Online Privacy Pitfalls that Put You at Risk of Data Breaches

What are data breaches?

Before we dive into the pitfalls, let's first understand what we're dealing with here. A data breach is when unauthorized individuals gain access to sensitive or confidential information.

This can happen through various means, including hacking, phishing, or malware. Data breaches can also occur from the negligence or human error of the individuals or organizations responsible for data protection.

When a breach occurs, personal and sensitive information, such as full names, credit card numbers, passwords, Social Security numbers, medical details, and more, can fall into the wrong hands.

Once the data has been extracted, it will likely end up on the dark web where cybercriminals buy, sell, and trade stolen information.

Data is a lucrative business, not just for big tech.

In fact, according to the Dark Web Price Index 2023 by Privacy Affairs, a data set with 10 million USA email addresses can sell for around $120 while a single credit card number usually sells for $110.

The buyers of stolen data may use it for various criminal purposes, including identity theft, financial fraud, phishing attacks, and even targeted cyberattacks. They might also resell the data to other criminals, creating a chain of illicit transactions that can be very hard to track and even harder to stop.

Consequences of being a data breach victim

Data breaches have far-reaching consequences that can impact individuals and organizations in profound ways. Here are some of the most common repercussions:

Identity theft: Cybercriminals can use stolen personal information to commit identity theft, opening lines of credit, applying for loans, or engaging in fraudulent activities in your name. This can not only drain your finances but also your time and energy. Fighting identity theft can be extremely stressful, and can take years to sort out. It may even lead to legal issues if the person commits crimes using your name.

Financial loss: When financial information is exposed, it can lead to unauthorized charges on your accounts, draining your finances and causing significant monetary losses. According to a report by IBM, the average data breach in 2023 cost companies a record $4.45 million.

Reputation damage: For businesses, it's not just about the money. A data breach can result in severe reputational damage, eroding trust with customers and partners. Of course, individuals may also face embarrassment or harm to their online reputation.

Legal consequences: Data breaches can lead to legal actions, regulatory fines, and lawsuits, particularly if organizations fail to protect customer data in accordance with privacy laws like GDPR or CCPA. Check out our article on The Biggest GDPR Fines So Far.

Emotional stress: The stress and anxiety associated with a data breach and losing online privacy can be overwhelming. Victims often feel violated and experience emotional distress, which can have a lasting impact on their well-being.

5 Online Privacy Pitfalls to Avoid

Now that we understand the gravity of data breaches, let's explore five common online privacy pitfalls that individuals and companies should be aware of.

Weak passwords

A 2021 data breach investigations report by Verizon showed that 81% of all breaches were the direct result of weak passwords. Using easily guessable passwords such as "123456" or "password" is like leaving the front door to your digital life wide open. It sounds like a no-brainer, but believe it or not, these both make the list of the most commonly used passwords in 2023.

To avoid this data breach pitfall, use strong, unique passwords for each online account. They should be between 12-14 characters long with a mixture of random letters of lower and upper case, numbers, and symbols. To help you keep track of them, consider using a trusted password manager to keep track of them.

Unsecured Wi-Fi connections

Public Wi-Fi networks can be a breeding ground for hackers. Avoid accessing sensitive accounts or sharing personal information while connected to unsecured Wi-Fi. If you must use public Wi-Fi, use a virtual private network (VPN) to encrypt your data and protect your online activities. Read our Top 10 Tips How to Use Public WiFi Safely.

Phishing scams

Phishing is one of the most common forms of cybercrime, with billions of phishing emails being sent and received every single day. In 2021, more than 300 thousand internet users fell victim to phishing scams. A report by Digital Guardian found that 90% of corporate data breaches were due to phishing attacks.

Phishing emails and messages are designed to trick you into revealing sensitive information. Be cautious when clicking on links or providing personal data in response to unsolicited requests. Always verify the legitimacy of the sender and double-check URLs.

Ignoring software updates

Sure, updating software can take time and it might feel like it always happens at the most inconvenient moments, but ignoring them puts you and your privacy at risk. Software updates often include patches and fixes for known security vulnerabilities. These vulnerabilities can be exploited by cybercriminals to gain unauthorized access to your system or steal your data. To avoid this online privacy pitfall, set your devices to automatically install updates or regularly check for and install them yourself.

Over-sharing personal data

Not every online service or platform needs every piece of information they ask for. The more information that exists out there in the online world, the more at risk you are of being caught up in a data breach.

Here are a few tips about limiting the personal information you share online to improve your online privacy:

Minimize data sharing: Only provide the necessary information when interacting with companies. Avoid sharing sensitive data like Social Security numbers or overly personal details unless absolutely required.

Review privacy policies: Read and understand the privacy policies of companies you engage with. Be aware of how they collect, use, and share your data, and opt out of data-sharing practices when possible.

Use pseudonyms: Use a pseudonym or an alias when signing up for non-essential services to protect your true identity.

Limit social media sharing: Be cautious about the amount of personal information you share on social media platforms. Cybercriminals often mine profiles for personal details. Plus, social media platforms aren't always the best at data protection and often experience data breaches.

Regularly update privacy settings: Adjust the privacy settings on your online accounts to limit the information visible to others, especially on social media.

Use disposable or temporary email addresses: When signing up for newsletters or less critical services, consider using disposable or temporary email addresses to reduce the amount of personal data tied to your primary email.

Avoid these online privacy pitfalls, protect your data

By understanding these common online privacy pitfalls and taking proactive steps to protect yourself, you can significantly reduce your risk of falling victim to a data breach. In our digitally connected world, safeguarding your online privacy is not just good practice; it's essential for your security and peace of mind. Stay informed, stay vigilant, and stay secure.

Want to know why online privacy is so important? Read What Is Digital Privacy And Why Does It Matter?