Business Email Compromise: A Growing Threat and How to Defend Your Business
September 1, 2024
In the digital age, email is a cornerstone of business communication. However, this reliance on email also exposes organizations to various cyber threats, one of the most insidious being the Business Email Compromise (BEC). BEC attacks target businesses by compromising their email systems, often leading to significant financial losses and data breaches. In this article, we’ll explore what BEC is, how it operates, and what steps you can take to safeguard your business.
What is Business Email Compromise?
Business Email Compromise is a type of cybercrime where at-tackers use various techniques to gain unauthorized access to a company’s email accounts. Once compromised, these accounts can be used to impersonate executives or employees, manipulate financial transactions, or steal sensitive information. BEC attacks are highly targeted and can be devastating for organizations of all sizes.
How BEC Attacks Work
Phishing and Social Engineering: Attackers often start with phishing emails to trick employees into providing login credentials. These phishing emails may appear to come from legitimate sources, such as a trusted partner or executive.
Credential Theft: Once attackers have access to email accounts, they can monitor communications, gather information, and establish a foothold within the organization. They may also use the compromised account to perform additional phishing attacks.
Impersonation: With access to legitimate email accounts, attackers can impersonate key personnel (like CEOs or CFOs) and send fraudulent instructions to employees. This often involves requesting wire transfers, sensitive information, or other actions that can result in financial loss or data breaches.
Financial Fraud: One of the most common outcomes of BEC attacks is financial fraud. Attackers may direct employees to transfer funds to fraudulent accounts or manipulate invoices to redirect payments.
How to Spot BEC Attacks
Unusual Requests: Be cautious of email requests that deviate from normal business practices. For example, sudden requests for wire transfers or changes in payment details should be verified through a trusted channel.
Inconsistencies in Communication: Look for discrepancies in the tone, language, or format of emails. For instance, an email from a high-ranking executive that uses unusual language or deviates from their usual style may be a red flag.
Email Address Spoofing: Attackers may use email addresses that closely resemble legitimate ones but have slight variations. Always double-check email addresses, especially when handling sensitive information or financial transactions.
Urgency and Pressure: Be wary of emails that create a sense of urgency or pressure to act quickly. Scammers often use these tactics to bypass normal verification processes.
How to Protect Your Business
Implement Multi-Factor Authentication (MFA): Require MFA for accessing email accounts. This adds an extra layer of security, making it more difficult for attackers to gain unauthorized access.
Conduct Regular Training: Educate employees about BEC and other cyber threats. Regular training on recognizing phishing attempts and following security protocols can significantly reduce the risk of successful attacks.
Verify Requests Through Alternate Channels: Implement a policy requiring verification of any sensitive requests or transactions through a secondary communication method, such as a phone call or in-person confirmation.
Monitor and Review Email Activity: Regularly review email activity for any unusual behavior. Implement security solutions that can detect and alert you to suspicious activities.
Maintain Up-to-Date Security Software: Ensure that your email and security systems are updated regularly to protect against the latest threats and vulnerabilities.
Develop an Incident Response Plan: Prepare for potential BEC attacks by having a clear incident response plan. This should include procedures for reporting, containing, and recovering from an attack.
What to Do if You’ve Been Targeted
If you suspect that your business has fallen victim to a BEC attack:
Notify Your IT and Security Teams: Immediately alert your internal security team or IT department to assess the situation and begin containment efforts.
Contact Affected Parties: Inform any affected clients, partners, or financial institutions about the breach and any potential impact.
Report to Authorities: File a report with law enforcement agencies and relevant cybersecurity organizations. This can help in tracking down the perpetrators and mitigating further damage.
Review and Strengthen Security Measures: Conduct a thorough review of your security practices and update them as necessary to prevent future attacks.
Business Email Compromise poses a significant threat to organizations, but with vigilance and proactive measures, you can protect your business from these sophisticated attacks. Stay informed, educate your team, and continuously strengthen your security posture to safeguard against BEC and other cyber threats.
About First Bank and Trust Company
First Bank and Trust Company, one of the top community banks in the United States, is a diversified financial services firm with office locations throughout southwest Virginia and the state’s Blue Ridge and Shenandoah Valleys. First Bank and Trust Company also operates throughout northeast Tennessee and North Carolina. Financial solutions are addressed by offering free checking products for personal and business accounts, savings, money markets, and time deposit accounts. Lending solutions are managed by mortgage, agricultural, and commercial lending divisions. Comprehensive wealth management solutions are available through trust and brokerage service representatives.
For more information, visit Who We Are | First Bank & Trust Company or contact Kaitlyn Widner at kpruitt@firstbank.com.
SOURCE First Bank and Trust Company