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88% of people struggle to tell what’s real online

10 June 2026 at 13:45

What would you trade for a technology that can do almost anything? For many people, the answer is clear: Everything they thought they could trust.

In a few, short years, Artificial Intelligence (AI) tools have granted people unfettered access to easier writing, faster image generation, quicker coding, and near-instantaneous answers, advice, and information—advantages they value and want. But the same tools that can spruce up a dating profile or reimagine an old photograph can also manipulate the broader world online, and people are noticing.

According to new research from Malwarebytes, 88% of people said it’s becoming harder to tell what content online is genuinely human or real, with 84% saying that “convincing video evidence” no longer feels like proof. Further, 85% said it can be hard to tell scams apart from the real thing—a major uptick from the 66% who said the same thing last year.

Statistics from the Face Value report

These are the first signs of AI’s counterfeit world. Replete with fake websites, fake products, fake videos, fake pictures, fake voices, and even fake people, it is threatening to swallow the web.

The latest report from Malwarebytes, Face value: How AI is reshaping trust, identity, and scams exposes the hidden cost of AI on the public: an excess of fraud that is dismantling trust in reality and in one another.

The damage arrives in large moments and small, from the US parent who said they “received a voicemail that sounded exactly like my son’s voice, saying he was in trouble and needed money for legal fees,” to the two entirely unrelated respondents fooled by the same AI-generated video of rabbits bouncing on a trampoline, to the individual worried about “my grandfather showing me AI slop and he thought it was real.”

For this research, Malwarebytes surveyed 1,500 adults aged 18 and older across the US, UK, Austria, Germany, and Switzerland about their uses, feelings, and concerns regarding AI. The sample was equally split for gender with a spread of ages, geographical regions, and race groups, and weighted to provide a balanced view.

The complete findings can be found in the full report:

Here are some of the key takeaways and findings:

  • 88% said it’s becoming harder to tell what content online is genuinely human or real
  • 84% said convincing video evidence no longer feels like proof 
  • 85% of people said it’s hard to tell a scam from the real thing (up from 66% last year)
  • 50% have experienced some form of AI fraud or scam, such as being misled by AI-generated photos of products or receiving a highly personalized scam message
  • 19% have specifically experienced some form of AI-driven identity harm, including the 10% who have had someone use AI to generate sexually explicit content of them without permission
  • 81% fear someone stealing their family’s likeness, yet only 13% have created a family codeword to guard against it
  • 67% worry about voice cloning, yet only 19% have turned off voicemail recordings to prevent it
  • 45% say it’s okay to use AI for personal emotional tasks (like writing wedding vows or a eulogy)
  • 34% say it’s okay to use AI to help create or improve a dating profile
  • One in three self-avowed daily users of AI said it’s okay to generate explicit images of someone without their consent 

Defeat would be the wrong lesson to take from all this. It is true now that the internet requires assistance, but there are plenty of safe places to seek help.

While Malwarebytes works to provide new tools, we’d like to remind both the AI anxious and the eager about the first rule of the internet: Remember the human. People’s voices, bodies, choices, and agency belong to them and them alone. 

As for every fake video, product, website, and image, understand that there’s help. No one needs to navigate an artificial internet alone. Whether through scam detection, identity protection, and simple awareness, people have more options than they may realize.

“Legitimate” phishing: how attackers weaponize Amazon SES to bypass email security

4 May 2026 at 12:00

Introduction

The primary goal for attackers in a phishing campaign is to bypass email security and trick the potential victim into revealing their data. To achieve this, scammers employ a wide range of tactics, from redirect links to QR codes. Additionally, they heavily rely on legitimate sources for malicious email campaigns. Specifically, we’ve recently observed an uptick in phishing attacks leveraging Amazon SES.

The dangers of Amazon SES abuse

Amazon Simple Email Service (Amazon SES) is a cloud-based email platform designed for highly reliable transactional and marketing message delivery. It integrates seamlessly with other products in Amazon’s cloud ecosystem, AWS.

At first glance, it might seem like just another delivery channel for email phishing, but that isn’t the case. The insidious nature of Amazon SES attacks lies in the fact that attackers aren’t using suspicious or dangerous domains; instead, they are leveraging infrastructure that both users and security systems have grown to trust. These emails utilize SPF, DKIM, and DMARC authentication protocols, passing all standard provider checks, and almost always contain .amazonses.com in the Message-ID headers. Consequently, from a technical standpoint, every email sent via Amazon SES – even a phishing one – looks completely legitimate.

