What Is Credential Stuffing? How to Prevent This Scalable Cyberattack

Arsalan Rathore

Arsalan Rathore

October 7, 2024
Updated on October 7, 2024
What Is Credential Stuffing? How to Prevent This Scalable Cyberattack

Imagine logging into your email or bank account, only to find that someone else has been accessing it without your knowledge. You might think your password was guessed, but it could result from a credential stuffing attack.

Credential stuffing isn’t just another buzzword in cybersecurity, it’s a growing threat that exploits human behavior, specifically our tendency to reuse passwords across different platforms. And it’s not just about weak passwords; it’s about attackers using sophisticated tools, like botnets, to simultaneously scale these attacks to millions of accounts.

Let’s dive deeper into credential stuffing, why it’s so dangerous, and how to prevent it.

What Is Credential Stuffing?

Credential stuffing is a type of cyberattack in which hackers use stolen usernames and password pairs often acquired from data breaches to gain unauthorized access to other online accounts. This attack takes advantage of a common human behavior: password reuse. Many individuals reuse the same username-password combinations across multiple websites, making them vulnerable once one set of credentials is exposed.

In credential stuffing, attackers rely on automated tools to “stuff” these stolen credentials into login forms across various websites. The goal is to exploit password reuse and successfully log into different accounts using the same credentials. If users have reused their passwords across banking, email, social media, and other sensitive platforms, a single compromised password can provide attackers access to a wealth of personal and financial information.

How Credential Stuffing Works

Credential stuffing is a highly automated attack that exploits stolen usernames and passwords to gain unauthorized access to multiple accounts. Here’s a detailed breakdown of how the attack typically unfolds:

1. Data Breach Acquisition

The process starts when cybercriminals obtain a cache of stolen credentials, typically from large-scale data breaches. These credentials, often containing usernames, email addresses, and passwords, are stolen directly or purchased from dark web marketplaces. Breaches at large organizations like social media platforms, e-commerce sites, or financial institutions are common sources of this data.

For example, if an online retailer breaches and customer account details are leaked, hackers will use those credentials to further exploit different websites.

2. Credential Validation and Toolkits

Once attackers have these credentials, they use automated tools, often bots or credential-stuffing software, to test them across various websites. These bots input the stolen credentials into login forms, simulating thousands of login attempts in quick succession. The goal is to identify accounts where users have reused the same password across different platforms.

Hackers’ Standard tools include Sentry MBA, Snipr, and STORM, all designed to perform high-speed login attempts across multiple websites. These customizable tools allow hackers to tailor their attacks for specific sites or services, increasing the chances of successful infiltration.

3. Credential Reuse and Account Compromise

The success of credential stuffing largely hinges on the common user behavior of reusing the same passwords for multiple accounts. When the attacker attempts login using the stolen username-password pairs, if the user has reused their credentials across sites, the attacker gains instant access to the victim’s other accounts. This could include access to email, social media, banking, or even work-related systems.

  1. Attackers who gain access to work-related accounts could steal company data, cause financial losses, or disrupt business operations.

For instance, if a user’s email and password from a breached e-commerce platform are reused for their social media accounts, the hacker could access personal information and even perform unauthorized transactions or identity theft.

4. Post-Compromise Exploitation

Once attackers successfully log into an account, they can engage in a variety of malicious activities, such as:

  1. Access to financial or shopping accounts can lead to unauthorized purchases or fund transfers.
  2. Sensitive personal information, including social security numbers, home addresses, and personal messages, can be stolen and used for further attacks or sold on the black market.
  3. In some cases, compromised accounts are used to distribute malware or phishing campaigns to contacts, further expanding the attacker’s reach.

Why Is Credential Stuffing Dangerous?

Credential stuffing poses a serious threat to individuals and organizations because it can cause widespread damage with relatively low effort. The automated nature of these attacks, combined with users’ tendency to reuse passwords across multiple services, makes credential stuffing highly efficient and dangerous. Here’s why this attack vector is particularly harmful:

1. Widespread Account Takeovers

One of the main reasons credential stuffing is dangerous is that it can lead to the takeover of multiple accounts from a single set of credentials. If a user reuses the same password across different platforms, such as banking, social media, or e-commerce, a successful credential stuffing attack gives the attacker access to all those accounts.

