Fraudsters can gain access to lenders system by the following ways:
Backdoor hacking
Backdoor is an entry to the digital system bypassing security controls or even standard authentication. Hackers can gain access to systems that they have a poor configuration. They gain access to customers’ details such as credit card numbers, identification numbers, among other vital information. They will then use such information to access loans on behalf of the customers.
System outages
During the system maintenance, borrowers or other service users cannot gain access to their account information. Professional fraudsters take advantage of such periods and tamper with the customers’ accounts. Once the system is back, many online customers note irregularities in their accounts.
Data breaches
It is the use of malware to access valuable information. Using malware, hackers can gain access to login credentials and other relevant information. The data will enable them to be recognised as legitimate account owners and can get loans using the victim’s details.
Data breaches often occur in lenders that have weak systems, specifically log monitoring. There is also a weak patch in such a system.
Social engineering
Social engineering targets vulnerable customers rather than systems. The customers are lured into revealing their confidential information or into installing malware on their phones or laptops. The installed malware will enable the hacker to access customers’ location and other information. Such data can be useful in obtaining loans on victims’ behalf without their knowledge.
Third-party vulnerability
Lenders such as Nowloan often rely on other service providers to be effective. The lenders can have a robust system, but their service providers have a vulnerable system. In such a scenario, fraudsters can access the borrowers’ information by merely hacking the third party system.
Phishing websites
It is the creation of illegal sites that resembles the original site. In such a case, customers log in to the artificial website. Once they log in their details, the hackers can use it to acquire finances on their behalf. If you can’t differentiate genuine from fake lenders sites Nowloan can assist you.
Bottom Line
Lenders are at the highest risk of cyber-security due to their nature of work. Most hackers intend to acquire money with other people’s detail with no intention of paying back. Such problems can make customers insecure about providing their data or even trusting lenders. The best strategy to avoid such high-tech cyber-crimes is installing a robust system that can be able to detect any inconsistency in the system.
