Is That Text From Your CEO A Scam?
Imagine working away at your job when you suddenly receive a text from the CEO of your company, asking for your assistance. The text says the CEO needs you to purchase six gift cards worth $200 apiece and send the information immediately.
The sender promises repayment before the end of the day and mentions that they must attend closed meetings for the next two hours, so don’t call. They emphasize again how a good impression improves the company’s business and the gift cards represent an urgent part of their meeting strategy.
Would this kind of request make you stop short? Or would you pull out your credit card to get it all done?
A surprising number of employees get suckered in by this gift card scam. Many variations proliferate in the dank corners of the online world. Another popular one making the rounds says that your boss got stuck without gas or some other dire situation that only you can help with. Of course they don’t have good enough signal to call and talk, only text.
This scam comes in through text or email. The unsuspecting employee gets deceived into purchasing gift cards and sends the numbers to the supposed CEO. They later realize that the person who reached out was not the real head of the company, but a fraudster using phishing tactics.
The employee winds up stuck with the bill.
Without training and warning, 32.4% of employees fall for a phishing scam.
Why Do Employees Fall for Phishing Scams?
Though the circumstances may seem odd, far too many employees fall for this gift card scam. Hackers use social engineering tactics. They excel at manipulating emotions to get the employee to act instead of thinking.
Some of these social engineering tactics elicit the following:
- Fearing consequences of not doing as asked by a superior
- Jumping at the chance to save the day
- Worry about disappointing their company
- Hoping to advance their career by helping
The scam’s message gets carefully crafted in a way to motivate the employee to act without thinking or checking. It creates a sense of urgency. The CEO needs the gift card details right away, after all! In addition, the message notes that the CEO can’t talk for the next few hours to decrease the chance the employee will contact the real CEO.
Illinois Woman Loses More Than $6,000 Because Of A Fake CEO Email
This type of scam pops up all the time. It frequently results in substantial financial losses for individuals. If an employee spends their own money to purchase gift cards because of a lie, the company is not liable.
For instance, one woman from Palos Hills, Illinois lost over $6,000 after falling for an email that appeared to be from her company’s CEO. The email requested her help in purchasing gift cards for selected staff members as a reward for their hard work.
The email ended with “Can you help me purchase some gift cards today?” Since her boss had a reputation for being great to employees, the email did not seem out of character in the least.
The woman purchased the gift cards as requested from Target and Best Buy. Once she confirmed the purchase, she got another request asking to send a photo of the cards. Again, the message appeared very believable and non-threatening to someone unaware that companies never use employee funds. The email simply stated, “Can you take a picture, I’m putting this all on a spreadsheet.”
The woman purchased over $6,500 in gift cards that the scammer then stole using the photo. When she saw her CEO a little while later, of course the CEO knew nothing about the gift card request. About then, the employee realized she was the victim of a scam.
Tips for Avoiding Costly Phishing Scams
Always Double Check Unusual Requests
A CEO asking an employee for the employee’s funds rates as so unusual, check in person or by phone anyhow. Even if the CEO claims they can’t talk, reach out anyway. Any unusual requests relating to money need verification. Contact the person through some other channel to ensure they sent the message. In addition, companies track their expenses carefully for tax reasons. Why would your company need or want an employee to spend their own funds?
Don’t React Emotionally
Scammers desperately want victims to act before thinking. Scams work on emotional reaction. Just a few minutes of sitting back to examine a message objectively often lets you realize it’s a scam. Don’t react emotionally, instead ask if this seems real or out of the ordinary.
Get a Second Opinion
Ask a colleague, or better yet, your company’s IT service provider, to check the message out. Simply the process of getting a second opinion keeps you from reacting right away. Taking that extra time can save you from making a costly judgment error.
Why Is This Published By A Business Phone Company?
Here at NoContractVoIP, we believe that your success is our success. And, since we specialize in business communication, we also want to help you communicate better while staying safe. We create the cutting edge communication systems that modern companies need.
To talk to a business phone system specialist, call 866-550-0005 or contact us today.
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