Typosquatting scams: Could your borrowers be victims?
Abstract: A scam known as “typosquatting” involves the purchase of domain names in bad faith. It takes advantage of a tendency among Internet users to hit the wrong keys and enter misspelled trademarks or brands. Some of the worst fraudulent websites might feature phishing schemes or be used for corporate espionage. Revenues and business reputations are likely to suffer — making it harder to service debt. This article notes that it’s important for lenders to ask borrowers to disclose more about cyber threats, as well as any preventive measures, in their year end financial statements.