This creates a domino effect where a single weak point compromises a significant portion of a user’s online identity.

In many cases, compromised accounts can also serve as stepping stones for further attacks. For instance, gaining control of an email account allows the attacker to reset passwords for other linked accounts, extending the reach of the breach.

2. Financial Losses and Identity Theft

Credential stuffing often leads to severe financial consequences for both individuals and businesses. Attackers can access banking and financial accounts, drain funds, make unauthorized purchases, or even take out loans under the victim’s name. In addition, identity theft is a common outcome, with stolen credentials used to access and misuse sensitive information such as social security numbers, tax records, and health information.

The impact on businesses can be just as severe. Attackers could access employee accounts, internal systems, or customer data, leading to financial losses, lawsuits, and regulatory fines.

3. Reputational Damage

Organizations’ reputations often take a significant hit when they suffer credential-stuffing attacks. Customers and clients lose trust in companies that cannot protect their personal information. The loss of consumer confidence can lead to decreased business, customer churn, and long-term damage to brand image. High-profile incidents involving major organizations highlight the reputational risks associated with these attacks.

4. Compromise of Personal and Business Data

Credential stuffing can also give attackers access to sensitive personal and business data. For individuals, this can include private messages, confidential files, and even saved passwords for other services. In a business context, compromised accounts may expose proprietary information, intellectual property, or internal communications that could be exploited for competitive advantage or sold to malicious third parties.

In some cases, attackers may even use these credentials to install malware or ransomware or launch further attacks on the compromised network. The more accounts and devices an attacker can access through credential stuffing, the greater the potential for widespread data breaches.

5. Use of Automated and Scalable Attacks

One of the key dangers of credential stuffing is its scalability. Attackers use bots to attempt login requests on thousands or even millions of accounts in a short period. This makes it difficult for companies to detect or prevent these attacks in real time. Attackers can also distribute their bot activity across various IP addresses to bypass security measures such as rate-limiting, increasing the odds of success.

The fact that credential stuffing is automated means that it requires minimal effort on the attacker’s part. Once a breach occurs and credentials are leaked, attackers can run these bots indefinitely, constantly testing for vulnerabilities in various systems.

Organizations affected by credential stuffing attacks may face legal consequences due to non-compliance with data protection regulations, such as the General Data Protection Regulation (GDPR) or the California Consumer Privacy Act (CCPA). These laws often require organizations to safeguard user data and may impose hefty fines for breaches resulting from inadequate security measures.

The legal implications of credential stuffing can extend beyond regulatory fines. Organizations may also face lawsuits from customers whose data was compromised, leading to significant financial and reputational costs.

7. Business Disruption

Credential stuffing attacks can cause major disruptions to business operations, data loss, and financial theft. Attackers who gain access to internal systems may lock users out of critical services, slow down operations, or delete essential data. In severe cases, businesses may need to shut down services to investigate and remediate the attack, further compounding the impact.

While credential stuffing and brute force attacks aim to gain unauthorized access to accounts, the methods and success rates differ significantly. Understanding the distinctions between these two attack vectors is crucial for building effective defenses.

Common Targets of Credential Stuffing Attacks

Credential stuffing attacks target various industries and user accounts, focusing on those with the highest potential for financial gain or data exploitation. Attackers specifically go after platforms and services where stolen credentials can unlock sensitive personal or financial information or where users are likely to reuse passwords.

Here are the most common targets of credential-stuffing attacks:

1. Financial Institutions

Banks, online payment platforms, and financial services are prime targets for credential stuffing due to the direct access to funds they offer. Attackers use stolen credentials to log into accounts and transfer money, make unauthorized purchases, or steal sensitive financial information.

If businesses fail to protect user accounts properly, victims can suffer severe financial losses, and businesses may face legal repercussions due to regulatory violations.

2. E-Commerce Platforms

E-commerce websites like Amazon and eBay and online retailers store personal user information, credit card numbers, and payment details. Credential stuffing allows attackers to access user accounts, place fraudulent orders, or drain stored value.

Unauthorized purchases, fraudulent use of saved payment methods, and, in some cases, changes to account shipping addresses to intercept goods.

