What is SIM Swapping?
SIM swapping is a type of fraud where attackers take control of a victim’s phone number by tricking the mobile carrier into transferring it to a new SIM card controlled by the attacker.
How SIM Swapping Occurs?
- Social Engineering
- Deceptive Tactics: Fraudsters use social engineering techniques to trick mobile carrier employees into transferring the victim’s phone number.
- Phishing
- Personal Information Theft: Obtaining personal information through phishing to facilitate the SIM swap.
- Insider Threats
- Corrupt Employees: Bribing or coercing mobile carrier employees to perform the SIM swap.
- Unauthorized SIM Activation
- Fraudulent Requests: Submitting unauthorized requests to activate a new SIM card with the victim’s number.
- Exploiting Carrier Weaknesses
- Security Flaws: Taking advantage of weak security protocols at mobile carriers.
What are the Impacts of SIM Swapping on Businesses?
- Financial losses
- Account Takeover: Financial losses from unauthorized access to bank accounts and other services linked to the phone number.
- Customer Trust
- Trust Issues: Erosion of customer trust in the security of mobile carriers and associated services.
- Increased Security Costs
- Enhanced Verification: Costs associated with implementing stronger verification processes to prevent SIM swapping.
- Legal and Regulatory Consequences
- Compliance Challenges: Potential fines and legal repercussions for failing to protect customer phone numbers adequately.
- Operational disruption
- Support Burden: Increased demand for customer support to address SIM swapping incidents and secure accounts.