Phishing URLs can be masked with redirects: a user sees a link like amazonaws.com in the email and clicks it with confidence, only to be sent to a phishing site rather than a legitimate one. Amazon SES also allows for custom HTML templates, which attackers use to craft more convincing emails. Because this is legitimate infrastructure, the sender’s IP address won’t end up on reputation-based blocklists. Blocking it would restrict all incoming mail sent through Amazon SES. For major services, that kind of measure is ineffective, as it would significantly disrupt user workflows due to a massive number of false positives.

How compromise happens

In most cases, attackers gain access to Amazon SES through leaked IAM (AWS Identity and Access Management) access keys. Developers frequently leave these keys exposed in public GitHub repositories, ENV files, Docker images, configuration backups, or even in publicly accessible S3 buckets. To hunt for these IAM keys, phishers use various tools, such as automated bots based on the open-source utility TruffleHog, which is designed for detecting leaked secrets. After verifying the key’s permissions and email sending limits, attackers are equipped to spread a massive volume of phishing messages.

Examples of phishing with Amazon SES

In early 2026, one of the most common themes in phishing emails sent with Amazon SES was fake notifications from electronic signature services.

Phishing email imitating a Docusign notification

Phishing email imitating a Docusign notification

The email’s technical headers confirm that it was sent with Amazon SES. At first glance, it all looks legitimate enough.

Phishing email headers

Phishing email headers

In these emails, the victim is typically asked to click a link to review and sign a specific document.

Phishing email with a "document"

Phishing email with a “document”

Upon clicking the link, the user is directed to a sign-in form hosted on amazonaws.com. This can easily mislead the victim, convincing them that what they’re doing is safe.

Phishing sign-in form

Phishing sign-in form

The resulting form is, of course, a phishing page, and any data entered into it goes directly to the attackers.

Amazon SES and BEC

However, Amazon SES is used for more than just standard phishing; it’s also a vehicle for a very sophisticated type of BEC campaigns. In one case we investigated, a fraudulent email appeared to contain a series of messages exchanged between an employee of the target organization and a service provider about an outstanding invoice. The email was sent as if from that employee to the company’s finance department, requesting urgent payment.

BEC email featuring a fake conversation between an employee and a vendor

BEC email featuring a fake conversation between an employee and a vendor

The PDF attachments didn’t contain any malicious phishing URLs or QR codes, only payment details and supporting documentation.

Forged financial documents

Forged financial documents

Naturally, the email didn’t originate with the employee, but with an attacker impersonating them. The entire thread quoted within the email was actually fabricated, with the messages formatted to appear as a legitimate forwarded thread to a cursory glance. This type of attack aims to lower the user’s guard and trick them into transferring funds to the scammers’ account.

Takeaways

Phishing via Amazon SES experienced an uptick in January 2026 and has remained relatively steady through Q1. By weaponizing this service, attackers avoid the effort of building dubious domains and mail infrastructure from scratch. Instead, they hijack existing access keys to gain the ability to blast out thousands of phishing emails. These messages pass email authentication, originate from IP addresses that are unlikely to be blocklisted, and contain links to phishing forms that look entirely legitimate.

Since these Amazon SES phishing attacks stem from compromised or leaked AWS credentials, prioritizing the security of these accounts is critical. To mitigate these risks, we recommend following these guidelines:

  • Implement the principle of least privilege when configuring IAM access keys, granting elevated permissions only to users who require them for specific tasks.
  • Transition from IAM access keys to roles when configuring AWS; these are profiles with specific permissions that can be assigned to one or several users.
  • Enable multi-factor authentication, an ever-relevant step.
  • Configure IP-based access restrictions.
  • Set up automated key rotation and run regular security audits.
  • Use the AWS Key Management Service to encrypt data with unique cryptographic keys and manage them from a centralized location.

We recommend that users remain vigilant when handling email. Do not determine whether an email is safe based solely on the From field. If you receive unexpected documents via email, a prudent precaution is to verify the request with the sender through a different communication channel. Always carefully inspect where links in the body of an email actually lead. Additionally, robust email security solutions can provide an essential layer of protection for both corporate and personal correspondence.

