The Complete Guide to Preventing Credential Stuffing Attacks

Credential stuffing, also called account takeover fraud, is a type of cyberattack where hackers use stolen login credentials from one website or platform to gain unauthorized access to other websites or platforms. This attack relies on automated programs that rapidly attempt to log in with the stolen credentials on multiple sites until they find a successful match. Hackers can access sensitive personal and financial information, such as credit card details and social security numbers.

Credential stuffing as a prevalent cyber threat

Credential stuffing is a cyber-attack where hackers use stolen login credentials from one website or platform to gain unauthorized access to other websites or applications that share the same credentials.

This technique works because many people reuse the same passwords for multiple accounts, making it easier for hackers to enter various systems. With millions of hacked usernames and passwords readily available on the dark web due to frequent data breaches, credential-stuffing attacks have become much more prevalent in recent years.

The alarming rise of credential stuffing as a prevalent threat is largely due to its low barrier of entry for hackers. With readily available automated tools on the internet, they can swiftly test thousands or even millions of compromised login credentials across various platforms in a short span.

Impact of breached credentials and credential stuffing attacks

Breached credentials and credential-stuffing attacks have become increasingly prevalent in today’s digital landscape, posing a severe threat to individuals and organizations. Following are the types of cyberattacks and the far-reaching impact they can have.

1. Definition of Breached Credentials: It is essential to understand what exactly breached credentials are. This refers to login information (i.e., usernames and passwords) stolen or exposed through a data breach.
2. Mechanism of Credential Stuffing Attacks: One such malicious use is through credential stuffing attacks. This is when hackers use automated tools to test these stolen credentials across multiple websites and applications in an attempt to gain unauthorized access. 
3. Consequences for Individuals: Individuals also suffer consequences from breached credentials as their personal information could end up in the hands of cybercriminals who can use it for identity theft or financial fraud. 

A Deep Dive into Credential Stuffing

Credential stuffing begins with hackers obtaining large databases of compromised credentials through data breaches or purchasing them on the dark web. These stolen credentials are then used in automated scripts that try different combinations of usernames and passwords on multiple websites until they find a match. 

Credential stuffing and its methodology

Credential stuffing is a cyber attack involving the automated injection of stolen login credentials into websites and applications. It is a brute force attack where hackers use compromised usernames and passwords to gain unauthorized access to user accounts.

The methodology for credential stuffing typically follows a three-step process: harvesting, testing, and attacking.

1. Harvesting: Hackers collect large volumes of login credentials through various means, such as data breaches, phishing attacks, malware infections, or purchasing them on the dark web. With billions of records being leaked yearly, there are plenty of stolen credentials for attackers to exploit.
2. Testing: Once the hackers have gathered many credentials, they use specialized software known as “credential stuffing tools” to test these usernames and passwords against different websites and applications. These tools automate the process by trying multiple combinations simultaneously until a valid login is found.
3. Attacking: Armed with a list of working username and password combinations from their testing phase, hackers launch their attacks using automated scripts or bots that emulate human behavior on targeted sites. 

Ease of execution and high success rate of credential stuffing attacks

Credential stuffing attacks have become a primary concern for organizations, resulting in significant financial losses and reputational damage. One of the main reasons for their success is the ease of execution and high success rate associated with these attacks.

1. Availability of Stolen Credentials: The first factor contributing to the ease of execution of credential stuffing attacks is the availability of stolen credentials on the dark web. With increasing cyberattacks resulting in large-scale data breaches, it has become easier for hackers to obtain millions of usernames and passwords. 
2. Minimal Technical Knowledge Required: Credential-stuffing attacks require minimal technical knowledge or coding skills, making them accessible to even novice attackers. Some readily available tools and tutorials provide step-by-step instructions on how to perform such attacks using automated scripts. 

How Credential Stuffing Works

Credential stuffing involves three main steps: stealing, testing, and gaining access. The first step is for the attacker to obtain an extensive database of stolen user credentials, which can come from various sources such as data breaches or phishing scams. 

Methodology behind credential stuffing attacks

To understand how these attacks work, examining the methodology behind them is essential. At its core, credential stuffing relies on two main techniques – account validation and password spraying.

