What Is Ransomware and How to Avoid It?

You might hear about ransomware all the time in the news—massive hospital networks frozen, cities shutting down operations, and everyday families suddenly locked out of their cherished photos. But what exactly is ransomware? Why has it grown into one of the most dreaded threats in today’s digital landscape?

Ransomware is a silent predator in cyberspace. Its attacks are quick, disruptive, and often devastating. Its goal is simple: profit through extortion. It can strike anyone: Fortune 500 companies, hospitals, small businesses, city governments, or even individuals.

Reports from law enforcement and cybersecurity institutions reveal that ransomware attacks are not only growing in frequency but are becoming more targeted, complex, and expensive to resolve each year.

In this article, you’ll learn what ransomware is, how it spreads, who is at risk, and crucially, how to avoid becoming a victim. Plus, you’ll discover how BeenVerified’s comprehensive suite of search tools can help you stay informed about the people and organizations you encounter online.

What is ransomware?

At its core, ransomware is a form of malicious software (malware) designed to block access to a computer system or data, usually by encrypting the data so that it cannot be accessed. The attacker then demands payment, or “ransom,” from the victim to restore access, often threatening to delete files or publish sensitive information if payment is not received.

How does it work?

• A device is infected, often by a deceptive email attachment, a malicious link, or a security vulnerability.
• The ransomware silently encrypts files or locks the system, sometimes within minutes.
• The victim is informed—typically through a ransom note on their screen or in encrypted folders—that their files are inaccessible.
• The attacker provides instructions for payment, often in untraceable cryptocurrency like Bitcoin.
• In some variants, attackers threaten to release stolen data if the ransom isn’t paid, a tactic called “double extortion.”

Motivation

Financial gain drives almost all ransomware attacks. The combination of effective social engineering, strong encryption, and anonymity through cryptocurrency makes ransomware one of the most lucrative forms of cybercrime.

How does ransomware spread?

Understanding how ransomware finds its way into your systems—and how you can stop it—is critical. Attackers are constantly evolving their methods, but several common infection vectors remain perennial favorites.

Phishing emails

The #1 cause of ransomware infections is phishing emails. Attackers send fake, convincing-looking emails appearing to be from trusted brands, colleagues, or service providers. These emails might:

• Encourage you to click a malicious link
• Trick you into downloading attachments disguised as invoices, resumes, or legal notices

Opening the attachment or clicking the link executes malicious code and your computer is infected in seconds.

Malicious advertising

Even legitimate, popular websites can inadvertently serve malicious ads through compromised ad networks. Just visiting a site or clicking an ad can result in an invisible ransomware download (“drive-by download”).

Compromised software and applications

Outdated operating systems and software are prime targets for attackers. Vulnerabilities are continually discovered and exploited; ransomware can piggyback on these gaps if you’re not up to date.

Remote Desktop Protocol (RDP) and network weaknesses

Many attacks leverage weak or stolen credentials to access computers remotely via RDP. Once inside the network, attackers deploy ransomware across multiple devices, often targeting critical infrastructure.

Social engineering and manipulation

Some ransomware campaigns use phone calls (“vishing”) or text messages (“smishing”) to trick users into disclosing credentials or clicking malicious links.

Real-world scenario

An unsuspecting employee receives an email claiming to be from the IT department, asking them to “verify your password due to suspicious activity.” The employee clicks the link, enters their information, and the attacker uses those credentials to launch ransomware.

Who are the targets?

Ransomware is everyone’s problem. No one’s too small to be affected, and no industry is off-limits. Attackers prioritize:

• Businesses (large and small): Particularly those that can’t afford downtime (healthcare, manufacturing, law firms, etc.)
• Individuals: Anyone with valuable data—photos, documents, financials—can be targeted.
• Municipalities and schools: Often under-resourced and reliant on critical infrastructure.
• Healthcare and government agencies: Because attackers know lives and essential services can be at risk, increasing the likelihood of prompt payments.

Why these groups?

Attackers go after easier targets—businesses with limited security or individuals less likely to have strong cybersecurity measures in place. Increasingly, “double extortion” targets organizations in critical industries by threatening to release sensitive client or user information.

Signs of a ransomware attack

Ransomware can move quickly, but knowing the early warning signs helps you respond fast.

• Sudden file inaccessibility: Files and applications stop opening, or you get error messages when trying to access documents.
• Unusual file changes: File extensions change to something unfamiliar (.locked, .crypt, etc.), or files are renamed en masse.
• On-screen message or ransom note: Many ransomware variants display a full-screen ransom note with instructions, payment demands, and often threats.
• Slow computer or network performance: Ransomware may take up significant CPU/network resources as it encrypts files.
• Multiple reports: Multiple users within an organization suddenly lose access to files or report strange activity.

Consequences of ransomware attacks

Ransomware’s impact extends far beyond the initial annoyance. Whether you’re an individual or an organization, consequences can be severe.

Data loss and operational disruption

If you don’t—or can’t—pay the ransom, encrypted files may be lost forever. Organizations can experience significant operational shutdowns, suspending services, hold on manufacturing, or a lack of resources to offer care.

Financial losses

• Ransom payments can range from a few hundred to millions of dollars.
• Even if the ransom is paid, recovery costs—including forensic investigation, legal fees, compliance fines, and lost productivity—often dwarf the ransom itself.

Reputational damage

• Businesses risk losing customer trust if their data (or customer data) is compromised.
• Media exposure and breach notifications can damage a brand for years.