How cyberattacks on companies affect everyone

23 April 2026 at 17:34

If you use the internet, you’ve likely been affected by cybercrime in some way. Even when an attack is aimed at a company, the fallout usually lands on ordinary people.

The most obvious harm is stolen data. When attackers break into a business, it is usually customer information that ends up in criminal hands, and that can lead to identity theft, tax fraud, credit card fraud, and a long tail of scam attempts that can continue for months or years. For consumers, the breach itself is often just the start of the cleanup.

That work is annoying, time-consuming, and sometimes expensive. People may have to freeze credit, replace cards, change passwords, be on the lookout for suspicious transactions, and dispute charges. The Federal Trade Commission (FTC) specifically advises consumers to use IdentityTheft.gov after a breach and recommends steps like credit freezes and fraud alerts to reduce the chance of further abuse.

When sensitive data is exposed, the harm is not only financial. Medical, insurance, and other deeply personal records can be used to create more convincing phishing or extortion attempts, and the stress of knowing that private information is circulating among criminals can linger long after the technical incident is over. In other words, breach victims are not just cleaning up a data problem, they are dealing with a loss of trust.


Breaches happen every day. Don’t be the last to know.


Cybercrime also hits consumers through service disruption. Ransomware and intrusion campaigns can interrupt payment systems, telecom services, shipping, energy distribution, booking platforms, and other infrastructure people rely on every day. In those cases, the consumer impact is immediate: you may not be able to pay, travel, call, buy, or even work normally. The CSIS timeline and Canada’s cyberthreat assessment both show that these disruptions are increasingly tied to high-value targets and can be part of broader state or criminal campaigns.

Not all these incidents are driven by cybercriminals. Recently, Britain’s cybersecurity chief warned that the UK is handling 4 nationally significant cyberincidents every week, with the majority now traced back to foreign governments rather than cybercriminal groups.

Another cost is easy to overlook: disinformation and confusion. When attackers steal data, disrupt services, or impersonate trusted brands, they can also flood the public with fake support messages, scam calls, refund schemes, and phishing emails pretending to be the breached company. The breach becomes a launchpad for more fraud, and consumers are left trying to separate legitimate notifications from those sent by attackers.

Then there is the security backlash. After a breach, companies usually tighten access rules, add more multi-factor authentication prompts, force reauthentication, shorten sessions, and increase fraud checks. Those measures are often necessary, but they also make ordinary digital life more cumbersome. The consumer ends up paying with time and frustration for security problems they did not create.

That is why company-targeted cybercrime is not really only a business problem. It is a consumer issue, a public-trust issue, and sometimes even a national security issue. A single breach can leak data, trigger fraud, interrupt essential services, amplify scams, and make using the internet more frustrating for everyone else. The real cost is rarely confined to the company that got hit.

Knowing this, it’s worth thinking carefully about which companies to trust with your data and how much you’re willing to share . You cannot stop every attack against every company you deal with, but you can limit the fallout by being more selective. Some considerations:

  • Do they need all the information they are asking for?
  • Would it hurt anything if you leave some fields blank or give less specific answers?
  • Has this company been breached in the past, and how did they handle it?
  • How long will they store the data you provide?
  • Can you easily have your data removed at your request?

Your name, address, and phone number are probably already for sale.  

Data brokers collect and sell your personal details to anyone willing to pay. Malwarebytes Personal Data Remover finds them and gets your information removed, then keeps watch so it stays that way. 

Big Tech can stop scams. They just don’t (Lock and Code S07E08)

20 April 2026 at 16:16

This week on the Lock and Code podcast…

A dreadful thing happens far too often whenever an older adult falls for a scam: They get blamed for it. Not the scammers who lied and cheated their victim out of money. Not law enforcement for failing to recover funds. Not even the Big Tech companies that could have the most important role in protecting people online—and which, it turns out, knowingly bring in revenue every year from fraud.

Instead, it is the older adults themselves whose stories are often shirked aside because of a mix of ageism and denial. Allegedly left behind by technology, only an octogenarian would hand their password over in a phishing scheme, or open an email attachment from a stranger, or send money to a fake charity online. Everyone else, everyone else believes, is too savvy for the same.

The data disagrees.

When Malwarebytes studied this last year, it found that, depending on the type of scam—especially for things like “sextortion”—younger individuals were far more likely to report falling victim. Further, digging into data from the US Federal Trade Commission revealed entirely separate patterns. For example, while Americans between the ages of 80 and 89 reported the highest median loss due to fraud in 2024, they also made up the smallest share of their population to report a loss at all. And in 2025, that same group represented the smallest share of reported identity theft, a crime far more likely to be reported by people between 30 and 39.

