In recent years, our lives have shifted online more than ever. It has impacted every aspect of our lives, from performing simple daily tasks to transforming business operations. We have all found ways to take advantage of this rapid development of technology and the Internet. Not only can you arrange an appointment with a hairdresser or doctor with a few clicks or find the product or service you are looking for within minutes, but companies can also reach a whole new customer base. Unfortunately, not only individuals and companies have benefited from technological advancements, but various fraudsters and cyber criminals have also found a way to use it for their malicious actions.
Any business that has an online presence is at risk of falling victim to an attempted fraud. But this doesn’t mean they should avoid technological advances to protect themselves; they just have to stay ahead of the fraudsters. It is imperative that companies use the right fraud detection and prevention strategy if they want to win in this cat and mouse game with fraudsters.
The most common online dangers
Because not all businesses face the same online threats, they must tailor their fraud detection strategy to their specific needs. To do this, you need to familiarize yourself with the most common online risks that can directly harm your business.
While there are many different types of fraud that can affect your business or organization, there are some that are more common than others:
Ransomware: In this type of fraud, fraudsters will demand a ransom to release the data they have encrypted or even blocked. Companies continue to struggle to decide between paying the ransom or losing the company data. With the development of technology, ransomware attacks are more common, with fraudsters demanding larger and bolder ransoms.
phishing: This is not only one of the most common types of fraud, but also one of the most malicious as it abuses people’s trust. It happens when a fraudster impersonates someone you trust to trick you into disclosing sensitive information.
Card not present fraud: This type of fraud usually ends in a chargeback request from a legitimate card owner, resulting in several problems for the company. Not only do they have to reverse the transaction, lose sales and a product, but it can also cause reputational damage.
Account takeover: This happens when fraudsters manage to access confidential account information and use that login for their personal benefit.
Data leak: This happens when cyber criminals use malicious actions to access confidential or protected data and expose it to unauthorized persons. In 2021, there was a more than 70 percent increase in data breaches compared to 2020, and the number does not appear to be decreasing.
What can you do to protect your business?
Knowing the dangers you face is the step in the right direction to protect your business and its customers. But just knowing the dangers is not enough. Start taking the necessary measures and reduce the risks.
1. Regular security audits.
By conducting regular security audits, you can discover where the threat is coming from and if there are vulnerabilities in your network that could open the doors for them.
2. Train your employees
The human factor is one of the biggest risks in any business, especially regarding the phishing attack. If your employees are aware of the dangers they face and how to recognize them, they will be better able and more vigilant to fight them.
3. Implement a password policy for your employees and customers
Passwords are the key to your accounts, and if fraudsters manage to gain access, they can cause significant damage. This can be especially dangerous if you use the same or similar passwords for all your accounts.
4. Implement a cybersecurity strategy
Believing that you will not become a victim is not enough, and you must actively protect yourself from online dangers. Use the knowledge of security audits and develop cybersecurity strategies that work for your business.
5. Keep your cybersecurity protocols up to date
Implementing cybersecurity protocols is not enough; you must ensure that you keep them up to date to reduce the risk of fraud. Fraudsters are constantly updating their attacks and relying on tools that have not been updated makes no sense.
Every business owner wants to ensure that their business becomes and remains successful, and cybersecurity plays a major role. Follow the advice above and protect your business.