Article

Protecting yourself from predators and creditors

July 2, 2025 · Authored by David Giannini

Wealthy individuals and families have always been targets for financial predators and creditors. With advances in technology and artificial intelligence (AI), the risk of exposure to fraudulent activity has increased at an exponential rate.

Drivers of data vulnerability

Wealthy families are prime targets for cybercriminals and fraudsters due to various reasons, chiefly:

• High financial value: Increased potential payoff for attackers
• Public visibility: Business dealings, philanthropic work or social media presence can reveal private information
• Complex digital footprint: Multiple devices, homes, staff and third-party services create many access points
• Inconsistent cybersecurity habits: Family members and staff may lack training or awareness, making them the weakest links

Types of threats facing wealthy families

Attacks on wealthy families have become increasingly sophisticated as technology has continued to advance and evolve at a rapid pace. As such, families are vulnerable now in more ways than ever before. Examples of attacks include:

• Identity theft
• Financial fraud and account takeovers
• Social engineering and phishing attacks
• Data breaches via third-party vendors or household staff
• Deepfakes or impersonation in scams

Our teams have witnessed attacks as easily identifiable as poorly edited PDFs of fraudulent invoices, to as sophisticated as fraudsters inserting themselves into existing email threads with updated bank information and payment approvals.

Solutions

Despite the variety and scale of attacks on wealthy families, there are steps that can be taken to help prevent attacks and mitigate risk. Solutions involve a mix of technical safeguards, education, monitoring and legal structuring to reduce vulnerabilities and respond quickly to threats. A proactive, layered security approach is essential.

Cybersecurity infrastructure

• Use secure encrypted communications
• Utilize secure file sharing software and virtual portal solutions
• Implement multi-factor authentication (MFA) across all accounts
• Maintain up-to-date antivirus and firewall protection
• Regularly patch and update devices and software

Access control and network segmentation

• Separate family, staff and guest networks in the home
• Use role-based access controls for digital services and financial data
• Employ zero-trust principles: never assume any user or device is trustworthy by default

Digital hygiene and training

• Provide cybersecurity education to family members and staff
• Practice safe browsing, recognize phishing attempts and avoid oversharing online
• Use password managers and generate strong, unique passwords

Vendor and staff risk management

• Vet third-party vendors for cybersecurity standards
• Include data protection clauses in contracts with household and service providers
• Monitor staff access to sensitive systems and revoke access promptly when employment ends

Monitoring and response

• Use real-time threat monitoring and identity theft protection services
• Set up transaction alerts on financial accounts
• Have an incident response plan ready, including contacts for legal, cyber forensics and law enforcement

Legal and structural protections

• Use trusts, LLCs and family offices to separate identity from assets
• Work with legal counsel to ensure compliance with privacy and data laws
• Employ cyber liability insurance to mitigate potential losses

Steps we take at Baker Tilly

The data landscape can feel like uncharted territory, full of unexpected risks. We have developed a strong foundation to navigate this landscape, building a robust data security program for our clients with Baker Tilly’s technology and cybersecurity teams.

We restrict access to authorized individuals, assess third-party vendors based on the risk presented and test our formally documented incident response plan annually.

Additionally, we utilize the following control strategies to mitigate risk and prevent both internal and external threats:

• Continued training on trends in cybercrime and security measures
• Using systems designed to securely share documents containing sensitive information (bank account numbers, addresses, Social Security numbers, etc.)

Conclusion

While the threats against wealthy families continue to evolve and become more sophisticated, there are steps that can be taken to stay ahead of potential attacks. Families should consult with their advisory teams to ensure they are utilizing a multi-pronged approach when implementing cybersecurity precautions and preventative measures.

Questions? Connect with our team to learn more.