3. Social Media Accounts

Social media platforms like Facebook, Instagram, and Twitter are frequently targeted because compromised accounts can be used for impersonation, spreading malware, or launching phishing campaigns. Social media profiles also often link to other services, such as third-party apps or websites, providing additional attack vectors.

Account hijacking, reputational damage, and private communications or personal data exposure. Attackers can also spread malicious links to the victim’s contacts.

4. Streaming Services and Subscription-Based Platforms

Platforms such as Netflix, Spotify, Hulu, and other subscription-based services are popular targets for credential stuffing because stolen accounts can be resold on the black market. Additionally, many users reuse their credentials across different services, making these accounts relatively easy to access.

Unauthorized access to paid accounts, service disruptions, and sometimes billing fraud if the payment method is linked to the account.

5. Gaming Platforms

Online gaming platforms like Steam, Xbox Live, and PlayStation Network are frequent targets for credential stuffing. These platforms often store user payment information, in-game assets, or digital goods, which can be stolen or resold. Gaming accounts with high levels or rare items are particularly attractive to attackers.

Loss of digital assets, in-game currency, or rare items. Compromised accounts may also purchase digital content using stored payment methods.

6. Healthcare Systems

Healthcare platforms hold highly sensitive personal and medical information, making them a rich target for attackers. Credential stuffing can expose private medical records or prescription information, which can be used for identity theft or insurance fraud.

Theft of personal health information (PHI), identity theft, and fraudulent use of healthcare services. The regulatory consequences for healthcare providers can also be significant under privacy laws like HIPAA.

How to Prevent Credential Stuffing

Credential stuffing is a significant threat, but a multi-layered defense strategy can help protect against these attacks. VPNs play an important role in securing user traffic, but they must be combined with other security measures. Here’s how VPNs can help prevent credential stuffing alongside other key defenses:

1. Implement Multi-Factor Authentication (MFA)

Multi-factor authentication adds a second layer of protection beyond just a username and password. Even if attackers have the credentials, MFA prevents unauthorized access by requiring a secondary authentication factor.

Enforce MFA across all user accounts, particularly for sensitive services such as financial platforms. When combined with a VPN, MFA ensures that even if attackers intercept data or try credential stuffing, the additional authentication layer stops them from gaining account access.

2. Use a VPN to Secure Network Traffic

VPNs encrypt the entire internet connection, making it extremely difficult for attackers to monitor or capture login details during transmission. Attackers often target unsecured Wi-Fi networks (such as those in cafes or airports) to harvest login credentials for credential-stuffing attacks. A VPN prevents this by encrypting the user’s traffic and hiding their IP address, making it harder for hackers to track or intercept sensitive information.

Encourage all users to utilize a VPN when accessing accounts, particularly on public Wi-Fi networks. For businesses, provide employees with VPNs for remote access to internal systems, ensuring that login credentials remain encrypted even when working outside the office. VPNs can prevent credential stuffing by protecting the transmission of sensitive data, making it impossible for hackers to capture valid credentials through network monitoring.

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3. Use Strong and Unique Passwords

Credential stuffing relies on password reuse across platforms. Encouraging strong and unique passwords for every account reduces the likelihood of attackers being able to use a single compromised credential on multiple platforms.

Enforce password policies that require strong, unique passwords. Encourage users to use a VPN, particularly when creating or managing passwords online. By encrypting the connection, the VPN ensures that even if a user is on a compromised network, their password is safe from interception.

4. Monitor Login Activity and Use Anomaly Detection

Monitoring account activity for suspicious login attempts can help detect credential stuffing early. Anomalous behaviors such as logins from unfamiliar IP addresses or multiple failed login attempts should trigger alerts.

Integrate VPN use with login activity monitoring. A VPN masks the user’s true IP address and provides a secure tunnel for data transmission. In the event of an unusual login attempt, organizations can determine whether the user was utilizing the company’s secure VPN service or whether the attempt came from an unfamiliar location, which could signal credential stuffing.

5. Leverage Bot Detection and Mitigation Tools

Credential stuffing is often conducted using automated bots. These bots try thousands of credentials across various platforms quickly. Bot detection tools identify and block this malicious traffic.

Use advanced bot detection and mitigation tools to block malicious login attempts. VPNs help secure the connection and make it harder for attackers to deploy bots that monitor login attempts or hijack sessions. VPN encryption renders automated attacks ineffective when intercepting credentials during transmission.

