1. © 2006 Consumer Jungle Malware: Spam, Viruses, Spyware, Phishing, Pharming, Trojans, Worms, Backdoors, and Zombie Computers

2. © 2006 Consumer Jungle Estimating the Threat of Malware 1-in-3 chance of suffering: –computer damage –financial loss Viruses & Spyware –$2.6 Billion to Protect yet $9 Billion to Replace

3. © 2006 Consumer Jungle Spam

4. © 2006 Consumer Jungle What is Spam? An e-mail that is: –Unsolicited –Advertising something Similar to: –Junk mail delivered in the mail –Telemarketing calls on the phone

5. © 2006 Consumer Jungle CAN SPAM Act of 2003 Acronym stands for: –Controlling the Assault of Non- Solicited Pornography And Marketing Allows spam as long as it contains: –an opt-out mechanism –a valid subject line and header (routing) information –the legitimate physical address of the mailer –a label if the content is for adults only Regulated by the FTC, but has made little impact to curb Spam.

6. © 2006 Consumer Jungle Virus

7. © 2006 Consumer Jungle What is a Virus? A program that can replicate itself and spreads itself by means of a transferable host. How a virus spreads: –Removable Medium –Network Connection

8. © 2006 Consumer Jungle Why is it Called a Virus? Similar to a biological virus that spreads itself into living cells. –Insertion of a virus is called an infection –Infected file is called a host.

9. © 2006 Consumer Jungle Virus Tricks: What to Look For

10. © 2006 Consumer Jungle The Infected Document Subject line includes the name of the sender –Probably someone you know Message tempts you to open attachment Attachment is a legitimate Word file that is infected with a macro

11. © 2006 Consumer Jungle The Misleading File Name Look at the attachment's name "LOVE-LETTER-FOR-YOU.TXT.vbs –Looks like a harmless text (TXT) file, but it is a vbs file with a windows script –The suffix (.vbs) might be completely hidden – appearing to be a type of file you’d willingly open i.e. JPEG, MP3,or PDF.

12. © 2006 Consumer Jungle The Offer You Can’t Refuse Gives a compelling message – get rid of a computer virus Doesn’t disguise that the attachment is a program The program is a worm that sends itself to e-mail addresses it finds on your computer

13. © 2006 Consumer Jungle The Fake Web Link Subject and message suggest that opening attachment will take you to a web page containing party photos. Attachments name resembles a web address –Actually a program that sends itself to people in your address book Designed to tie up your e-mail; can also be designed to destroy data

14. © 2006 Consumer Jungle Spyware

15. © 2006 Consumer Jungle What is Spyware? Malicious software that –Subverts the computer’s operation for the benefit of a third party Designed to exploit infected computers for commercial gain via: –Unsolicited pop-up advertisements –Theft of personal information –Monitoring of web-browsing for marketing purposes –Re-routing of http requests to advertising sites

16. © 2006 Consumer Jungle Example of Spyware According to an October 2004 study by America Online and the National Cyber-Security Alliance: –80% of surveyed users had some form of spyware on their computer.

17. © 2006 Consumer Jungle Phishing

18. © 2006 Consumer Jungle What is Phishing? An attempt to fraudulently acquire confidential information, such as: –passwords –credit card details By masquerading as a trustworthy: –Business –Financial Institution –Government Agency –Internet Service Provider –Online Payment Service –Person In an apparently official electronic communication, such as: –an email –an instant message.

19. © 2006 Consumer Jungle Why is it called Phishing? Hackers coined the phrase –“Fish” for accounts –Ph is a common hacker replacement for the letter “f”.

20. © 2006 Consumer Jungle How does Phishing Work? E-mail contains a link to a “look alike” website. Website asks the consumer to : –Confirm –Re-enter –Validate (or) –Verify Their personal info, i.e. –Social Security Number –Bank Account Number –Credit Card Number –Password

21. © 2006 Consumer Jungle PayPal Phishing Look for spelling mistakes: –Choise –Temporaly Presence of an IP address in the link visible under the yellow box ("Click here to verify your account")

22. © 2006 Consumer Jungle Phishing for eBay Customers Phishing e-mails from eBay’s online payment company PayPal is very popular. However, eBay no longer sends out e-mails. –They created an online e- mail account for customers to receive e-mails after they’ve logged into the secure website.

23. © 2006 Consumer Jungle Advanced Phishing Techniques Instead of sending an e- mails persuading consumers to visit websites, the e-mail deploys a key-logging Trojan. As soon as the user visits their bank’s website all the typed keys are logged and sent back to the hacker with the account number, passwords, and other critical data.

