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Hiding Behind VOIP
Publish Date : 9/20/2005 1:07:00 AM Source : eCommerce News Onlypunjab.com
Ebay's well-publicized acquisition of Internet telephony company Skype has cast the spotlight on this emerging technology. Some are even calling VOIP (Voice Over Internet Protocol) the next killer app. But there's a darker side to VOIP than most people realize. Traditional landlines and even wireless phones can be tracked back to the original purchaser, but VOIP has created thousands of phone numbers that are essentially untraceable. Even more alarming, phone numbers that appear to originate in the US may actually be ringing on a computer on the other side of the world. This flexibility and anonymity has attracted thousands of harassers, fraudsters, and cheaters to VOIP technology.
One company recently experienced havoc wreaked on its website by a fraudster using a VOIP phone number. The company, whose name will not be disclosed, is a paid classified ads site that was consistently being defrauded by a particular user. Says the site owner, "This scammer was very good as he was offering [vehicles] for sale on our site which he didn't have, and was trying to get innocent victims to wire half the money to him, then half when the [vehicle] arrived."
"We were blocking email addresses, host names, IP addresses etc but we couldn't keep him away from our system as he'd keep coming back with different email addresses, internet providers, IP addresses and phone numbers."
The company eventually turned to a real-time telephone verification service provided by TeleSign Corp., a US-based fraud prevention company. This service requires users to receive a telephone call when they register on a website, listen to a PIN code during the phone call, and enter the PIN into the website. While this solution slowed the fraudster down temporarily, he eventually discovered VOIP-based, disposable telephone numbers and began using them to continue his fraudulent rampage.
According to the owner of the site, the fraudster even sent a taunting email saying that no fraud prevention technology could ever stop him and that he would continue to defraud people until the website was taken offline.
Soon afterward, the website owner implemented another technology offered by TeleSign dubbed Phone ID. This technology allows websites to analyze phone numbers in real-time and determines the type of phone being used, as well as the city, state, and zip code associated with the telephone number. The technology can even differentiate between VOIP, fixed-line, and wireless numbers and is able to flag numbers associated with prepaid mobile phones.
According to the website owner, "Using the new system, we're able to automatically deny any new registrations from anybody using a VOIP number or flag it for manual review, and this particular scammer hasn't been back since we introduced it."
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Hiding Behind VOIP
Publish Date : 9/20/2005 1:07:00 AM
Fraudsters have begun using VOIP telephone services to hide behind anonymous phone numbers. To combat this new threat, TeleSign Corp., a leading supplier of internet/telephony solutions,...
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