Telecom fraud (also known as toll fraud or phone fraud) generally involves criminals gaining access to your phone system without your permission and making unauthorised calls using your account. It is a global concern that can affect any business, regardless of its telephone provider or the country in which it resides.
The telecoms industry has been aware of the dangers of telecom fraud for many years now, but in recent times we have seen an increase in incidence, with an estimated average cost to the system owner of £22,000 per occurrence in 2014.
The majority of recent fraud cases have occurred around Private Branch Exchange (PBX) systems, by direct inward system access (DISA). Criminal attackers gain access to businesses that use a PBX phone/voicemail system and use system commands such as an 800 number or other access number to gain a dial tone.
They place unlimited long-distance calls directly through these lines for unscrupulous operators reselling long-distance at a profit. These calls appear no different to the service or equipment providers than any other call originating from that business.
Voicemail fraud is the most prevalent type of fraud and the most significant threat to businesses that use a Private Branch Exchange (PBX) phone system or voicemail. An unauthorised third party can gain access to a business’s phone system and place long-distance calls directly through these lines. They gain access most commonly through voicemail menus protected with only simple passwords (1111, 2222, 1234, etc.) or unchanged factory default passwords.
Once inside your system, an unauthorised third party can use the system commands to gain a dial tone and place calls that appear no different to your service or equipment provider than any other call originating from your business.
According to the Federal Trade Commission, telecom fraud accounted for 34% of fraud complaints in 2012, up from 20% in 2010. These numbers continue to grow, as new technology has led to an onslaught of new telecom fraud tactics. The latest schemes are difficult to track and investigate because of their frequency, their layers of anonymity, and their global nature.
$40 billion every year! That’s what the Communications Fraud Control Association (CFCA) estimates the value of telecom fraud. Credit card fraud only accounts for $7.6 billion by comparison.
Telecom fraud doesn’t receive much media attention and as a result, many business owners have never heard of it Have a listen to , this Radio 4 program which discusses the level of the threat – and how one company ended up forking out for £15,000.00 of fraud clocked up over a bank holiday weekend. Click here to listen to what happened.
Evoke is dedicated to reducing the risk our customers face to the best extent possible. Whilst you will appreciate that no telecommunications system will be completely immune to the danger, our advice regarding security can alleviate the risk significantly. Here are some main areas to focus on:-
Evoke Telecom Services now offers our customers Fraud Protection which could save your business tens of thousands of pounds in the event of your business being hit with telecom fraud. Remember the average cost to the system owner is £22,000 per occurrence in 2014.
Specifically we can:
The monthly cost of Evoke’s telecom fraud protection service is just 99p per analogue telephone number, £1.99 per ISDN2 telephone number, £9.99 per ISDN30 telephone number and £1.00 per SIP channel.
* Please see our terms and conditions.
To start protecting your company today from huge financial loss as a result of toll fraud, please contact our sales team on (0800) 8403688 or (01509) 278278 and a member of the team will be happy to discuss the service further with you. Existing customers, please call your dedicated Account Manager who will be delighted to advise you further.
This service, which is chargeable, will operate to bar calls by a CLI (telephone number) where calls from that CLI to destinations other than UK geographic or UK mobile numbers totaling over £500 have been made within a 24 hour period. The parameters are as follows:
CPS (Carrier Pre-Select) calls are calls that are routed over an alternative carrier to BT.
Automated Call Barring
Guaranteed Charge Limit
As a result of the Automated CLI Call Barring, charges for CPS calls to the relevant destinations will be limited to £500 for as long as the bar remains in place.
Cost of the Service
The charge for this service is £0.99 per analogue CLI per month, £1.99 per ISDN2 circuit per month, £9.99 per ISDN30 CLI per month and £1.00 per SIP channel per month.
All values mentioned exclude value added tax.
The £500 threshold is based on the wholesale cost of the calls.
Limitation of liability
Where Evoke Telecom Services Ltd have taken all measures to prevent incidents of toll fraud as outlined in these terms and conditions, we will not be liable for any cost incurred due to toll fraud of any kind whatsoever.