1. Account Validation: Account validation involves using a list of usernames or email addresses obtained from a previous data breach or through phishing scams. The attacker will test these credentials on different websites and applications to determine which ones are still valid. 
2. Password Spraying: Once a list of valid accounts is compiled, the second technique comes into play – password spraying. This involves trying out a list of common passwords or combinations of words on the previously validated accounts.

Automated process used by cybercriminals to test stolen credentials across multiple sites

Cybercriminals use automated bots to rapidly test stolen username and password combinations across multiple websites, exploiting user’s tendency to reuse credentials. This method is facilitated by tools like credential stuffing checkers, allowing hackers to gain unauthorized access to numerous accounts swiftly.

1. Obtaining User Credentials: The first step in credential stuffing is obtaining user credentials through various means, such as data breaches, phishing scams, or brute force attacks. The stolen credentials are then compiled into a list or database known as “combos” and sold on the dark web to other cybercriminals.
2. Automated Testing of Credentials: Once these combos are purchased, cybercriminals use automated bots to rapidly test thousands of username and password combinations on multiple websites. This process relies heavily on many people using the same credentials for various online accounts, making it easier for hackers to gain access.
3. Credential Stuffing Checkers: One standard method used by criminals involves using a tool called “credential stuffing checkers.” These tools automate testing stolen credentials by utilizing pre-made scripts that bulk-load login requests onto a targeted website. 

The Costs of Credential Stuffing Attacks

Credential stuffing attacks are becoming increasingly prevalent in today’s digital landscape, and for good reason. These attacks are relatively easy to execute and often yield high success rates, making them a lucrative option for cybercriminals. The consequences of these attacks can be devastating not only for individuals but also for businesses.

Financial and regulatory impacts of credential stuffing attacks on businesses

Credential stuffing attacks can lead to substantial financial losses for businesses as hackers exploit compromised accounts to conduct fraudulent transactions and unauthorized purchases. 

1. Financial Impact on Businesses: On the financial front, credential-stuffing attacks can result in significant losses for businesses. This is because hackers can carry out fraudulent transactions or make unauthorized purchases using the victim’s personal and financial information once they access user accounts. 
2. Loss of Productivity and Additional Financial Strain: Another impact of these attacks is the loss of productivity, as businesses may need to divert resources towards addressing the security breach rather than focusing on regular business operations.

Examples of fines and penalties imposed on organizations for failing to prevent such attacks

Following are some examples of fines and penalties that have been imposed on organizations for failing to prevent credential-stuffing attacks:

1. Equifax: In 2017, credit reporting agency Equifax experienced one of the most significant data breaches in history, with over 147 million people affected. The attack resulted from hackers using credential-stuffing techniques to access personal information. Equifax faced numerous lawsuits and investigations from government agencies. They eventually agreed to pay up to $700 million in fines and compensation costs.
2. Uber: In 2016, ride-sharing company Uber fell victim to a credential stuffing attack, compromising around 57 million user accounts. Uber faced significant backlash from regulators and authorities worldwide and was fined $148 million for failing to disclose the breach promptly.
3. British Airways: In 2018, British Airways suffered a data breach where over 500,000 customers’ personal information was stolen by cybercriminals using credential-stuffing tactics. This information included payment card details that put users at risk of fraud. The airline faced an initial fine of $230 million under GDPR but later settled with a lower fine of $25 million due to their cooperation during the investigation.
4. Marriott International: Another major hotel chain targeted by credential stuffing attacks was Marriott International in 2018. Over 500 million guests had their personal information exposed after cybercriminals accessed Marriott’s reservation system using stolen employee login credentials.

Credential Stuffing Attacks vs. Brute Force Attacks

Credential stuffing attacks and brute force attacks are two distinct methods used by cybercriminals to gain unauthorized access to online accounts.

Credential Stuffing Attacks:

• Methodology: Involves using automated tools to rapidly test known username and password combinations across multiple websites.
• Basis: Relies on pre-existing credentials obtained from data breaches.
• Exploitation: Takes advantage of the common practice of password reuse by users.
• Tools Used: Bots and software that mimic legitimate human behavior to bypass security measures like rate limits and captchas.
• Efficiency: Highly effective due to the widespread reuse of passwords across different accounts.
• Example: A hacker uses a list of stolen credentials from a previous data breach to access multiple accounts on different websites.

