Reviewed by Aug 27, 2020| Updated on
What is Phishing?
Phishing is a technique of identity theft in which the fraudster creates a fraudulent text, email, or website, which appears to be representing a known firm or individual. The fraudsters and scammers will design a website that looks exactly the same as that of the legitimate one.
When the visitors log on to the website, they will think that they are dealing with the actual one and may go onto provide the details that they are asked for. They may disclose their personal information, such as bank details, ID numbers, and so on. The information that scammers get may be used to steal money, identity, or hand over the information to another scammer in exchange for money.
Phishing can also be done by sending an email or text message such that it looks as if they are sent by the real business. These text messages and emails can install software, like malware and ransomware, which allow fraudsters to gain access to a victim's network of devices.
Scammers that indulge in phishing will come up with a pseudo sense of security measures for their targeted victims by replication or spoofing the well-known logos of the organisation or pose as if they are a family member or a friend of someone the victim knows.
Sometimes the fraudsters or scammers will create a sense of urgency for victims to share their personal information right away; if not, they would lose money. Victims, fearing losses, will disclose their details and then will face financial losses.
Example of Phishing
A typical phishing scam is an identity thief creating a site which seems like its owned by a major financial institution. The identity thief will then start communicating with the potential victims through emails and text messages, which claims to be sent from the actual organisation. These communications will ask the individuals to reply with their personal information, such as card number, CVV, expiry date, PIN, and the victim's date of birth.
With this information, the perpetrator can make online purchases and funds transfer transactions and loot the money from the victim.