link. 
  • Tearful messages from so-called poor children/animals/disabled people who need money for treatment/food. 

Why Are Social Engineering Scams So Successful?

social engineering scam

Improved Attack Methods

Nowadays, scammers use different tricks to steal data and digital money. There are situations when even an experienced person fails to uncover the deception immediately. Cybercriminals play with human psychology and deceive people or companies using different techniques.

The abundance of Personal Information on the Internet

Individuals leave too much personal information on social media websites, e-commerce portals, video-calling platforms, etc. Hackers often extract information from these sources and launch cyberattacks.

Low Digital Literacy

Although there is no accurate data about digital literacy all over the globe. It is widely believed that out of a hundred individuals, only 86 people are familiar with the latest digital innovations. Many individuals active in the internet world do not know about different cybersecurity threats. Such vulnerable people are easy targets for professional online swindlers.

Remember, the consequences of a successful social engineering scam can be catastrophic for both a company and an individual. In the case of a business entity, the consequences may include financial losses, leakage of confidential data, damage to reputation, and even business closure. 

For an individual, the consequences can be very serious. It involves the theft of personal data, and money, no access to personal accounts, and even identity loss. Cybercriminals may use phone numbers, dates of birth, addresses, and other personal information to gain access to financial accounts, take out loans, or even commit financial crimes in the victim’s name.

How To Protect Yourself From Social Engineering Fraud?

Being aware of social engineering methods and practices will help companies and individuals strengthen their cybersecurity and prevent such attacks in the future. Here are some recommendations for them:

For Individuals:

  • Be vigilant and do not trust unverified sources of information.
  • Do not disclose personal information, passwords, or financial information over the phone or via email under any circumstances. 
  • Verify the authenticity of requests for information if they come from unexpected or unknown sources.
  • Use strong passwords and two-factor authentication to protect your E-accounts. Change login details regularly & monitor account activities also. 
  • Don’t share too much personal information on social media. Never let strangers into your social circle. 
  • Regularly monitor your financial transactions. Quickly respond to suspicious activity on your bank accounts. It will help prevent larger financial losses. 
  • If you experience a fraudulent attack, report it to your bank and law enforcement agencies. They will investigate the financial scam and help minimize damages. 
  • Block SPAM calls using apps. Don’t receive unwanted calls from unknown, suspicious, or international phone numbers as far as possible. 
  • Give up your love for public Wi-Fi. It is a favorite hotspot for cybercriminals to intercept data using a man-in-the-middle attack. Disable the auto-connect feature on your mobile handsets. It will expose you to many security challenges. 
  • Avoid emotional decisions as far as possible. Resist when someone calls you to take action immediately, such as investing in a particular scam. Always cross-check investment plans from multiple angles before making a decision.

     

For Companies:

  • Educate employees about the basics of cybersecurity. Let them know how they can identify suspicious Emails and websites. 
  • Use updated software, OS, antivirus, firewall, and a premium VPN. It will reduce unwanted traffic and cyberattacks on your company’s digital infrastructure. 
  • Use a business Email for your company. Filter spam and regularly check attachments and links before opening them.
  • Use two-factor authentication on all computers and Emails used in your company. It will help prevent unauthorized access and stop data theft. 
  • Develop and implement information security policies that include security incident response procedures and employee training.
  • Restrict employees’ access to sensitive data and review access rights regularly.
  • Conduct security audits to identify potential weaknesses in your company’s digital setup and fix them immediately. 
  • Always question unexpected behavior from employees and representatives from other companies. It will help identify fraudulent elements and stop social engineering scams.

What Should You Do After A Social Engineering Fraud?

If you fall victim to a social engineering scam, control your emotions first. Losing access to your e-account or digital wealth can be quite frustrating. Immediately contact us at Crystal Recoup and take advantage of our social engineering scams recovery services. We have all the resources to look into financial crime and examine the possibility of money recovery. With our help, you can easily track online swindlers and minimize your loss after a social engineering fraud.

Conclusion

Social engineering scams are causing tremendous losses to individuals and companies. It is important to understand that protection against intruders requires you to have multiple approaches. Increase your knowledge about the latest social engineering scams and learn how to combat them. Crystal Recoup is always happy to help you with its social engineering scam recovery services. Contact us immediately when you experience online financial fraud. Our experts will conduct an all-inclusive probe into financial crime and help you recover from monetary losses as much as possible. 

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