February 03, 2026

Protecting Your Schwab Accounts From A RAT Attack, #291

12 minutes

Have you ever fallen victim to a RAT attack? No, not the furry kind, a Remote Access Trojan attack.

I'm discussing how cybercriminals use social engineering to target victims, and the real-world impact these threats can have on your investment accounts and personal information. I reveal the latest tactics scammers use, and, most importantly, offer practical tips to help you recognize warning signs, safeguard your accounts, and minimize your risk, whether you're an individual managing your retirement nest egg or a business owner overseeing company assets.

You will want to hear this episode if you are interested in...

[00:00] What is a RAT attack?
[02:45] Avoid clicking unknown links.
[06:28] Preventing fraud through active monitoring.
[09:44] Enhancing network security strategies.
[10:48] Tips for staying secure online.

The Escalating Threat of RAT Attacks

There are an estimated 2,200 cyberattacks every day, or one every 39 seconds. Global financial damages from cybercrime are projected to rise from $9.5 trillion (2024) to an estimated $10.5 trillion in 2025. It's no longer a matter of if, but when, the next attack will happen.

How a RAT Attack Unfolds

Most RAT attacks begin with "social engineering", that is, psychological manipulation designed to get you to act against your best interest. This can look like an email or text from what appears to be a trusted company (think Schwab, Amazon, or EZ Pass), urging you to click a link or download an attachment.

Do not click these links or download unknown files, even if the message creates a sense of urgency or familiarity. Even a simple PDF can be the Trojan horse that installs malware without you noticing.

Once delivered, the RAT malware quietly installs itself, evading your detection. It can come bundled with software downloads, or even through "drive-by" downloads, just visiting a compromised website can infect your device without any clicking at all.

More Than Just a Headache

Recently, cybercriminals hacked a client's phone and attempted to transfer money from their investment account. Because my team actively monitors accounts and receives real-time alerts from Schwab, we caught the fraudulent activity before funds were lost. But not everyone is so lucky, if hackers compromise your credentials and accounts aren't closely watched, money could be transferred out, leaving you to face a lengthy investigation to recover your hard-earned savings.

Simple Habits for Preventing Attacks

Most successful attacks don't involve sophisticated hacking, they leverage human error. Train yourself (and if you're a business owner, your staff) to recognize phishing emails and suspicious texts. Verify unexpected requests directly with the company, never through the provided links.

Lock Down Access

Implement "least privilege" access, using strong, unique passwords and two-factor authentication for every account. For investment platforms and email, enable notifications for any account activity, so you're alerted instantly to suspicious changes.

Secure remote connections with a Virtual Private Network (VPN) and avoid unsecured public Wi-Fi. If you must work remotely, use your cell phone's secure hotspot rather than free Wi-Fi at a coffee shop. And never log on to bank or brokerage accounts on shared or public networks.

Monitor and Layer Security

Constant vigilance is your shield. Regularly monitor account activity and set up a system of alerts. Layer your security by combining access controls, firewalls, and regular updates. Always verify new contacts or software installations, adopt a "zero trust" mindset: trust, but always verify.

Stay One Step Ahead

No single solution can prevent all RAT attacks, but a combination of awareness, good digital habits, and layered security makes a world of difference. Being informed is your best defense. Activate two-factor authentication, review your notifications and account alerts, and approach every digital interaction with a healthy dose of skepticism.

Resources Mentioned