QR Code Security 101: How to Prevent Quishing and Scams
QR codes don’t need any introduction, as they are a very commonly used and known tool across the globe. In fact, in the year 2023 approximately 89% of smartphone users scanned a QR code at least once. With their prompt and easy method of directing users to different types of data pages, they are now a core part of many industries today. Be it cashless payments or marketing campaigns, you will easily find QR codes everywhere.
However, over the years we have observed that whenever a technology is adopted by masses, along with the genuine users it also attracts scammers. It is no shocker that with a widespread use of any technology, comes an increased risk of security breaches. Such as security vulnerabilities like data breaches, phishing (or “quishing”), and other forms of scams. In this blog, we’ll explore how QR code scams work and how you can protect yourself or your business from such security breaches.
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How does QR code scams work?
QR codes are stuffed with data or information in a square with unique patterns. When you scan these square of patterns, the code is decoded and you’re directly taken to the information page or the website.
Scammers leverage the simple method of QR codes’ working process. Making it very easy for an unknown QR code redirecting you to a malicious website. Despite their utility and simplicity, a QR code can also hide malicious activities. Let’s take a deep dive on the methods that QR code scammers go by.
QR Code Security Threats
According to the reports, phishing attacks were the second most expensive type of attack costing approximately $4.9 million, making it the most expensive in 17 years – IBMs Cost of data breach report 2021.
Breaking the record, in 2024, we saw a staggering 10% increase with a highest average breach cost at $5.17 million globally.
Phishing (Quishing) Attacks.
Phishing is a form of cybercrime in which scammers launch a cyberattack to obtain sensitive data by tricking you. They usually launch the attack through fraudulent emails, messages or websites. People usually fall for such scams as they pretend to be a legitimate entity.
Similarly, when a scammer uses a QR code to steal your sensitive data like payments credentials or passwords instead of Emails or messages, we call it “Quishing” – QR code based phishing.
These fraudulent QR codes are embedded with malicious URLs which direct you to a fraud website. The website is mostly an impersonation of a legitimate entity. They are only designed to steal your data.
QR Codes are not designed for human understanding. They are unique codes meant for computers to decode. This makes it easy for scammers to use QR codes for phishing. At the same time, it is difficult for regular users to recognize when they are being scammed.
Malware and Spyware
A fraudulent QR code can also direct you to a compromized website which initiates the download of a malicious software. Scammers can infect your device with these spyware or malware softwares.
They can further be used in stealing your private data or tracking your device activity by providing unauthorized access to the user’s device. Cybercriminals can use this method to gain control over your devices.
Payment Frauds
QR codes are often used for payment systems, particularly in contactless payments. Criminals can easily replace a legitimate QR code with a malicious one, leading users to make payments to fraudulent accounts.
Such fraud can be difficult to trace and recover, especially if proper security measures are not in place.
Case Study: Texas street parking QR scam, USA
After COVID, there was a rapid increase in QR scams. In 2022, scammers hit the cities across street parking stations in Texas, affixing a malicious QR code. The QR directed users to a fraud website impersonating a legitimate entity. Many fell victim to this scam in the USA and ended up paying through a malicious QR.
This came to public attention when employees of ParkHouston noticed a QR affixed in the on-street parking stations. ParkHouston employees told the media, ‘The City of Houston DOES NOT use QR codes on any on-street parking pay stations, nor does the City accept payments through QR codes.’ They also issued a warning to the public ‘to not pay through QR.’ Not just Parkhouston but the FBI had also issued a warning to the public for this scam.
This incident highlights the need for businesses and consumers to remain vigilant and be more aware about QR scams. Proactive awareness is highly crucial when it comes to preventing people from falling victim to such scams.
Case Study: SingPass QR code scam in Singapore
In February of 2022, a new scam came into the public attention after many people fell victim to a phishing scam. Victims reported to police, they saw some unusual activities after they scanned a QR code. The QR code was sent to them via email or text message.
After receiving multiple complaints, police issued a warning regarding a suspicious ‘Singapass QR code’. Singpass or Singapore password is a tool that allows people to transact with different government agencies and businesses. As of today even in 2024 scammers still are tricking people to reveal their credentials.
This was another case where scammers didn’t hesitate to impersonate the govt and scam citizens directly by just sending them a QR code. These cases should be taken as alarming calls by everyone across the globe and be more cautious while scanning any QR. It is crucial that we spread awareness across nations about these scams. As awareness is always the first step towards mitigation.
How to Mitigate QR Code Security Risks?
Check the Source
Do not scan public QR codes. Ensure that the source of the QR is trustworthy before scanning. Check the URL while the QR directs you to a website. For physical codes, such as advertisements, feel free to ask employees if the QR is authorized or not. Just in case if you are taken to a malicious website, don’t click on anything and immediately close that website. Don’t forget to inform the concerned authorities about the malicious QR.
Use Secure QR Code Generators
Use secure and trusted QR code generation tools that follow security standards like QR Code Developer. If you are creating QR Codes for your business, QR Code Developer also provides you with a dashboard to track usage, scans, device used and location of your consumer.
Implement QR Code Scanning Security
Switch to QR codes that come with built-in security features that can identify potentially malicious codes. Tools like QR Code Developer blocks risky URLs from generating QR codes.
Install security softwares
There are many softwares and tools available online which you can use to block malicious URLs or check the authenticity of a link. Using such a tool can ensure that you are not redirected to any fraudulent websites.
Educating Employees
For businesses it is essential to make their employees aware about QR scams. In fact, it is important for businesses to make sure that their employees are well aware of phishing scams to prevent data breaches.
Steps QR Code Developer has taken to prevent QR scams
QR Code Developer advocates and prioritizes customer data security. Understanding the risks involved with QR codes, we are dedicated to taking all necessary measures to ensure that our QR codes are safe for everyone.
A QR code acts as a link between two parties. We understand that it can also be a way for scammers to reach you. This is why we use third-party security softwares that automatically blocks compromised URLs and prevents scammers from generating QR codes with our tool.
It is essential for businesses to gain their customers’ trust regarding data security. For that, using QR codes created by a trusted entity becomes crucial. QR Code Developer always makes sure that your QR codes are safe for your customers and users.
As QR codes continue to grow in popularity and industries incorporate them into various business applications, like everyday payments, security must be a top priority for everyone.
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