6. Deploy Rate Limiting and CAPTCHAs

Rate limiting restricts the number of login attempts from a single IP address in a given period. CAPTCHAs ensure that a human, not a bot, is attempting to log in.

Implement CAPTCHAs and rate limiting across all login systems. If users access services via a VPN, their real IP address is hidden, and their connection is encrypted, making it harder for attackers to use bots effectively. Additionally, a VPN ensures that legitimate users can access systems securely, even when attacked by bots.

7. Use Password Hashing and Salting

Even if credentials are stolen in a data breach, properly hashed and salted passwords make it harder for attackers to use them. This method converts plain-text passwords into encrypted values that are nearly impossible to reverse-engineer.

Ensure that all passwords stored in your system are hashed and salted. VPNs complement this by securing the transmission of these credentials during login attempts, preventing attackers from intercepting plain-text passwords over unsecured networks.

8. Educate Users on Security Best Practices

Many users unknowingly expose themselves to credential-stuffing attacks by reusing passwords or not enabling additional security measures. Education on best practices, including VPN use, can significantly reduce the likelihood of credential stuffing.

Offer regular security training, stressing the importance of unique passwords and using MFA. Encourage VPN usage for all online activities, particularly when accessing sensitive accounts. A VPN ensures that traffic is encrypted, even on public or unsecured networks, preventing data exposure.

9. Deploy Dark Web Monitoring

Many credential stuffing attacks begin with credentials leaked on the dark web. Monitoring for compromised credentials can help organizations detect breaches early and force password resets before an attack escalates.

Implement dark web monitoring services that alert users or organizations when their credentials have been exposed. If a VPN is used, it protects users by encrypting their connections, reducing the chance that new credentials will be exposed or intercepted during transmission.

Why AstrillVPN is Essential for Credential Stuffing Prevention

When an attacker attempts to steal credentials through credential stuffing, they often rely on insecure connections to access your login information. AstrillVPN eliminates this risk by encrypting your entire connection, making it virtually impossible for attackers to capture the necessary data. Whether you are logging into social media, online banking, or a business network, AstrillVPN keeps your credentials safe from interception.

Additionally, AstrillVPN’s StealthVPN protocol is designed to bypass deep packet inspection (DPI) and hide your VPN usage from restrictive networks or governments. This added security feature ensures that even in highly monitored environments, your login credentials and personal information remain secure.

Here are some more features that help you protect your online privacy:

Encryption of All Data

AstrillVPN uses military-grade AES-256 encryption, which ensures that any data transmitted between your device and the websites or services you access is completely secure. This encryption makes it impossible for hackers to view or intercept your credentials, even if they are monitoring network traffic.

Hide Your IP Address

When you connect to the internet through AstrillVPN, your real IP address is hidden, and your traffic is routed through secure servers. This makes it much harder for attackers to track your login attempts or target your location. With a hidden IP address, attackers cannot use automated bots to launch targeted credential stuffing attacks against your account.

Secure Public Wi-Fi Use

Public Wi-Fi networks, such as those in coffee shops, airports, or hotels, are notorious for needing to be more secure. Attackers often target these networks to intercept login credentials using man-in-the-middle (MITM) attacks. With AstrillVPN, you can use public Wi-Fi safely, knowing your connection is fully encrypted and protected from prying eyes.

No Logs Policy

AstrillVPN operates under a strict no-logs policy, meaning it does not store any information about your online activities. This is a crucial feature for users who prioritize privacy. Even if an attacker attempts to compromise the VPN provider, there is no stored data to be leaked or misused.

Global Servers for Optimized Speed and Security

AstrillVPN provides access to servers in over 58 countries, allowing you to select a server location that optimizes your connection speed without sacrificing security. By using a geographically diverse server network, AstrillVPN ensures that your traffic remains encrypted and protected no matter where you are in the world.

Case Studies of Credential Stuffing Attacks

Credential stuffing attacks have impacted numerous organizations across various industries, demonstrating the real-world consequences of weak password practices and the reuse of credentials. Here are some high-profile cases that highlight the dangers of these attacks and the steps taken to mitigate them:

1.   Spotify (2024)

According to a report by AUCloud, In early 2024, Spotify became the target of a credential-stuffing attack that compromised over 400,000 user accounts. Attackers used credentials obtained from other breaches to access Spotify user accounts.