24. © 2006 Consumer Jungle How to Avoid Phishing Be skeptical Ignore the “dire consequences” warning. Don’t reply Don’t click on the link –Contact the company directly via a: Legitimate 1-800 telephone number Website Look at the “address bar” –Often a different domain name

25. © 2006 Consumer Jungle More Tips on Avoiding Phishing Don’t e-mail personal or financial information. Open a new browser and look for secure indicators: –Secure lock –https: (s stands for secure)

26. © 2006 Consumer Jungle What to do with Phishing E-mails Forward to spam@uce.gov and cc the group that the e-mail impersonates. spam@uce.gov Mark as “Junk Mail” in your Spam Software Delete immediately File a complaint with the Federal Trade Commission (FTC) –www.ftc.govwww.ftc.gov –1-877-FTC-HELP (1-877-382-4357)

27. © 2006 Consumer Jungle Pharming

28. © 2006 Consumer Jungle What is Pharming? Exploitation of a vulnerability in the hosts’ file or DNS server software that allows a hacker to: –Acquire the domain name for a site –Redirect that website’s traffic to another website For gaining access to usernames, passwords, etc.

29. © 2006 Consumer Jungle Pharming Techniques The criminal uses a virus or Trojan to modify a user’s ‘Hosts’ file. –OR The criminal sends out a spam for www.phishsite.com, and the message links to an illegitimate site. www.phishsite.com –AND When the user opens the browser and enters the website address, they get sent to the phishing site instead.

30. © 2006 Consumer Jungle Trojans

31. © 2006 Consumer Jungle What is a Trojan? A malicious program that is disguised as a legitimate program. Usually has a useful function that camouflages undesired functions. Can not replicate or spread itself.

32. © 2006 Consumer Jungle Why is it Called a Trojan? Derived from myth. –Greeks left large wooden horse outside the city of Troy. –Trojans thought it was a gift and moved the horse inside the city wall. –The horse was hollow and filled with Greek soldiers. –Greek soldiers opened the city gates at night for the remaining army to attack. Application: Greeks gained malicious access to the city of Troy just like a Trojan program gains malicious access to your computer.

33. © 2006 Consumer Jungle Example of a Trojan Program posted on a website: –Called FREEMP3.EXE –Promise “free mp3 files” Instead, when run: –Erases all the files on your computer –Displays a taunting message

34. © 2006 Consumer Jungle What Can a Trojan Do? Erase or overwrite data on a computer Corrupt files in a subtle way Spread other malware, such as viruses. In this case the Trojan horse is called a 'dropper'. Set up networks of zombie computers in order to launch “Denial of Service” attacks or send out spam. Spy on the user of a computer and covertly reports data like browsing habits to other people. Log keystrokes to steal information such as passwords and credit card numbers. Phish for bank or other account details. Install a backdoor on a computer system.

35. © 2006 Consumer Jungle Where Do Trojans Come From? Infected Programs Websites Email Direct Connection to the Internet

36. © 2006 Consumer Jungle Worms

37. © 2006 Consumer Jungle What is a Worm? Computer program –self-replicating –self-contained Designed to exploit the file transmission capabilities on your computer

38. © 2006 Consumer Jungle Why is it Called a Worm? Word taken from a 1970’s science fiction novel: –The Shockwave Rider By John Brunner Researchers found that their self- replicating program was similar to the worm program described in the book.

39. © 2006 Consumer Jungle What Can a Worm Do? Delete files on a host system Send documents via e-mail Create excessive network traffic Install a backdoor

40. © 2006 Consumer Jungle What is a Backdoor? Method of remaining hidden on a computer while: –bypassing normal authentication –Securing remote access to a computer Can be installed by a worm

41. © 2006 Consumer Jungle What is a Zombie Computer? Computer attached to the internet that: –Is under remote direction of an illegitimate user Check your computer –www.ordb.orgwww.ordb.org

42. © 2006 Consumer Jungle Zombie Computers & Spam Used to send e-mail spam –50% to 80% of all spam worldwide is now sent by zombie computers. Allows spammers to: –Avoid detection –Have zombie computers pay for their bandwidth.

43. © 2006 Consumer Jungle Suspicion = Prevention Best prevention is awareness Be suspicious of everything to avoid: –Spam –Viruses –Spyware –Phishing –Pharming –Trojans –Worms –Backdoors