How Organizations Can Prevent Credential Theft

Credential theft is one of the most common methods used by cybercriminals to gain unauthorized access to an organization, according to Verizon’s 2023 Data Breach Investigations Report. Credential theft places organizations at a greater risk of data breaches, so steps must be taken to prevent it.

To prevent credential theft, organizations should encourage the use of passkeys, invest in a business password manager, enforce Multi-Factor Authentication (MFA) and train employees on cybersecurity best practices.  

Continue reading to learn more about how organizations can prevent credential theft.

Common ways credentials get stolen

Phishing and public data breaches are two of the most common credential theft attacks. 

Phishing attacks

Phishing is a type of social engineering attack that aims to get victims to disclose their personal information. Often, phishing attempts pretend to be a person or company the victim knows and display a sense of urgency so the victim acts immediately without second-guessing themselves. Cybercriminals may carry out phishing attacks through emails, text messages or phone calls. If a cybercriminal’s goal is to steal credentials, they may send a phishing email or text message claiming to be a company and lead the victim to a fake login portal. By entering their credentials into this login portal, the victim essentially hands those credentials to the cybercriminal, which can then be used to compromise the victim’s account. 

Public data breaches

Public data breaches occur when a company experiences a breach that exposes employee and/or customer data. Many of these data breaches expose user login credentials. When these data breaches occur, cybercriminals gather as much information from the breach as possible so they can use it themselves or publish it on the dark web. 

How to prevent credential theft

Here’s how organizations can prevent credential theft. 

1. Encourage the use of passkeys

Passkeys are a new authentication technology that enables users to sign in to an account without having to enter a password. If employees have the opportunity to use passkeys as a sign-in method, they should be encouraged to do so because they’re more secure than passwords and aren’t susceptible to being stolen. Organizations should educate employees on how to enable passkeys so employees are more likely to use them as a sign-in method over passwords.

2. Invest in a business password manager

Many websites and applications have yet to support passkeys as a login method, which means passwords will continue to be used for most accounts. The best way to ensure your employees are using strong passwords is by having them use a password manager. By investing in a business password manager, organizations can ensure that each employee is using strong passwords. Additionally, password managers can send IT administrators notifications if an employee’s login credentials appear in a data breach so they can prompt the employee to change their passwords. This reduces the risk of a credential stuffing attack or account takeover that could have serious consequences.

3. Enforce the use of multi-factor authentication

Multi-factor authentication is important for everyone to enable on their accounts. MFA requires that individuals provide more than one authentication method in addition to their username and password. If a cybercriminal or other unauthorized person gets a hold of an employee’s credentials, MFA would require that they verify who they are through other authentication methods. This makes it more difficult for unauthorized individuals to compromise employee accounts.

4. Train employees on cybersecurity best practices

Employees can be an organization’s weakest link, especially if they’re not properly trained or informed on cybersecurity best practices. To mitigate the risk of employees having their credentials stolen, organizations must take the time to teach their employees how to spot and avoid common cyber threats. 

As mentioned above, phishing attacks are one of the most common ways credential theft occurs. This means organizations should regularly train employees on how to spot phishing and how to avoid falling for phishing attempts. One of the best ways to train your employees on phishing is by sending them simulated phishing emails. These simulated phishing emails allow organizations to see how well-trained employees are in spotting phishing attempts. If employees aren’t the best at spotting phishing, IT admins can provide additional training so they can learn to better spot them. 

Keep your organization protected against credential theft

Credential theft can lead to significant financial losses and reputational damage for organizations, making it important for them to take preventative measures and invest in tools that will help mitigate these threats. A password manager is one tool organizations should invest in to keep their business and employees protected against credential theft and other password-related attacks. 

To see how a password manager can help your organization stay protected against credential theft, start a free 14-day business trial of Keeper Password Manager.