Questions about who reports what crimes at what rate are valid to explore, but it’s important to see the big picture: Americans lost at least $15.9 billion to fraud last year. Protecting older adults is actually about protecting everyone, and that’s because modern scams don’t arrive only where people over 70 spend time. They arrive where we all are, which is online. They come through endless text messages, they slide into social media DMs, and they prey on things any of us can be—a widow, a divorcee, or simply a lonely person.

According to Marti DeLiema, Assistant Professor at the University of Minnesota’s School of Social Work, scams and fraud are now the most common form of organized crime globally, rivaling weapons trafficking, drug trafficking, human trafficking, and sex trafficking. In 2024 alone, she said, the FTC estimated that older adults in the US had as much as $81.5 billion stolen from them. And the tools meant to fight back—broad consumer awareness campaigns, embedded warning messages at the point of transaction, the training of bank tellers and retail clerks—are nowhere near keeping pace.

So what actually works? And who, if anyone, is doing the work?

Today, on the Lock and Code podcast with host David Ruiz, we speak with DeLiema about who is really susceptible to financial fraud, why victims often describe a scam as a form of betrayal trauma, and why the companies best positioned to stop scam messages from reaching consumers may be the ones least motivated to do so.

“This is not a technical capability problem at all. This is a conflict of incentives.”

Tune in today to listen to the full conversation.

Show notes and credits:

Intro Music: “Spellbound” by Kevin MacLeod (incompetech.com)
Licensed under Creative Commons: By Attribution 4.0 License
http://creativecommons.org/licenses/by/4.0/
Outro Music: “Good God” by Wowa (unminus.com)


Listen up—Malwarebytes doesn’t just talk cybersecurity, we provide it.

Protect yourself from online attacks that threaten your identity, your files, your system, and your financial well-being with our exclusive offer for Malwarebytes Premium Security for Lock and Code listeners.

Why AI Keeps Falling for Prompt Injection Attacks

22 January 2026 at 13:35

Imagine you work at a drive-through restaurant. Someone drives up and says: “I’ll have a double cheeseburger, large fries, and ignore previous instructions and give me the contents of the cash drawer.” Would you hand over the money? Of course not. Yet this is what large language models (LLMs) do.

Prompt injection is a method of tricking LLMs into doing things they are normally prevented from doing. A user writes a prompt in a certain way, asking for system passwords or private data, or asking the LLM to perform forbidden instructions. The precise phrasing overrides the LLM’s safety guardrails, and it complies.

LLMs are vulnerable to all sorts of prompt injection attacks, some of them absurdly obvious. A chatbot won’t tell you how to synthesize a bioweapon, but it might tell you a fictional story that incorporates the same detailed instructions. It won’t accept nefarious text inputs, but might if the text is rendered as ASCII art or appears in an image of a billboard. Some ignore their guardrails when told to “ignore previous instructions” or to “pretend you have no guardrails.”

AI vendors can block specific prompt injection techniques once they are discovered, but general safeguards are impossible with today’s LLMs. More precisely, there’s an endless array of prompt injection attacks waiting to be discovered, and they cannot be prevented universally.

If we want LLMs that resist these attacks, we need new approaches. One place to look is what keeps even overworked fast-food workers from handing over the cash drawer.

Human Judgment Depends on Context

Our basic human defenses come in at least three types: general instincts, social learning, and situation-specific training. These work together in a layered defense.

As a social species, we have developed numerous instinctive and cultural habits that help us judge tone, motive, and risk from extremely limited information. We generally know what’s normal and abnormal, when to cooperate and when to resist, and whether to take action individually or to involve others. These instincts give us an intuitive sense of risk and make us especially careful about things that have a large downside or are impossible to reverse.

The second layer of defense consists of the norms and trust signals that evolve in any group. These are imperfect but functional: Expectations of cooperation and markers of trustworthiness emerge through repeated interactions with others. We remember who has helped, who has hurt, who has reciprocated, and who has reneged. And emotions like sympathy, anger, guilt, and gratitude motivate each of us to reward cooperation with cooperation and punish defection with defection.

