Recent advancements in voice call technology have been a double-edged sword. While they have introduced numerous benefits for businesses, this technology has also opened the door to new types of fraud.
One common method scammers use is fake caller ID spoofing. This crime is designed to deceive recipients into believing they are communicating with a trusted source — such as a business, bank, or government agency. This tactic not only aims to gather sensitive data for identity theft but also to defraud individuals.
Many businesses that rely on phone calls to connect with customers are facing high levels of distrust. Caller ID spoofing makes customers suspicious of all calls, not just the ones they should be wary of. This practice has eroded trust in voice calls and made life difficult for business owners.
It’s important for both businesses and consumers to understand how these scams work and how to protect against them. Together, we can help restore trust in business communication and ensure that legitimate businesses can effectively make voice calls.
What is number spoofing (caller ID spoofing)?
Caller ID spoofing occurs when someone manipulates the caller ID feature to trick a call recipient into thinking a call is coming from a familiar, credible source—when it might not be. Spoofing aims to convince victims to reveal personal information or otherwise mislead a target into taking a compromising action.
Phone spoofing poses significant risks to both consumers and businesses, impacting trust and operational efficacy in several ways.
1. Erosion of customer trust
One of the most significant impacts is the erosion of customer trust. Fraudsters can deceive customers by impersonating a business's phone number, thereby tricking a target into believing the call is from a real representative. The customer may reveal personal or financial information later used to commit fraud. If a customer falls prey to these scams, it can cause others to lose trust in your company and sever ties with your brand.
2. Damage to the brand reputation
Caller ID spoofing may damage the brand's reputation, as it links the company's name to negative experiences. Even if a business is not responsible for fraud, misuse of its phone number or unwanted calls to customers can lead to bad publicity and damage to its image. Rehabilitating the company's reputation takes significant time and resources.
3. Lower the effectiveness of your communication campaigns
When people are alert to potential scams, they may be less responsive to legitimate business outreach. This apprehensiveness can decrease the effectiveness of telemarketing campaigns, appointment reminders, customer service follow-ups, and other voice-based communications. It may be harder to reach customers to convey important information.
4. Legal and compliance risks
If businesses frequently use spoofed caller IDs, they could face regulatory scrutiny. This is particularly true for industries that heavily regulate consumer data protection, such as finance and healthcare. Businesses have an obligation to implement stronger verification and security measures, which can add to operational costs.
5. Increased customer service challenges
Dealing with fraudulent calls can take up resources that would be better spent in other service areas. Businesses then have to manage customer complaints and concerns, which can further detract from their ability to provide quality service.
How does caller ID spoofing work?
Caller ID spoofing uses various technologies such as traditional spoofing services, Voice over Internet Protocol (VoIP), and techniques like orange boxing. Let's explore how these methods work and their potential impact.
Spoofing services: How they operate
Spoofing services function similarly to prepaid calling cards. They allow users to present a different spoofed phone number or name on the recipient's caller ID than the actual number from which they are calling.
Here's how this process typically works:
- Customers pay for the service upfront and receive a personal identification number (PIN).
- To initiate a spoofed call, the user dials a number provided by the service, enters their PIN, and then inputs the desired outgoing call number along with the caller ID they wish to display.
This method not only masks the caller's true identity but also allows for extensive manipulation. Users can input any number or name they choose to show up on the caller ID display.
Voice over IP spoofing: A digital facade
VoIP technology uses the internet to make calls, bypassing traditional phone lines. This flexibility makes VoIP technology especially vulnerable to spoofing. Scammers exploit VoIP to manipulate caller ID information seen by the receiver, making it appear as though the incoming call is coming from a legitimate source, such as a bank, government agency, or known contacts. This method can be used to impersonate legitimate services or contacts.
Orange boxing: Advanced caller ID manipulation
Orange boxing involves more sophisticated technology to intercept and alter caller ID signals. This method uses either software or hardware to fake the caller ID that appears during an incoming call. Historically, this method required in-depth telephony knowledge and expensive equipment. However, recent advancements in open-source software have significantly lowered the barrier to entry for orange boxing, making it accessible to a wider range of individuals with minimal technical expertise.
How to recognize spoofed calls
Recognizing phone number spoofing is critical for businesses. Here are some common indicators that can indicate call spoofing.
