Fresh Phish disguised as a PayPal Urgent Account Review Notification

While browsing the web this evening waiting for thotcon 0x3 general admission tickets to go on sale, my wife's spidey senses were tingling when she asked me, "Is this a scam?"

Turning towards her monitor I see she has an email open inside her webmail account. The email has a pretty good sense of urgency written into it that compels the reader to follow the instructions provided and protect their information.

It begins:

"As of the 3rd of November 2011, our security system has blocked unusual charges to a credit card linked to your account."

And concludes:

"Sincerely, PayPal Account Review Team"

Unfortunately, the average person who does not read Naked Security might easily be duped of their PII (Personally Identifiable Information).

Phishing scams are nothing new. Hopefully, if people stopped falling for them, then perhaps the phishing scams might stop?
It really comes down to education and great protection (for when education fails).
The home use version of Sophos Endpoint Security and Control did a fantastic job of catching the attack as Mal/Phish-A.

The home use version is available to Sophos customer's employees. Check with your employer if the home use program is available at your organization before installing Sophos software willy nilly.

I spoke earlier in the week with a security professional who sent 500 spear phishing attacks internally to his colleagues. Of the 500 emails sent, 25 people responded by completing the form and surrendering their information.
While a 5% rate may seem small, he felt even 1% was too high. Education helped a lot, but not completely. Do you agree?
When read, this fresh phish posing as PayPal immediately puts the recipient into an emotional state that their account was compromised and their funds are in jeopardy which then clouds their judgement.

Since PayPal is a trusted name in the electronic payments industry, they of course have controls to prevent fraudulent transactions (but no one is perfect). This phish takes advantage of that trust by explaining that the breached account has been locked for your protection.

Now to regain access to your funds it's imperative to download the attachment and complete the form.

After downloading and opening the attachment it will open your web browser. As you can see, this web page looks very genuine and might lower your guard into believing it really came from PayPal.


There are a few mistakes in this poorly executed phish which caused education to prevail over emotion.

The most basic one is that there isn't a PayPal email address associated with the inbox which received this phish.

Another one to point out is that the (From: "PayPal") is really not from PayPal.
The phisher used a domain name pp-redacted-.com which based on a whois look up doesn't have anything to do with PayPal. It belongs to an instrumentation company out of Massachusetts that happens to have similar initials as PayPal.
While my wife isn't a security professional or an expert with computers, her education to not trust every email in her inbox (beyond spam) triggered a gut feeling to think more clearly.

If it doesn't feel right, then it's not. Go with your gut!
Until next time, stay safe and secure online.

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How Much is That Phished PayPal Account?

Compromised PayPal accounts are a valuable commodity in the criminal underground, and crooks frequently trade them in shadowy online forums. But it wasn’t until recently that I finally encountered a proper Web site dedicated to selling hacked PayPal accounts.

Compromised PayPal accounts for sale at iProfit.su

Many of the PayPal accounts for sale at iProfit.su have a zero balance, but according to the proprietor of this shop these are all “verified.” PayPal “verifies” an account when a customer agrees to attach a bank account to it; PayPal then sends a micropayment the bank account, and asks the user the value of that mini deposit. A bonus feature: all the hacked PayPal profiles currently for sale at iProfit.su are advertised as having a credit card attached to them, which is another way PayPal accounts can be verified.

The creator of iProfit.su also advertises private, bulk sales of unverified PayPal accounts; currently he is selling these at $50 per 100 accounts – a bargain at only 50 cents apiece.

Accounts are sold with or without email access (indicated by the “email” heading in the screenshot above): Accounts that come with email access include the username and password of the victim’s email account that they used to register at PayPal, the site’s proprietor told me via instant message. The creator of iProfit.su told me the accounts for sale were stolen via phishing attacks, but the fact that accounts are being sold along with email access suggests that at least some of the accounts are being hijacked by password-stealing computer Trojans on account holders’ PCs.


It’s not clear how this guy prices the verified PayPal accounts. In the accounts I saw advertised (see screenshot above), the prices started at $2.50 for verified accounts with a balance from $0 to $10. Higher-balance verified accounts appear to be priced at between 8 to 12 percent of their total balance. For example, one account — apparently taken from a hapless victim named Abigail — has a current balance of $121.07, and is being sold for $15.

Another account, from Gwynn in Tallmadge (Ohio?) has a hefty balance of $1,102.37; its sale price was set at $45. Taking a look at the domain name in Gwynn’s email address, I decided she must work at or for Gambit Systems, a software development firm in Akron, Ohio. I  sent an email to the administrator at that company, who passed on the information and confirmed that PayPal had since locked down Gwynn’s account.

The proprietors of iProfit.su also run blackservice.su, a “carding” forum where members can sell all kinds of stolen goods and illegal services, from stolen credit cards to services that will look up Social Security numbers and birthdays.
Readers may have noticed that both of the Web sites mentioned in this story end with the “.su” top-level domain (TLD): This TLD identifies the Soviet Union; it’s a holdover from the country-code TLD that was created for the Soviet Union in 1990. It was long considered dead, but .su is now quite popular, particularly among sites catering to Russian-language cybercrime forums.

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