Whether it’s for client correspondence or internal updates, email is instrumental for business communication. However, emails also serve as a gateway for cybercriminals. Among the myriad of threats businesses face today, one of the most insidious are business email compromise (BEC) attacks. A successful BEC attack can result in significant financial losses and irreparable damage to a company’s reputation. In this guide, we will discuss the best practices for preventing BEC attacks and protecting your business from potential threats.
What are BEC attacks and how do they work?
BEC attacks are sophisticated scams that target an organization’s email accounts and impersonate trusted figures within the company to defraud employees, customers, or partners. These attacks use a combination of social engineering, email spoofing, stolen credentials, and malware to obtain sensitive information or initiate financial transactions.
BEC attacks are often carried out in multiple stages, starting with the reconnaissance phase where attackers gather information about their target to find social engineering angles. Examples of these angles include identifying key executives, suppliers, or personnel with financial responsibilities. The attackers then use this information to craft personalized emails that appear authentic and trustworthy to request access to data or prompt wire transfers.
Types of BEC attacks
BEC scams can take on various forms and techniques, which include:
- Data theft: Attackers gain access to sensitive data such as employee personal information or client lists, which can be used for further exploitation or sold on the black market.
- CEO fraud: Also known as whaling, this scam involves the attacker posing as a high-level executive and requesting urgent financial transactions from unsuspecting employees.
- Account compromise: Cybercriminals hack into an employee’s email account, commit identity theft, and use the account to solicit sensitive data or financial transfers.
- False invoice scheme: Cybercriminals impersonate a supplier and send fake invoices to businesses, prompting payments to their own accounts.
- Lawyer impersonation: Scammers pose as legal representatives and request confidential information or payment related to sensitive legal matters.
Tips to prevent BEC scams
Whatever form BEC attacks may take, you can protect your company by implementing these best practices:
Train employees
The best defense against BEC scams is to educate employees on the signs of a potential attack. Train them to recognize suspicious emails, such as those with unsolicited attachments or links as well as unexpected or urgent requests. To ensure email security, advise employees to confirm the sender’s identity through a separate communication method, such as a phone call or face-to-face interaction, whenever an email seems suspicious.
Enforce strong password policies
Setting long passwords or passphrases is incredibly effective at preventing cyberattacks. To promote this habit, set up an account policy that enforces a minimum password length requirement of at least 12 characters. You can also implement a company-wide password manager to foster the use of robust and distinct passwords for all employee accounts.
Enable multifactor authentication (MFA)
MFA prevents passwords from being the only way to log in to email accounts. With MFA enabled, users will have to enter additional verification, such as a one-time code or a biometric scan, to successfully log in, which reduces the risk of unauthorized access due to compromised passwords.
Establish strict financial controls
CEO fraud and false invoice schemes are often successful because of a lack of internal controls. To prevent these scams, establish strict policies for financial transactions, such as requiring multiple approvals for wire transfers or conducting thorough verification via phone call before processing payments. At the very least, have a designated individual or team to confirm the authenticity of any financial requests that come from business partners and high-level executives.
Monitor email activity
When cybercriminals compromise an employee’s email account, certain signs can indicate their presence, such as login attempts from unfamiliar IP addresses and during odd hours. By monitoring email accounts for these signs, your company can mitigate the impact of a successful BEC attack.
Additionally, watch out for large volumes of or frequent email replies to external contacts, which could indicate that an attacker is sending malicious emails on behalf of the compromised account. If employees report receiving unexpected or strange emails from a colleague, it’s essential to investigate and take necessary actions immediately.
Use advanced email security software
Advanced email security software can detect and block emails with suspicious sender names and domains. These filters use machine learning algorithms to analyze email content and sender information, reducing the chances of malicious emails making their way to employees’ inboxes.
What’s more, email security software can test links and attachments in an isolated virtual environment to determine if they lead to malicious websites or contain malware. If a link is deemed unsafe, the software will automatically warn employees of the potential threat or block the message from reaching its intended recipient.
Implementing these best practices can significantly reduce the risks associated with BEC scams. However, navigating the complexities of cybersecurity requires expert guidance and support. Tech Partners Hawaii can offer comprehensive security solutions to protect your business from various cyberthreats. Contact us today to build a robust defense strategy.