Brute Force Attacks:

• Methodology: Involves systematically trying every possible combination of characters to guess the correct password.
• Basis: Does not rely on pre-existing credentials; instead, it generates possible passwords to match the username.
• Exploitation: Utilizes sheer computational power to attempt numerous combinations until the correct one is found.
• Tools Used: Password dictionaries and automated scripts that test various character combinations at high speeds.
• Efficiency: Time-consuming and less efficient, especially against strong passwords, but can eventually crack passwords through persistence.
• Example: A hacker uses an automated script to try millions of possible password combinations to gain access to an account.

Security measures required to mitigate each type of attack

Mitigating credential stuffing attacks and brute force attacks requires specific security measures that address the specific characteristics and techniques of each type of attack.

1. Brute Force Attacks: Brute force attacks are the most common type of credential stuffing attack. They involve automated tools trying different combinations of usernames and passwords until they find a match. To mitigate these attacks, businesses should implement account lockout policies after a certain number of failed login attempts.
2. Credential Cracking Attacks: Credential cracking attacks involve using an extensive database of stolen credentials obtained from previous data breaches to access user accounts on other websites.
3. Password Spraying Attacks: Password spraying involves using a few commonly used or weak passwords across multiple user accounts to gain unauthorized access through one successful guess.
4. Phishing Attacks: Phishing attacks trick users into giving away their login credentials through fraudulent emails or websites that resemble legitimate ones. 
5. Malware Based Attacks: Malware-based credential stuffing involves infecting devices with malware that logs keystrokes or steals saved login information from browsers, which attackers in credential stuffing attempts on various websites then use.

How to Prevent Credential Stuffing Attacks

Credential stuffing attacks exploit the reuse of usernames and passwords across multiple accounts. Preventing these attacks requires a combination of user education, technical defenses, and proactive monitoring. Following are key measures to prevent credential stuffing attacks:

Credential Hashing

Credential hashing is a fundamental security measure used to protect user passwords. When a password is hashed, it is transformed into a fixed-length string of characters, known as a hash value, through a mathematical algorithm. This hash value is unique to the original password, and even a slight change in the password will produce a vastly different hash. Robust hashing algorithms are crucial for the following reasons:

1. Resistance to Brute Force Attacks: Strong algorithms produce hash values that are computationally difficult and time-consuming to reverse-engineer, making it impractical for attackers to guess passwords using brute force methods.
2. Collision Resistance: A strong hashing algorithm ensures that no two different inputs produce the same hash value, known as a collision. This property is vital to prevent attackers from finding two different passwords that result in the same hash.
3. Salting: A critical security measure, involves adding a unique value to each password before hashing. This simple step can significantly enhance security.

Breached Password Protection

Breached password protection is a security feature designed to enhance user account security by comparing user passwords against databases of compromised credentials. The process involves:

1. Credential Checking: When a user sets or changes their password, the system checks it against a compromised password database.
2. Alerting: If the password matches an entry in the compromised credentials database, the user is alerted and prompted to choose a different, more secure password.
3. Regular Updates: The compromised credentials database is regularly updated with the latest information from security researchers and breach notifications, ensuring the protection remains effective against new threats.

Bot Detection

Bot detection is a critical security measure designed to identify and block automated attacks such as credential stuffing and brute force attempts. Bot detection mechanisms often include:

1. Behavioral Analysis: Monitoring user behavior patterns to detect anomalies that indicate bot activity, such as rapid, repetitive actions or access attempts from multiple locations.
2. CAPTCHAs: Implementing Completely Automated Public Turing tests to tell Computers and Humans Apart to prevent automated bots from accessing accounts or submitting forms.
3. Rate Limiting: Rate Limiting is restricting the number of login attempts from a single IP address or user account within a specified time frame.
4. Device Fingerprinting: Identifying unique device characteristics to detect and block requests from unfamiliar or suspicious devices.