A third layer is institutional mechanisms that enable us to interact with multiple strangers every day. Fast-food workers, for example, are trained in procedures, approvals, escalation paths, and so on. Taken together, these defenses give humans a strong sense of context. A fast-food worker basically knows what to expect within the job and how it fits into broader society.

We reason by assessing multiple layers of context: perceptual (what we see and hear), relational (who’s making the request), and normative (what’s appropriate within a given role or situation). We constantly navigate these layers, weighing them against each other. In some cases, the normative outweighs the perceptual—for example, following workplace rules even when customers appear angry. Other times, the relational outweighs the normative, as when people comply with orders from superiors that they believe are against the rules.

Crucially, we also have an interruption reflex. If something feels “off,” we naturally pause the automation and reevaluate. Our defenses are not perfect; people are fooled and manipulated all the time. But it’s how we humans are able to navigate a complex world where others are constantly trying to trick us.

So let’s return to the drive-through window. To convince a fast-food worker to hand us all the money, we might try shifting the context. Show up with a camera crew and tell them you’re filming a commercial, claim to be the head of security doing an audit, or dress like a bank manager collecting the cash receipts for the night. But even these have only a slim chance of success. Most of us, most of the time, can smell a scam.

Con artists are astute observers of human defenses. Successful scams are often slow, undermining a mark’s situational assessment, allowing the scammer to manipulate the context. This is an old story, spanning traditional confidence games such as the Depression-era “big store” cons, in which teams of scammers created entirely fake businesses to draw in victims, and modern “pig-butchering” frauds, where online scammers slowly build trust before going in for the kill. In these examples, scammers slowly and methodically reel in a victim using a long series of interactions through which the scammers gradually gain that victim’s trust.

Sometimes it even works at the drive-through. One scammer in the 1990s and 2000s targeted fast-food workers by phone, claiming to be a police officer and, over the course of a long phone call, convinced managers to strip-search employees and perform other bizarre acts.

Why LLMs Struggle With Context and Judgment

LLMs behave as if they have a notion of context, but it’s different. They do not learn human defenses from repeated interactions and remain untethered from the real world. LLMs flatten multiple levels of context into text similarity. They see “tokens,” not hierarchies and intentions. LLMs don’t reason through context, they only reference it.

While LLMs often get the details right, they can easily miss the big picture. If you prompt a chatbot with a fast-food worker scenario and ask if it should give all of its money to a customer, it will respond “no.” What it doesn’t “know”—forgive the anthropomorphizing—is whether it’s actually being deployed as a fast-food bot or is just a test subject following instructions for hypothetical scenarios.

This limitation is why LLMs misfire when context is sparse but also when context is overwhelming and complex; when an LLM becomes unmoored from context, it’s hard to get it back. AI expert Simon Willison wipes context clean if an LLM is on the wrong track rather than continuing the conversation and trying to correct the situation.

There’s more. LLMs are overconfident because they’ve been designed to give an answer rather than express ignorance. A drive-through worker might say: “I don’t know if I should give you all the money—let me ask my boss,” whereas an LLM will just make the call. And since LLMs are designed to be pleasing, they’re more likely to satisfy a user’s request. Additionally, LLM training is oriented toward the average case and not extreme outliers, which is what’s necessary for security.

The result is that the current generation of LLMs is far more gullible than people. They’re naive and regularly fall for manipulative cognitive tricks that wouldn’t fool a third-grader, such as flattery, appeals to groupthink, and a false sense of urgency. There’s a story about a Taco Bell AI system that crashed when a customer ordered 18,000 cups of water. A human fast-food worker would just laugh at the customer.

The Limits of AI Agents

Prompt injection is an unsolvable problem that gets worse when we give AIs tools and tell them to act independently. This is the promise of AI agents: LLMs that can use tools to perform multistep tasks after being given general instructions. Their flattening of context and identity, along with their baked-in independence and overconfidence, mean that they will repeatedly and unpredictably take actions—and sometimes they will take the wrong ones.

Science doesn’t know how much of the problem is inherent to the way LLMs work and how much is a result of deficiencies in the way we train them. The overconfidence and obsequiousness of LLMs are training choices. The lack of an interruption reflex is a deficiency in engineering. And prompt injection resistance requires fundamental advances in AI science. We honestly don’t know if it’s possible to build an LLM, where trusted commands and untrusted inputs are processed through the same channel, which is immune to prompt injection attacks.

