New Regulations for SIM Swapping Attacks
SIM swapping is a growing threat that targets wireless carrier employees and their access to sensitive systems. Criminals have now resorted to offering cash incentives to tempt these employees into aiding them with SIM swaps.
The attackers, utilizing employee directories, have been texting T-Mobile and Verizon employees with enticing offers of up to $300 per successful SIM swap. While it was initially believed that only T-Mobile employees were targeted, Verizon employees have also reported receiving similar messages.
Both T-Mobile and Verizon are currently investigating these text messages. However, they have reassured that there was no breach of their systems. Other wireless providers have also reported similar incidents.
In SIM swap attacks, fraudsters trick wireless carriers into redirecting a victim’s service to a device under their control. This results in unauthorized access to personal accounts, sensitive information, identity theft, financial losses, and emotional distress for victims.
In February 2022, the FBI issued a warning about an increase in SIM swap attacks, which resulted in millions of dollars being stolen by hijacking victims’ phone numbers. Additionally, the FBI received over 1,000 complaints in 2023 alone, and the losses were nearly $50 million. In contrast, between 2018 and 2020, only 320 complaints were filed with losses of $12 million.
In response to the surge in these attacks, the Federal Communications Commission (FCC) introduced new rules to protect Americans from SIM swapping incidents. These rules require carriers to implement secure authentication procedures before changing customers’ phone numbers to different devices or providers. They must also notify customers when a SIM change or port-out request takes place on their accounts.
These regulations aim to combat the growing threat of SIM swapping attacks and protect individuals from falling victim to this increasingly popular form of fraud. It is crucial for individuals to be aware of these attacks and to take precautions in safeguarding their personal information to avoid becoming a victim.