Anomaly Detection

Anomaly detection involves monitoring network traffic to detect unusual or abnormal patterns. This strategy is crucial for identifying potential threats such as credential-stuffing attacks. Organizations can spot deviations from typical user behavior that may indicate fraudulent activity by analyzing parameters like IP addresses, device characteristics, login attempts, and session behavior.

Log streams are real-time data generated by web servers and applications that record every user request, including source IP addresses, timestamps, request types (e.g., GET or POST), cookies, and headers. Leveraging log stream data with tools like Security Information and Event Management (SIEM) systems allows for immediate and continuous analysis of network traffic, reassuring organizations that they can identify and respond to suspicious activities without delay.

Multi-Factor Authentication (MFA)

Multi-factor Authentication (MFA) is a security measure that adds an extra layer of protection to prevent unauthorized access to sensitive information and accounts. With the increasing number of data breaches and cyber attacks, traditional authentication methods such as using a single password or PIN are no longer enough to secure our online identities.

Following are the Common Types of Multi-Factor Authentication:

1. One-time passwords (OTP): A prime example of MFA, are a highly Effective Method. They require users to enter a unique code sent through SMS or generated by an authenticator app in addition to their password.
2. Biometric Authentication: Another popular form of MFA is biometric Authentication. This method requires verification of unique biological characteristics, such as fingerprints, facial features, or voice patterns. Biometric Authentication adds another layer of security and offers convenience for users who often struggle to remember passwords.

Continuous Authentication

Continuous authentication is a security approach that continuously monitors and verifies a user’s identity throughout the duration of their session. Instead of relying solely on a single authentication event at login, continuous authentication uses various methods and technologies to ensure that the person who logged in remains the same throughout the session. 

Continuous authentication employs a combination of techniques to monitor and verify user identity. These techniques can include:

1. Behavioral Biometrics: Behavioral biometrics analyze patterns in user behavior, such as typing rhythm, mouse movements, and touch screen interactions. Each user has unique behavioral patterns, which can be used to continuously verify their identity. 
2. Contextual Analysis: Contextual analysis involves assessing the context in which the user is interacting with the system. Factors such as the user’s location, device, time of access, and network environment are continuously monitored.
3. Environmental Factors: Environmental factors like ambient noise levels, background sounds, and device orientation can be used to verify user identity.
4. Physical Biometrics: Continuous authentication can also use physical biometrics such as facial recognition, voice recognition, and fingerprint scanning. 
5. Machine Learning Algorithms: Machine learning algorithms play a crucial role in continuous authentication by analyzing vast amounts of data to establish a baseline of normal user behavior.

Passwordless Authentication

Passwordless authentication eliminates the need for passwords altogether, relying instead on alternative methods to verify user identity. These methods can include:

• Biometric Authentication: Using fingerprints, facial recognition, or voice recognition.
• Email or SMS-based One-Time Codes: Sending a one-time code to the user’s registered email or phone number.
• Push Notifications: Sending a push notification to the user’s registered device for approval.
• Hardware Tokens: Using physical devices like security keys to authenticate users.
• Magic Links: Sending a login link to the user’s registered email that grants access when clicked

Following are the benefits for Businesses

1. Enhanced Security: Passwordless authentication provides a higher level of security compared to traditional password-based methods. By leveraging unique biometric data or secure tokens, it becomes nearly impossible for attackers to perform credential stuffing attacks. 
2. Reduced IT Costs and Support: Managing and resetting passwords can be a significant burden on IT support teams. Passwordless authentication eliminates password-related issues, reducing the volume of support tickets and associated costs. 
3. Compliance and Regulatory Benefits: Many industries are subject to strict regulatory requirements for data protection. Passwordless authentication can help businesses comply with these regulations by providing robust security measures that protect sensitive information.
4. Improved User Experience: Passwordless authentication streamlines the login process, providing a seamless and frictionless user experience. Users no longer need to remember complex passwords or deal with frequent password resets, leading to higher satisfaction and engagement.
5. Reduction in Account Takeovers: By eliminating the reliance on passwords, businesses can significantly reduce the risk of account takeovers.

