There is an old saying attributed to Winston Churchill….“Never let a good crisis go to waste.” In 2023 wire fraud bad guys and cyber criminals have spun this slightly to “Never let a banking crisis go to waste.”

A banking shock like we are experiencing is the perfect environment for wire fraud bad guys (this is their Super Bowl/World Cup)….millions are being stolen as we speak. Think of all the transfers, account changes and capital call updates that are going to be coming into firms.

The first step to socially engineered wire fraud is typically a business email compromise (BEC).

Cybercriminals know this. A recent article by Bleeping Computer highlight how cybercriminals are exploiting the collapse of SVB to commit wire fraud through email business compromise.

The article explains that to commit wire fraud, cybercriminals first have to gain access to their victim’s email accounts through email business compromise. This involves sending phishing emails that trick recipients into providing their login credentials or clicking on malicious links that install malware on their devices. Once cybercriminals have access to their victims’ email accounts, they can monitor their communications, learn about their financial transactions, and ultimately execute wire fraud attacks.

Cybercriminals are preying on those scrambling to move their money to safer accounts. The urgency and confusion surrounding such situations make it easier for cybercriminals to trick their victims into falling for their social engineering scams.

As such, it’s crucial for individuals and businesses to be vigilant and take steps to protect themselves from email business compromise attacks. This includes using strong and unique passwords for all online accounts, enabling two-factor authentication, being wary of suspicious emails, and using anti-malware software as a first line of defense against phishing and BEC.

However, no amount of IT spend can prevent your counterparties from a compromise. Your final and most reliable line of defense against losing your funds is running the proper playbook, at scale, in verifying and sending your transfers. Conduit provides the best solution.

If you are interested in learning how, please contact us.