SIM Swapping

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?

1. Social Engineering
   • Deceptive Tactics: Fraudsters use social engineering techniques to trick mobile carrier employees into transferring the victim’s phone number.
2. Phishing
   • Personal Information Theft: Obtaining personal information through phishing to facilitate the SIM swap.
3. Insider Threats
   • Corrupt Employees: Bribing or coercing mobile carrier employees to perform the SIM swap.
4. Unauthorized SIM Activation
   • Fraudulent Requests: Submitting unauthorized requests to activate a new SIM card with the victim’s number.
5. Exploiting Carrier Weaknesses
   • Security Flaws: Taking advantage of weak security protocols at mobile carriers.

What are the Impacts of SIM Swapping on Businesses?

1. Financial losses
   • Account Takeover: Financial losses from unauthorized access to bank accounts and other services linked to the phone number.
2. Customer Trust
   • Trust Issues: Erosion of customer trust in the security of mobile carriers and associated services.
3. Increased Security Costs
   • Enhanced Verification: Costs associated with implementing stronger verification processes to prevent SIM swapping.
4. Legal and Regulatory Consequences
   • Compliance Challenges: Potential fines and legal repercussions for failing to protect customer phone numbers adequately.
5. Operational disruption
   • Support Burden: Increased demand for customer support to address SIM swapping incidents and secure accounts.