Following are the benefits for Users:

1. Simplified Login Process: Users benefit from a simplified and more convenient login process. Without the need to remember and enter passwords, accessing accounts becomes faster and easier.
2. Enhanced Security: Passwordless authentication methods, such as biometrics and hardware tokens, provide stronger security for users. These methods are unique to each user and difficult for attackers to replicate, reducing the risk of unauthorized access.
3. Reduced Password Fatigue: Remembering multiple complex passwords can be challenging and frustrating for users. Passwordless authentication eliminates this burden, reducing password fatigue and improving overall user satisfaction.
4. Protection Against Phishing: Passwordless authentication methods are less susceptible to phishing attacks. Since users do not need to enter passwords, there is no risk of attackers stealing credentials through deceptive websites or emails.
5. Accessibility and Convenience: Passwordless authentication can improve accessibility for users with disabilities. 

Use CAPTCHA

CAPTCHAs (Completely Automated Public Turing test to tell Computers and Humans Apart) are designed to distinguish between human users and automated scripts, thus reducing the effectiveness of credential stuffing attacks. CAPTCHA is a challenge-response test used to ensure that the response is not generated by a computer. It presents tasks that are easy for humans but difficult for bots to solve.

These tasks can include:

• Image Recognition: Identifying objects within images (e.g., “Select all squares with traffic lights”).
• Text Recognition: Reading and typing distorted text or numbers.
• Logical Puzzles: Solving simple puzzles or math problems.
• Behavioral Analysis: Monitoring mouse movements and interactions to detect non-human behavior.

Device Fingerprinting

Device fingerprinting is a technique used to identify and track devices based on their unique characteristics. Unlike traditional methods that rely on cookies or IP addresses, device fingerprinting gathers a combination of attributes from a device to create a unique identifier or “fingerprint.” These attributes can include:

• Browser type and version
• Operating system
• Screen resolution
• Installed plugins and fonts
• Time zone
• Language settings

Implementation of Web Application and API Protection (WAAP)

Web Application and API Protection (WAAP) solutions are comprehensive security platforms designed to protect web applications and APIs from a wide range of cyber threats. WAAP solutions like SensFRX offer advanced capabilities to ensure the security and integrity of web applications and APIs. 

Detecting Abnormal Traffic and Suspicious Login Attempts:

1. Traffic Analysis: WAAP solutions continuously monitor and analyze incoming traffic to web applications and APIs. By establishing a baseline of normal traffic patterns, these solutions can detect anomalies that may indicate potential attacks. SensFRX, uses advanced algorithms and machine learning to identify deviations from typical traffic behavior.
2. Suspicious Login Detection: WAAP solutions are equipped with features to detect and block suspicious login attempts. This includes identifying login attempts from unusual locations, rapid-fire login attempts (indicative of credential stuffing), and other behaviors that deviate from normal user activity.
3. Rate Limiting and Throttling: To prevent automated attacks, WAAP solutions implement rate limiting and throttling mechanisms. These features control the number of requests from a single IP address within a specified time frame, mitigating the risk of credential stuffing and brute force attacks.
4. Bot Mitigation: WAAP solutions include sophisticated bot detection and mitigation techniques. By analyzing user behavior and employing challenges like CAPTCHAs, SensFRX can differentiate between human users and automated bots, blocking malicious bot traffic while allowing legitimate users to access the application.
5. Real-Time Threat Intelligence: SensFRX and similar WAAP solutions leverage real-time threat intelligence feeds to stay updated on emerging threats. This enables the system to recognize and respond to new attack vectors promptly, ensuring robust protection against evolving cyber threats.
6. Comprehensive Logging and Monitoring: WAAP solutions provide detailed logging and monitoring capabilities. These logs capture all traffic and login attempts, allowing security teams to conduct thorough investigations and respond to incidents in real time. SensFRX offers dashboards and alerts that help administrators quickly identify and address suspicious activities.

Screen for Leaked Credentials

Screening for leaked credentials involves checking user login information against databases of known compromised credentials. These databases are compiled from various sources, including past data breaches and dark web listings.