- Displays a sense of urgency: Caller ID spoofing often comes with a high-pressure aspect, forcing one to act immediately. The caller may claim to be from a government agency, bank, or law enforcement and require that the consumer has to do something right away to fix some supposed problem or face some other serious repercussions. This, in spoof calls, is a tactic to push customers into decisions without giving time for thought or the possibility of checking the identity of the caller’s number.
- Requests for personal information: No legitimate companies solicit personal information from customers over soliciting phone calls, like their social security number, bank account numbers, and passwords. This is precisely what spoofers want for extracting valuable personal data for their fraudulent purpose.
- Display name doesn’t match your stored contact: If the caller ID displays a name or number that you recognize, but does not match the details stored in your contacts, it could be a sign of number spoofing. For example, you might get an incoming call where the caller ID indicates it's from your bank, but the number shown is different from the one you have saved. This discrepancy should prompt you to hang up and call back using a number you trust.
- Robocalls: Calls with pre-recorded messages are known as robocalls. They deliver an automated pre-recorded voice message and are often legal and take place with the customer’s consent. However, many times, spoofed calls can also be automated or have pre-recorded messages where the receiver is prompted to press buttons or give personal information out. This may range from messages on winning to debt collection or even messages that threaten legal action.
Additional Tips to Recognize Number Spoofing
- Inconsistencies in Information: Any discrepancy between the information provided by the caller and the company’s records should be a red flag.
- Verify caller authenticity: Encourage employees to verify the caller by hanging up and contacting the company or individual directly using a known and trusted number.
- Use caller ID management tools: Implementing advanced caller ID management tools and spam detection software can help filter out potential spoofing attempts.
By being aware of these signs and using cautious judgment, you can protect yourself from falling victim to number spoofing.
How does Plivo help businesses combat number spoofing?
Plivo plays a crucial role by providing secure and reliable communication services. Our platform adheres to industry standards and regulations to combat fraudulent activities. The platform offers features like number verification, authentication, and compliance with STIR/SHAKEN protocols, ensuring caller ID information's integrity and protecting against spoofing.
Using Plivo's infrastructure, businesses can secure their communication channels, safeguard their customers from spoofing attempts, and uphold their brand reputation. Product managers can address security vulnerabilities and improve customer protection by monitoring communication traffic.
With Plivo’s API, developers can integrate anti-spoofing measures such as number verification and authentication protocols into their systems and ensure the security of inbound and outbound communications.
STIR/SHAKEN
STIR/SHAKEN stands for Secure Telephone Identity Revisited (STIR) and Signature-based Handling of Asserted Information Using toKENs (SHAKEN). These technical standards are developed to enhance caller ID information trust by authenticating calling numbers.
The Federal Communications Commission (FCC) mandates that carriers adopt these standards to combat robocalling and ensure that the displayed caller number and name are accurate. In this system, digital certificates issued by a secure telephony identity (STI) governance authority verify that a calling party is indeed who they claim to be, using a process similar to digital data signing. This video explains STIR/SHAKEN in greater detail.
Plivo assists businesses in implementing STIR/SHAKEN to secure their communication channels. Plivo users can sign outgoing calls, ensuring the right level of caller ID attestation. This helps increase the likelihood of calls being answered by providing recipients with verified caller information.
Plivo also verifies the attestation levels for incoming calls on its platform, allowing businesses and their customers to make informed decisions about answering calls. Customers must submit their business details and the phone numbers they wish to use, enabling Plivo to determine and assign the appropriate attestation levels based on these verifications.
This comprehensive support from Plivo’s compliance operations team facilitates seamless integration of STIR/SHAKEN protocols, which aim to prevent deceptive practices such as caller ID spoofing and build trust in telecommunication environments.
Number verification
Plivo’s Verified Caller ID enables customers to authenticate their phone numbers with Plivo before using them as caller IDs for outbound calls.
Verified Caller ID allows businesses to confirm that calls are made using authorized numbers and caller IDs they possess, thus preventing any calls being made with a spoofed caller ID.
Customers can complete this verification process manually through the user-friendly console interface or programmatically using automated workflows via the new API endpoints.
Get started with Plivo today
Unfortunately, the rise of advanced technologies has made it easier for scammers to exploit phone systems, making it non-negotiable for companies to adopt stronger measures to protect themselves and their customers.
Plivo is here to help. Plivo offers robust, industry-leading tools designed to help businesses secure their communication channels against spoofing and other types of fraud. By leveraging powerful authentication and monitoring solutions, Plivo ensures that your business communications remain safe and your customer interactions are genuine.
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