Credential Stuffing

What is Credential Stuffing?

Credential stuffing is a type of cyberattack in which attackers exploit stolen login credentials—often obtained from data breaches—to gain unauthorized access to user accounts. Cybercriminals use automated tools to test these stolen username and password combinations across multiple platforms, taking advantage of users who reuse passwords across different accounts. This method succeeds because many individuals neglect to create unique and secure passwords for each service they use.

Examples

An example of credential stuffing would be a criminal obtaining a database of breached login information from a popular social media platform and then using automated scripts to try logging into banking websites, e-commerce platforms, or email services with the same credentials.

For instance, if a user’s email and password from a breached online forum are reused on a streaming service, the attacker can take over the victim’s account and potentially make fraudulent purchases or gain access to personal information. Some prominent companies, including retail and financial organizations, have faced credential stuffing attacks, leading to significant customer disruptions and financial losses.

Risks to Businesses

Credential stuffing poses a serious threat to businesses, regardless of their size or sector. Some of the key risks include:

• Financial Loss: Fraudulent activities resulting from credential stuffing can lead to chargebacks, refunds, and lost revenue.
• Customer Trust Erosion: Customers may lose confidence in a business if accounts are compromised or fraudulent transactions occur.
• Reputational Damage: Public knowledge of a successful credential stuffing attack can damage a company's brand and market perception.
• Operational Strain: Handling an influx of fake login attempts can overwhelm IT systems and customer service teams, diverting resources from core operations.
• Legal and Regulatory Liability: Businesses may face fines or lawsuits if they fail to protect user accounts adequately, especially in industries with strict compliance guidelines like finance or healthcare.

How Fraud.net Products Solve for Credential Stuffing

Fraud.net offers a robust suite of solutions to combat credential stuffing and protect businesses. Key features include:

1. Machine Learning & AI
   Fraud.net’s fraud prevention technologies use advanced machine learning and AI models to detect unusual login patterns in real-time. These systems recognize suspicious behaviors, such as rapid-fire login attempts from the same IP address, enabling businesses to block malicious credential stuffing attempts proactively.
2. Blacklisting and Threat Intelligence
   Fraud.net leverages aggregated global fraud intelligence to identify and blacklist known bad actors, such as IP addresses and devices associated with credential stuffing attacks.
3. Multi-Factor Authentication (MFA) Enhancement
   Fraud.net integrates seamlessly with multi-factor authentication tools to provide an additional layer of security for user accounts. Even if the attacker has stolen login credentials, they won’t bypass MFA protections easily.

Businesses can also customize their fraud defense protocols using Fraud.net’s dynamic rules engine, ensuring maximum protection tailored to their unique user base. Learn more about FraudNet’s fraud prevention solutions.