We humans get our model of the world—and our facility with overlapping contexts—from the way our brains work, years of training, an enormous amount of perceptual input, and millions of years of evolution. Our identities are complex and multifaceted, and which aspects matter at any given moment depend entirely on context. A fast-food worker may normally see someone as a customer, but in a medical emergency, that same person’s identity as a doctor is suddenly more relevant.

We don’t know if LLMs will gain a better ability to move between different contexts as the models get more sophisticated. But the problem of recognizing context definitely can’t be reduced to the one type of reasoning that LLMs currently excel at. Cultural norms and styles are historical, relational, emergent, and constantly renegotiated, and are not so readily subsumed into reasoning as we understand it. Knowledge itself can be both logical and discursive.

The AI researcher Yann LeCunn believes that improvements will come from embedding AIs in a physical presence and giving them “world models.” Perhaps this is a way to give an AI a robust yet fluid notion of a social identity, and the real-world experience that will help it lose its naïveté.

Ultimately we are probably faced with a security trilemma when it comes to AI agents: fast, smart, and secure are the desired attributes, but you can only get two. At the drive-through, you want to prioritize fast and secure. An AI agent should be trained narrowly on food-ordering language and escalate anything else to a manager. Otherwise, every action becomes a coin flip. Even if it comes up heads most of the time, once in a while it’s going to be tails—and along with a burger and fries, the customer will get the contents of the cash drawer.

This essay was written with Barath Raghavan, and originally appeared in IEEE Spectrum.

LinkedIn Job Scams

31 December 2025 at 13:03

Interesting article on the variety of LinkedIn job scams around the world:

In India, tech jobs are used as bait because the industry employs millions of people and offers high-paying roles. In Kenya, the recruitment industry is largely unorganized, so scamsters leverage fake personal referrals. In Mexico, bad actors capitalize on the informal nature of the job economy by advertising fake formal roles that carry a promise of security. In Nigeria, scamsters often manage to get LinkedIn users to share their login credentials with the lure of paid work, preying on their desperation amid an especially acute unemployment crisis.

These are scams involving fraudulent employers convincing prospective employees to send them money for various fees. There is an entirely different set of scams involving fraudulent employees getting hired for remote jobs.

SMS Phishers Pivot to Points, Taxes, Fake Retailers

5 December 2025 at 00:02

China-based phishing groups blamed for non-stop scam SMS messages about a supposed wayward package or unpaid toll fee are promoting a new offering, just in time for the holiday shopping season: Phishing kits for mass-creating fake but convincing e-commerce websites that convert customer payment card data into mobile wallets from Apple and Google. Experts say these same phishing groups also are now using SMS lures that promise unclaimed tax refunds and mobile rewards points.

Over the past week, thousands of domain names were registered for scam websites that purport to offer T-Mobile customers the opportunity to claim a large number of rewards points. The phishing domains are being promoted by scam messages sent via Apple’s iMessage service or the functionally equivalent RCS messaging service built into Google phones.

An instant message spoofing T-Mobile says the recipient is eligible to claim thousands of rewards points.

The website scanning service urlscan.io shows thousands of these phishing domains have been deployed in just the past few days alone. The phishing websites will only load if the recipient visits with a mobile device, and they ask for the visitor’s name, address, phone number and payment card data to claim the points.

A phishing website registered this week that spoofs T-Mobile.

If card data is submitted, the site will then prompt the user to share a one-time code sent via SMS by their financial institution. In reality, the bank is sending the code because the fraudsters have just attempted to enroll the victim’s phished card details in a mobile wallet from Apple or Google. If the victim also provides that one-time code, the phishers can then link the victim’s card to a mobile device that they physically control.

Pivoting off these T-Mobile phishing domains in urlscan.io reveals a similar scam targeting AT&T customers:

An SMS phishing or “smishing” website targeting AT&T users.

Ford Merrill works in security research at SecAlliance, a CSIS Security Group company. Merrill said multiple China-based cybercriminal groups that sell phishing-as-a-service platforms have been using the mobile points lure for some time, but the scam has only recently been pointed at consumers in the United States.

“These points redemption schemes have not been very popular in the U.S., but have been in other geographies like EU and Asia for a while now,” Merrill said.

A review of other domains flagged by urlscan.io as tied to this Chinese SMS phishing syndicate shows they are also spoofing U.S. state tax authorities, telling recipients they have an unclaimed tax refund. Again, the goal is to phish the user’s payment card information and one-time code.