1. Credential Comparison: When a user enters their username and password, these credentials are hashed and compared against the hashed entries in the compromised credentials database.
2. Regular Updates: The compromised credentials database is frequently updated with new entries from recent data breaches to ensure comprehensive coverage.
3. Real-Time Checks: These checks can be performed in real-time during the login or account creation process to provide immediate feedback to the user.

Conclusion

Credential stuffing attacks pose a significant threat to the security of both individuals and businesses. Implementing preventive measures, such as credential hashing, breached password protection, bot detection, anomaly detection, and multi-factor authentication, is crucial in mitigating these risks. These measures provide robust security, making it much harder for attackers to gain unauthorized access to sensitive information and accounts.

Passwordless authentication is not just a trend, but a powerful solution that can revolutionize your security approach. By eliminating the need for traditional passwords, it drastically reduces the risk of credential theft and offers a seamless user experience. With methods like biometric authentication, hardware tokens, and push notifications, passwordless authentication ensures that only legitimate users can access protected systems, enhancing your security to a whole new level.

At SL7, we are dedicated to providing cutting-edge security solutions to safeguard your digital assets. Our product lines, including the innovative SensFRX, offer comprehensive protection against a wide range of cyber threats. SensFRX is designed to enhance your security posture with advanced features such as real-time threat detection, anomaly monitoring, and automated response mechanisms.

Frequently Asked Question (FAQs)

Q: What is credential stuffing?

A: Credential stuffing is a type of cyber attack where hackers use stolen login credentials from one website or platform to gain unauthorized access to other websites or applications. This is possible because many people reuse the same passwords across multiple accounts.

Q: How prevalent are credential stuffing attacks?

A: Credential stuffing attacks have become increasingly common due to the availability of millions of stolen credentials on the dark web and the ease of using automated tools to conduct these attacks.

Q: What are breached credentials?

A: Breached credentials refer to login information (usernames and passwords) that have been stolen or exposed through a data breach. These credentials are often sold on the dark web or used by cybercriminals.

Q: What are the consequences of credential stuffing attacks?

A: The consequences can include unauthorized access to sensitive personal and financial information, identity theft, financial fraud, and significant financial and reputational damage to organizations.

Q: How do hackers obtain credentials for credential stuffing attacks?

A: Hackers obtain credentials through data breaches, phishing attacks, malware infections, or purchasing them on the dark web.

Q: What is the methodology behind credential stuffing attacks?

A: Credential stuffing involves three main steps: harvesting credentials, testing them against various websites using automated tools, and attacking by gaining unauthorized access to accounts.

Q: What is the automated process used in credential stuffing?

A: Cybercriminals use automated bots to rapidly test stolen username and password combinations across multiple websites. Tools like credential stuffing checkers and list management scripts facilitate this process.

Q: What are the costs of credential stuffing attacks?

A: Credential stuffing attacks can lead to financial losses, regulatory fines, reputational damage, loss of productivity, and additional financial strain from compensating affected customers.

Q: What measures can be taken to prevent credential stuffing attacks?

A: Preventive measures include credential hashing, breached password protection, bot detection, anomaly detection, multi-factor authentication (MFA), continuous authentication, and passwordless authentication.

Q: What is credential hashing and why is it important?

A: Credential hashing transforms passwords into a unique string of characters using a mathematical algorithm, making it difficult for hackers to reverse-engineer the original password. Strong hashing algorithms resist brute force attacks and provide collision resistance.

Q: What is bot detection and how does it work?

A: Bot detection identifies and blocks automated attacks by analyzing user behavior patterns, employing CAPTCHAs, implementing rate limiting, and using device fingerprinting to distinguish between legitimate users and bots.

Q: What is anomaly detection?

A: Anomaly detection monitors network traffic to identify unusual patterns that may indicate a credential stuffing attack. Real-time monitoring with log streams allows organizations to detect and respond to suspicious activities promptly.

Q: What is multi-factor authentication (MFA)?

A: MFA adds an extra layer of security by requiring users to provide multiple forms of verification, such as a password and a one-time password (OTP) or biometric data, before granting access.

Q: What is continuous authentication?

A: Continuous authentication continuously monitors and verifies a user’s identity throughout their session using techniques like behavioral biometrics, contextual analysis, and physical biometrics.