Today’s Scam of the day will be a bit longer than usual, but the added length is necessary to discuss the recent announcement of the massive data breach at Yahoo affecting as many as five hundred million people, making it the largest data breach in history. Yesterday, Yahoo announced that it had been the victim of a data breach that began two years ago. Yahoo has attributed the attack to what it called a “state-sponsored actor” and indicated that the compromised information included names, email addresses, telephone numbers, birth dates, encrypted passwords and security questions. The good news is that no bank account, credit card or debit card information appears to have been involved in the data breach. However, the information that was stolen is more than sufficient to be utilized for spear phishing emails specifically tailored for purposes of identity theft.
The first indication that there was a problem occurred in June when word of stolen Yahoo data started to be discussed in online forums on the Dark Web where cybercriminals communicate as well as buy and sell stolen data. Later, in August large batches of stolen Yahoo customers’ data began being sold on a black market website on the Dark Web called TheRealDeal. Now that the data breach has been confirmed, Yahoo is contacting affected customers, however it is important to remember that scammers are going to also be contacting people through phishing emails attempting to lure people into clicking on links that will download keystroke logging malware that will steal information to be used for purposes of identity theft or to trick people into providing personal information directly in response to the email. Official Yahoo emails will display the Yahoo icon and will not ask you to click on links, download attachments or provide personal information.
As I have suggested many times in the past, you should have a unique password for each of your online accounts so that in the event of a data breach at one online company with which you do business, your accounts at your bank and other online accounts are not in jeopardy. Although Yahoo has indicated that the passwords stolen were hashed, which is a form of encryption, there is still concern that these passwords could still be cracked. Go to the June 7, 2016 Scam of the day for tips about how to pick strong passwords that are easy to remember.
This is also a good time to check your credit reports with each of the three major credit reporting agencies for indications that your identity may have been compromised. You can get your free credit reports by going to www.annualcreditreport.com Beware of going to other sites that appear to offer free credit reports, but actually sign you up for costly services. And while you are at it, you should consider putting a credit freeze on your credit reports at each of the three major credit reporting agencies so that even if an identity thief does manage to steal your personal information, he or she cannot access your credit report to open new accounts. For more information about credit freezes and links on how to set them up go to the Scam of the day for June 27, 2016.
Whenever possible use dual factor authentication for you accounts so that when you attempt to log in, a one-time code will be sent to your smartphone to insert in order to get access to your account. For convenience sake you can set up dual factor authentication so that it is only required if you are logging in from a different computer or device than you normally use.
Security questions are notoriously insecure. Information such as your mother’s maiden name, which is the topic of a common security question can be readily obtained by identity thieves. The simple way to make your security question strong is to use a nonsensical answer for the question, so make something like “firetruck” the answer to the security question as to your mother’s maiden name.
As always, don’t click on links or download attachments in any email or text message you get unless you have absolutely confirmed that it is legitimate. Any email you may get purporting to be from Yahoo will not contain links or attachments and will not ask you to provide personal information. For help directly from Yahoo on this matter go to https://help.yahoo.com/kb/helpcentral
Since you can never be sure if a company is going to be subjected to a data breach, try and limit the personal information you provide to all companies. Don’t leave your credit card number on file for convenience sake and don’t provide your Social Security number unless you absolutely must do so. Many companies ask for this information although they have no real need for it.
As for the companies themselves, they should be utilizing encryption to protect stored data as well as utilizing modern analytics programs that can detect unusual activity.