Business Email Compromise (BEC)
Business Email Compromise (BEC) is a type of cyberattack where criminals exploit trust in business email systems to trick employees or other targets into taking actions that financially benefit the attackers. BEC attacks are considered one of the most financially damaging online crimes.
How BEC attacks work
BEC attacks typically involve social engineering and impersonation tactics rather than relying on technical flaws or malware. Threat actors perform extensive reconnaissance to gather information about their target organization and its personnel, sometimes compromising actual email accounts to gain insights into communication patterns and internal processes. They then use this information to craft highly personalized and seemingly legitimate emails, often impersonating a trusted individual like a CEO, CFO, vendor, or legal representative. These emails often create a sense of urgency or secrecy to pressure the recipient into acting quickly without verifying the request through established channels.
Common types of BEC scams
BEC scams take various forms, but often involve the following techniques:
CEO Fraud: Attackers impersonate the CEO or other high-ranking executives to request urgent wire transfers or confidential data.
Invoice Manipulation: Attackers pose as a legitimate vendor or supplier and send fake or altered invoices with changed bank account details, diverting payments to accounts controlled by the attackers.
Attorney Impersonation: Attackers impersonate lawyers or legal representatives, using the guise of urgency and confidentiality to pressure employees into making payments or sharing sensitive information related to legal matters or acquisitions.
Account Compromise: Attackers gain unauthorized access to an employee's email account and use it to send fraudulent requests, including rerouting invoice payments or updating direct deposit information.
Data Theft: Attackers target employees in HR or accounting to steal sensitive data, such as employee tax information or personal identifiable information (PII), often for use in future attacks or for sale on the dark web.
Why BEC attacks are effective
BEC attacks are highly effective because they exploit human vulnerabilities such as trust in authority and susceptibility to urgent requests. By mimicking routine workflows and communication styles, attackers can make fraudulent requests seem legitimate, making it difficult for employees to discern a scam. The use of AI to generate convincing emails further enhances their effectiveness.
Protecting against BEC attacks
Organizations can take several measures to defend against BEC attacks, including:
Employee Training: Provide regular cybersecurity awareness training that covers BEC tactics, how to identify suspicious emails, and the importance of verifying unusual requests through alternative channels.
Multi-Factor Authentication (MFA): Implement MFA for email accounts and other critical systems to add an extra layer of security and reduce the risk of account compromise.
Email Authentication Protocols: Deploy and enforce email authentication protocols like DMARC (Domain-based Message Authentication, Reporting and Conformance) to prevent email spoofing.
Verification Procedures: Establish strict procedures for verifying payment requests, especially for wire transfers or changes to payment information, requiring multiple approvals or out-of-band verification using pre-established contact information.
Advanced Email Security Solutions: Implement email security solutions with advanced features like AI-powered threat detection, forged email detection, and URL scanning and filtering to detect and block BEC attacks.
Incident Response Plan: Develop a comprehensive incident response plan specifically for BEC attacks to ensure a swift and effective response, including isolating affected systems, contacting financial institutions, and notifying relevant authorities.
By combining these measures with a culture of security awareness and encouraging open communication, organizations can significantly reduce their risk of falling victim to BEC scams.