Data theft and privacy breaches

• Increasingly, attackers steal data and threaten to release or sell it unless paid.
• This risks customer privacy, financial records, confidential research, and more.

Legal and regulatory consequences

• Compromised personal or financial information can trigger regulatory investigations.
• Non-compliance with cybersecurity requirements can result in fines or lawsuits.

How to avoid ransomware

The consequences can be dire, but the good news is that most ransomware attacks are preventable with today’s best practices and vigilance.

Adopt preventative measures

Keep software up to date

Patch operating systems, browsers, and software as soon as security updates become available. Many attacks target well-known vulnerabilities that haven’t been fixed.

Use antivirus and anti-malware tools

Install reputable anti-malware and antivirus software to detect, quarantine, and remove ransomware before it strikes. Use real-time protection and automatic updates.

Deploy firewalls and network protections

Set up firewalls to block malicious traffic. Restrict access to critical systems and use network segmentation to minimize lateral movement if an attacker gains access.

Backup data regularly

Frequent, automated backups to offline or cloud storage can be your best defense. Test your ability to restore from backup regularly. Secure copies away from your main network.

Use strong passwords and Multi-Factor Authentication (MFA)

Require complex, unique passwords for all accounts and enable MFA wherever possible. MFA makes it much harder for attackers to compromise accounts via stolen credentials.

Limit user permissions

Only give users the permissions they need (the principle of least privilege). Restrict administrator accounts and remote access to essential personnel only.

Practice safe computing

Be wary of suspicious emails, links, and attachments

• Don’t click on links, open attachments, or download files from unknown or unexpected sources.
• Social engineering remains the top method of delivering ransomware.

Avoid untrusted websites and downloads

• Stick to known legitimate websites and download software only from official vendor sources.
• Be cautious with freeware and pirated content, which is frequently bundled with malware.

Manage remotely accessible services securely

• Disable RDP if not needed, and use strong credentials and VPNs if remote access is required.
• Monitor for unusual logins or multiple failed login attempts.

Limit the use of macros.

Microsoft Office macros are a common ransomware attack vector. Disable or limit macros unless absolutely necessary.

Educate and train regularly

Human error is the leading cause of successful ransomware attacks, especially with phishing emails. Organizations should:

• Run regular cybersecurity and phishing awareness training.
• Simulate phishing attacks to teach employees how to spot suspicious emails.
• Encourage a “see something, say something” approach so users aren’t afraid to report odd activity.

What to do if you’re infected with ransomware

If ransomware strikes, time is critical. Here’s what the FBI and cybersecurity experts recommend.

Do not pay the ransom

Law enforcement and cybersecurity organizations universally advise against paying. There’s no guarantee you’ll get your files back—the attackers may demand further payments or never send a decryption key. In addition, paying ransoms fuels the cycle of attacks.

Disconnect devices

Immediately unplug affected computers from networks and disconnect shared or mapped drives. This helps contain the spread of the ransomware.

Report the incident

Contact the FBI Internet Crime Complaint Center, local authorities, and any applicable industry regulatory agencies. Reporting helps track trends and may aid others.

Seek professional help

Consult an experienced cybersecurity or IT recovery firm. They can help identify the ransomware strain, assess damage, safely remove malware, and begin the process of data recovery.

Restore from backups

If your backups are current and unaffected, wiping the system and restoring data is the safest way forward. That’s why robust, isolated backups are so important.

Communicate clearly

Notify affected employees, customers, or partners promptly and accurately. Transparency builds trust in a crisis.

Resources

Many national and industry organizations provide guidance and support. You’ll also find open-source decryptors for some older ransomware strains. For example, the No More Ransom project can be an excellent resource.

How BeenVerified can help you stay secure

Ransomware isn’t just about a locked screen and a scary message demanding bitcoin. The real damage often starts way earlier—with personal information quietly gathered from across the web, then used to craft targeted, believable attacks.

That’s where a service like BeenVerified can be a powerful ally.

Ransomware gangs and cybercriminals often piece together information from public records, breached databases, and even old social media accounts. BeenVerified flips the script by helping you check what’s out there so you can help protect your data from falling into the wrong hands.

In addition, our tools can help you look up a phone number from an unexpected caller, check a suspicious email, or research a business to see if it’s legitimate.

Your BeenVerified subscription gives you access to:

• Phone Lookup – Spot potential scam calls by checking the number before calling or texting back.
• Email Search – A smart way to investigate an email address before clicking on anything they send.
• People Search – Get background info on online dates, or acquaintances who seem too good to be true.
• Business Lookup – Helpful for vetting companies before you buy, invest, or hand over sensitive info.
• Social Media Search – See if someone’s online identity matches their story.
• Address Search – Useful if you want to confirm the legitimacy of a buyer, renter, or even that “shipping return center” an email is pushing.
• Vehicle Search – Check license plates or VINs to avoid falling into car-related scams.
• Unclaimed Money Search – OK, this one won’t help with ransomware—but it might make your day.

In the context of ransomware, where every piece of stolen info helps attackers craft a more believable con, knowledge really is power. BeenVerified gives you the tools to check the people and entities you’re interacting with—before you click, reply, or download something that could compromise your entire system.

Whether you’re a cautious professional, a small business owner, or just someone trying to stay ahead of increasingly clever scams, using BeenVerified as a regular part of your digital hygiene can help you reduce risk and stay one step ahead of cybercriminals.