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A ransomware attack uses malware to lock files and demand payment for a way to unlock them. Attackers may also steal data and threaten to expose it; if that data includes personal details, it can potentially be used for fraud. Encryption, data theft, and identity misuse are distinct risks, and not every ransomware incident involves all three.
What happens in a ransomware attack?
Ransomware is malware that encrypts files, making them unusable on a device or across systems that depend on them. The attacker demands payment in exchange for decryption. The disruption can affect more than the files directly encrypted if other systems rely on them. CISA’s #StopRansomware Guide describes ransomware as malware designed to encrypt files and render them, and dependent systems, unusable.
Encryption is about access: it prevents a victim from using affected files. It does not, by itself, establish that attackers copied those files. Conversely, attackers may take data without encrypting anything.
How can attackers use stolen data as leverage?
Attackers may copy information out of a network and threaten to publish or otherwise expose it to pressure the victim to pay. CISA calls a combination of file encryption and a threat to release stolen data “double extortion.” Some actors use data theft and release threats as extortion even when they do not encrypt files.
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That means a victim may face two separate problems: being unable to access systems and the possibility that copied information will be exposed. A ransom demand or encryption notice alone does not reveal exactly what data was taken; determining that requires investigating the incident.
What can happen if personal information is exposed?
The consequences depend on what the attackers obtained. The Federal Trade Commission says stolen names and Social Security numbers may be used to open accounts in someone else’s name or commit tax identity theft. Other stolen files may not contain personal information, and exposure does not mean fraud will necessarily occur.
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For people whose Social Security numbers were stolen, the FTC’s Data Breach Response: A Guide for Business suggests contacting credit bureaus to ask about fraud alerts or credit freezes. Which steps make sense depends on the information involved and the individual’s circumstances.
What should an organization do after an attack?
CISA’s joint guide is intended for organizational incident response, not as an unsupervised technical checklist for a home user. It recommends following an approved incident response plan and coordinating with qualified incident responders and legal counsel as appropriate.
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- Identify and isolate affected systems. Follow the organization’s response plan to determine what is impacted and contain the compromise.
- Investigate possible data theft. Check for signs that information was exfiltrated, preserve relevant evidence, and establish what systems and data may be involved.
- Notify appropriate parties. Inform relevant stakeholders and authorities as appropriate. Breach notification obligations depend on the incident facts and applicable law, which varies by jurisdiction.
- Recover carefully. CISA recommends restoring from offline encrypted backups as part of the organization’s recovery process.
The CISA guide’s resource page lists a revision date of October 19, 2023. Its recommendations are U.S.-focused guidance; organizations should consult current applicable requirements and qualified advisers for a specific incident.
Should a victim pay the ransom?
The FBI says it does not support paying a ransom. Payment does not guarantee that data will be restored, and the FBI says it can encourage perpetrators to target more victims and give others an incentive to participate. This is the FBI’s position; an organization’s incident decisions still depend on its circumstances and should be made with appropriate professional advice.
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How can people and organizations prepare?
The FBI’s ransomware guidance recommends keeping operating systems and applications current, maintaining updated anti-malware protection, backing up data regularly, keeping backups disconnected from the computers and networks they protect, and having a continuity plan.
- Keep a disconnected backup. An external hard drive is one possible way to hold a copy offline when it is not connected to the systems being backed up. A drive alone does not make a system secure, and the FBI does not endorse a particular brand, model, or capacity.
- Plan for disruption. A continuity plan helps an organization or household decide how to keep essential activities going if systems become unavailable.
- Use the right response channel. Organizational incidents call for an established response plan and appropriate expert support; individuals should use guidance suited to the type of information exposed and their location.
The sources cited here are U.S. government guidance. Readers elsewhere should consult their national cyber authority and local identity-theft and breach guidance.
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