Spotify responded by resetting passwords and recommending users enable two-factor authentication (2FA). The incident sparked discussions around the increasing threat of credential stuffing, particularly in entertainment and streaming platforms.

2.   23andMe (2023)

CPO Magazine reported that in October 2023, genetic testing giant 23andMe experienced a massive credential stuffing attack, where attackers gained access to users’ personal data by using credentials from other platform breaches. The incident affected over 14,000 user accounts, leading to a breach of highly sensitive data from 5.5 million DNA Relatives and 1.4 million Family Tree profiles.

This data, including genetic information, was put up for sale on the dark web, raising concerns about targeted attacks based on ethnicity and ancestry data. 23andMe faced significant backlash and eventually settled for $30 million in a class-action lawsuit to compensate affected users.

3.   Norton LifeLock (2023)

According to a report by BleepingComputer, in January 2023, Norton LifeLock’s Password Manager service was targeted in a credential stuffing attack. The incident involved close to 1 million accounts, with 6,500 accounts confirmed to have data compromised, including stored passwords and other sensitive details. Norton responded by urging affected users to reset their passwords and enabled additional security features like two-factor authentication (2FA) to prevent further unauthorized access

4.   Nintendo (2020)

The LastPass Blog stated in one of its guides that in 2020, Nintendo suffered a credential stuffing attack that affected over 160,000 Nintendo Network ID (NNID) accounts. Attackers accessed these accounts using credentials stolen from previous data breaches. Once inside, they could purchase games and virtual currency using linked PayPal accounts or credit card information stored in the accounts.

Nintendo temporarily disabled NNID logins and urged affected users to enable two-factor authentication (2FA) on their accounts. This breach highlighted the importance of multi-factor authentication and raised awareness of password reuse across platforms.

After the breach, Nintendo implemented stronger security measures, including enforcing 2FA and increasing user awareness about password management.

6.   Sony PlayStation Network (2011)

Although not initially a credential stuffing attack, the Sony PlayStation Network breach in 2011 affected over 77 million accounts and exposed a treasure trove of user credentials. In the years following this breach, these credentials were repeatedly used in credential stuffing attacks on various other platforms.

The stolen credentials were sold on the dark web and used by attackers to log into user accounts on gaming and social media platforms. Sony faced a massive backlash, including legal action and a temporary shutdown of the PlayStation Network.

Sony has since implemented stronger security measures, including two-factor authentication (2FA) and improved password encryption. This case illustrates how stolen credentials from one breach can be leveraged in credential stuffing attacks on unrelated services.

The Impact of Credential Stuffing on Businesses

Credential stuffing poses a severe threat to businesses across various sectors, with far-reaching consequences. From financial losses to damaged reputations, businesses face multiple risks when attackers successfully exploit user accounts via this attack vector. Below are the key impacts credential stuffing has on organizations:

1. Financial Losses

One of the most immediate consequences of credential-stuffing attacks is direct financial loss. Hackers can steal funds, process fraudulent transactions, or access sensitive payment systems when they gain unauthorized access to business accounts. Additionally, companies may face costs associated with remediating the attack, such as investing in improved security measures, compensating affected customers, and handling potential legal issues.

Businesses can also suffer from revenue loss if compromised accounts are used to exploit discounts, subscription services, or loyalty programs. For example, attackers might gain access to customer accounts on e-commerce platforms or subscription-based services and exploit stored payment information​.

2. Damage to Reputation and Trust

A successful credential-stuffing attack can severely damage a company’s reputation, significantly if the breach compromises sensitive customer data. Customers expect businesses to safeguard their personal information, and failure to do so erodes trust. When users fall victim to credential stuffing due to weak security practices on a company’s platform, the business can suffer long-term reputational damage, leading to a decline in customer loyalty.

News of such breaches can spread quickly through social media and news outlets, making it difficult for businesses to recover. A damaged reputation may also result in losing existing customers and making it harder to attract new ones.