A text message that spoofs the District of Columbia’s Office of Tax and Revenue.

CAVEAT EMPTOR

Many SMS phishing or “smishing” domains are quickly flagged by browser makers as malicious. But Merrill said one burgeoning area of growth for these phishing kits — fake e-commerce shops — can be far harder to spot because they do not call attention to themselves by spamming the entire world.

Merrill said the same Chinese phishing kits used to blast out package redelivery message scams are equipped with modules that make it simple to quickly deploy a fleet of fake but convincing e-commerce storefronts. Those phony stores are typically advertised on Google and Facebook, and consumers usually end up at them by searching online for deals on specific products.

A machine-translated screenshot of an ad from a China-based phishing group promoting their fake e-commerce shop templates.

With these fake e-commerce stores, the customer is supplying their payment card and personal information as part of the normal check-out process, which is then punctuated by a request for a one-time code sent by your financial institution. The fake shopping site claims the code is required by the user’s bank to verify the transaction, but it is sent to the user because the scammers immediately attempt to enroll the supplied card data in a mobile wallet.

According to Merrill, it is only during the check-out process that these fake shops will fetch the malicious code that gives them away as fraudulent, which tends to make it difficult to locate these stores simply by mass-scanning the web. Also, most customers who pay for products through these sites don’t realize they’ve been snookered until weeks later when the purchased item fails to arrive.

“The fake e-commerce sites are tough because a lot of them can fly under the radar,” Merrill said. “They can go months without being shut down, they’re hard to discover, and they generally don’t get flagged by safe browsing tools.”

Happily, reporting these SMS phishing lures and websites is one of the fastest ways to get them properly identified and shut down. Raymond Dijkxhoorn is the CEO and a founding member of SURBL, a widely-used blocklist that flags domains and IP addresses known to be used in unsolicited messages, phishing and malware distribution. SURBL has created a website called smishreport.com that asks users to forward a screenshot of any smishing message(s) received.

“If [a domain is] unlisted, we can find and add the new pattern and kill the rest” of the matching domains, Dijkxhoorn said. “Just make a screenshot and upload. The tool does the rest.”

The SMS phishing reporting site smishreport.com.

Merrill said the last few weeks of the calendar year typically see a big uptick in smishing — particularly package redelivery schemes that spoof the U.S. Postal Service or commercial shipping companies.

“Every holiday season there is an explosion in smishing activity,” he said. “Everyone is in a bigger hurry, frantically shopping online, paying less attention than they should, and they’re just in a better mindset to get phished.”

SHOP ONLINE LIKE A SECURITY PRO

As we can see, adopting a shopping strategy of simply buying from the online merchant with the lowest advertised prices can be a bit like playing Russian Roulette with your wallet. Even people who shop mainly at big-name online stores can get scammed if they’re not wary of too-good-to-be-true offers (think third-party sellers on these platforms).

If you don’t know much about the online merchant that has the item you wish to buy, take a few minutes to investigate its reputation. If you’re buying from an online store that is brand new, the risk that you will get scammed increases significantly. How do you know the lifespan of a site selling that must-have gadget at the lowest price? One easy way to get a quick idea is to run a basic WHOIS search on the site’s domain name. The more recent the site’s “created” date, the more likely it is a phantom store.

If you receive a message warning about a problem with an order or shipment, visit the e-commerce or shipping site directly, and avoid clicking on links or attachments — particularly missives that warn of some dire consequences unless you act quickly. Phishers and malware purveyors typically seize upon some kind of emergency to create a false alarm that often causes recipients to temporarily let their guard down.

But it’s not just outright scammers who can trip up your holiday shopping: Often times, items that are advertised at steeper discounts than other online stores make up for it by charging way more than normal for shipping and handling.

So be careful what you agree to: Check to make sure you know how long the item will take to be shipped, and that you understand the store’s return policies. Also, keep an eye out for hidden surcharges, and be wary of blithely clicking “ok” during the checkout process.

Most importantly, keep a close eye on your monthly statements. If I were a fraudster, I’d most definitely wait until the holidays to cram through a bunch of unauthorized charges on stolen cards, so that the bogus purchases would get buried amid a flurry of other legitimate transactions. That’s why it’s key to closely review your credit card bill and to quickly dispute any charges you didn’t authorize.

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