All it takes is one. A weak or reused password. A click on a malicious link. Poor cyber hygiene in a supply chain partner. Any of these threats can result in compromised credentials, giving an attacker insider access to sensitive systems, accounts and data.
Compromised credentials are the most common entry point for cyberattacks. According to the Verizon Data Breach Investigations Report, 22 percent of all data breaches originate directly from stolen or compromised credentials.
Small to midsize enterprises (SMEs) are common targets. SMEs represent 43 percent of all cyberattack victims, as hackers actively exploit softer targets. Roughly 61 percent of SMEs experience a cyber breach in any given year, with credential abuse frequently acting as the catalyst.
The cost can be staggering. For a SME, a single leaked password can carry a devastating financial toll that often forces organizations to shut down.
Why Compromised Credentials Are a Serious Threat
With compromised credentials, unauthorized individuals gain access to valid login details like usernames, passwords, API keys or security tokens. Because cybercriminals log in as legitimate users, traditional perimeter security usually fails to detect them. The attacker is able to silently infiltrate the network to steal data, deploy ransomware or sabotage systems.
Credentials are commonly compromised through phishing and social engineering. Cybercriminals use deceptive emails, texts or cloned websites to trick users into typing in their passwords. They may also use infostealer malware to silently scrape passwords, session tokens and autofill logs from web browsers.
Password reuse increases the risk. Automated bots exploit widespread password reuse by injecting massive databases of passwords leaked from previous breaches into completely different sites. Attackers also compromise vendors or interconnected software partners to move laterally into an organization’s IT environment.
The best defense is prevention. To continuously safeguard information against credential abuse, SMEs should take proactive steps to reduce the risk of compromise.
Strategies for Reducing the Risk
SMEs should start by deploying a business-class password manager that forces employees to use long, unique passwords. Business-class solutions provide centralized administration and strict policy compliance. Teams can securely access shared logins without seeing the actual plaintext password. Staff can share credentials with external contractors using time-limited, self-destructing links.
It’s also critical to enforce multifactor authentication (MFA). MFA blocks 99 percent of automated credential attacks by requiring an authenticator app or hardware key for all logins.
Enforcing the principle of least privilege can prevent attackers from using compromised credentials to gain broad access to the network. SMEs should strictly restrict both human and non-human accounts to the minimum network resources required.
Because phishing is the primary vector for compromised credentials, SMEs should train staff to spot fake emails. They should test their awareness by sending controlled, safe phishing emails. Creating a blame-free reporting culture is also critical.
The Value of Partnering with an MSP
For an SME, managing credentials internally is difficult because it requires 24x7 technical oversight. A managed services provider (MSP) solves this by shifting the business from a reactive state to a proactive defense model.
MSPs deploy advanced monitoring tools across the network. These tools automatically lock an account if anomalous behavior is detected. Automated scanning engines alert technicians when a corporate email and password combination is leaked or sold in hacker forums.
Instead of allowing users to manage their credentials, MSPs can build a centralized architecture that routes all logins through one secure portal. The MSP can manage access privileges and eliminate the unneeded and orphan accounts that hackers love to exploit.
MSPs deploy and enforce MFA across all applications, ensuring legacy backdoors are disabled. They also install agents on all company laptops and phones to block infostealer malware from scraping passwords directly out of web browsers.
How Verteks Can Help
Verteks has decades of experience delivering enterprise-class managed services to SMEs. Our security experts can help develop a strategy that ensures credentials are secure and systems are monitored, managed and protected. We also provide best-of-breed tools from WatchGuard and other industry leaders. Contact us today, before your organization becomes the next victim.