Businesses are often subject to data protection regulations, such as the General Data Protection Regulation (GDPR) in Europe or the California Consumer Privacy Act (CCPA) in the U.S. When credential stuffing leads to the exposure of sensitive personal data, organizations may face regulatory investigations, hefty fines, and legal action from affected customers.

For example, under the GDPR, companies can face fines of up to 4% of their annual global revenue or €20 million (whichever is greater) if they fail to protect user data adequately. Legal battles can be expensive, time-consuming, and damaging a company’s financial health.

4. Operational Disruption

Credential stuffing attacks can disrupt business operations in several ways. Attackers who gain access to internal systems may disrupt services by deleting or altering important data, locking legitimate users out of their accounts, or even launching subsequent attacks such as ransomware. This can lead to downtime for the business, affecting productivity, customer service, and overall operational efficiency.

For instance, if an attacker uses credential stuffing to breach an organization’s VPN system, they could gain unauthorized access to critical business infrastructure, leading to widespread operational issues.

5. Increased Costs for Security Measures

After a credential-stuffing attack, businesses are often forced to invest in more robust cybersecurity measures to prevent future incidents. This can include implementing multi-factor authentication (MFA), improving password policies, deploying bot detection systems, and conducting ongoing security audits. While necessary, these additional investments come at a cost, which can strain the financial resources of small and mid-sized businesses.

Moreover, businesses might also need to invest in customer support to help affected users reset compromised accounts, provide refunds, or address concerns raised by the attack​.

6. Data Breaches and Compromised Intellectual Property

Credential stuffing attacks can result in more than stolen user accounts, leading to broader data breaches. Attackers accessing employee accounts may penetrate corporate networks, where they can steal intellectual property, trade secrets, or sensitive customer data. In some cases, attackers might sell this data on the dark web or use it for future targeted attacks, increasing the potential damage to the business.

Scalability of Credential Stuffing Attacks

Credential stuffing attacks are highly scalable due to their reliance on automation and botnets, which enable attackers to simultaneously target multiple accounts across various platforms. Here’s why they scale so effectively:

  1. Attackers use tools like botnets to simultaneously test stolen credentials across thousands of websites. These tools can perform millions of login attempts quickly, vastly increasing the scale of the attack.
  1. Credential stuffing requires minimal resources once the attackers have obtained breached credentials. Since the attack reuses known usernames and passwords, the cost of executing a large-scale campaign is low, while the potential rewards from successfully breached accounts are high.
  1. Breached credentials from one platform can be used repeatedly across various services, making credential stuffing an effective way to exploit widespread password reuse among users. This further increases the attack’s reach as the same data can be tested across numerous sites and services.
  1. Attackers can target various industries, from streaming services to financial institutions, all at once. This versatility allows them to simultaneously attack multiple platforms in different regions, making it easier to scale credential stuffing across global targets.

The Role of Botnets in Credential Stuffing

Botnets play a crucial role in the scalability and effectiveness of credential-stuffing attacks. Here’s how they contribute to the success of these attacks:

  • Automation of Login Attempts
  • IP Address Rotation
  • High-Volume Attacks
  • Cost Efficiency

Botnets are often rented or sold on the dark web, making them a cost-effective tool for attackers. With minimal investment, attackers can control many devices, using them to launch large-scale credential-stuffing attacks.

FAQs

What is credential stuffing in cybersecurity?

Credential stuffing is a cyberattack where attackers use stolen usernames and passwords from past data breaches to gain unauthorized access to other accounts where the same credentials are reused.

Is credential stuffing a DDoS attack?

No, credential stuffing is not a DDoS attack. While both are cyberattacks, credential stuffing targets account credentials, whereas DDoS aims to overwhelm a service with excessive traffic.

Is credential stuffing a cyberattack method?

Yes, credential stuffing is a recognized cyberattack method used to exploit stolen credentials and access user accounts.

What is the difference between credential stuffing and spraying?

Credential stuffing uses stolen credentials to log into multiple accounts, while password spraying attempts to log in to multiple accounts using a few common passwords to avoid lockouts.

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About The Author

Arsalan Rathore

Arsalan Rathore is a tech geek who loves to pen down his thoughts and views on VPN, cybersecurity technology innovation, entertainment, and social issues. He likes sharing his thoughts about the emerging tech trends in the market and also loves discussing online privacy issues.

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