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What is VoIP Fraud and How Can It be Stopped?

Originally Posted by Lisa King on 7/16/15 11:00 AM

One of the core problems facing VoIP technology is VoIP fraud. It’s a costly and potentially debilitating phenomenon that deters some businesses away from adopting VoIP altogether. In order to succeed as a VoIP reseller, it’s important to understand the root causes of VoIP fraud and how to prevent it, so you can provide your clients with a safe and secure service they can trust.


VoIP fraud protection software can alert
users when a hacker has entered into the network.

What is VoIP Fraud?

Since VoIP technology is Internet-based, it is susceptible to many of the same problems of the Internet, including malicious hackers. Hackers can hack into a VoIP system and make phone calls from the network, which not only tie up available lines, but also cost the businesses a lot of extra money. Depending on how prolific the hackers are, they can rack up hundreds of dollars of fees in days. This can be incredibly damaging to your end-user, often turning them away from the service entirely.

How Do Hackers Access the System?

In order to prevent hackers, you need to identify how they are accessing the system initially. The primary way a hacker can access a VoIP network is by seeking out vulnerable endpoints with generic or default passwords. At this point, they are not only free to use the phone at will, but they often try to sell this phone information to others, greatly exacerbating the number of people tying up the phone lines.

Unfortunately, many of the people committing VoIP fraud are international residents, and it’s nearly impossible to track them down and prosecute them. Rather, the primary course of action is to secure the network and keep hackers out permanently.

How to Prevent Hackers

Fortunately, VoIP resellers have a course of action to secure the system from malicious hackers and keep their clients safe.

• Regularly change all usernames and passwords. Passwords should be updated every few months for optimum security.

By regularly updating passwords and creating long,
complicated passwords, you can greatly
enhance the security of the network.

• Make passwords complicated. Many systems are hacked simply due to obvious or generic passwords. By making a password at least 12 to 15 characters, a combination of letters and numbers, and utilizing at least one special character, you can greatly enhance the security of the password.
• Install fraud detection software. Similar to how credit card companies detect fraud by analyzing uncharacteristic spending habits, VoIP fraud detection software picks up on any unusual phone usage. This enables users to notice and correct fraud as soon as it occurs, rather than waiting until their next phone bill arrives.
• Firewall can serve as an added level of protection to keep out hackers and keep the system secure.
• Secure Shell (SSH) Encryption can facilitate safer data transfer, and improve confidentiality, thereby minimizing hacker threats.

VoIP provides countless advantages to businesses, and yet if businesses fear the system is unsecure, they are unlikely to utilize it. Fortunately, as a VoIP reseller, you can target these system vulnerabilities and provide your clients with a higher level of care and protection, so they don’t fall victim to malicious hackers. With regularly updated passwords, SSH encryption, and firewall protection, the threats of hackers will be greatly minimized. By installing fraud detection software, you can mitigate any damages done should a hacker find a way to enter the system.

This entry was posted on Tuesday, July 21st, 2015 at 1:53 pm . You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

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