29th September 2025
Vonage discusses how to recognise, combat, and prevent caller ID spoofing to minimize the damage it can do to your business.
Can you spot a caller ID spoofing scam?
These malicious scams target businesses by disguising their caller ID and impersonating trusted sources to trick you into handing over sensitive information.
You could even find your own business phone number being spoofed by scammers to commit fraudulent activities.
So, how can you protect yourself against being a victim of caller ID spoofing?
Caller ID spoofing is when a caller falsifies their phone number or caller ID information to disguise their identity and make it appear as though the call is coming from someone it’s not.
Using spoofing, scammers can intentionally mask their phone number to impersonate trusted businesses that the target is affiliated with, such as financial services or government bodies. They can even change the name on the caller ID display to that of a legitimate business or person.
The ultimate goal is to trick the target into revealing sensitive information that can be used to commit fraud, such as bank account details or employee credentials.
A caller ID spoofing scam can be executed using three different methods: VoIP spoofing, spoofing services, and orange boxing.
Voice over Internet Protocol (VoIP) spoofing is when a scammer signs up for a VoIP provider and changes their number to that of a trusted source.
They can also use open-source VoIP tools to achieve the same result for free. This is the most common technique used by scammers to falsify their phone number, as almost every phone number can be spoofed.
Spoofing services serve a specific, nefarious purpose – to allow scammers to obtain spoofed numbers on demand.
Some spoofing services work similarly to a prepaid credit card, while others operate via free, web-based platforms.
But essentially, they all enable scammers to enter any caller ID information they want, and the service will transfer the call to the target with the scammer’s chosen caller ID displayed. As this method requires no tech skills or equipment, it’s a popular, easy choice for scammers.
Orange boxing works slightly differently. It uses a piece of hardware or software known as an “orange box” to imitate the audio signal of an incoming call and replace the caller ID display.
This method is used to trick targets into thinking that they’re being contacted. It’s a devious tactic used by scammers to execute sophisticated social engineering scams.
While VoIP spoofing, spoofing services, and orange boxing are common, attackers targeting businesses also use advanced techniques that bypass basic defenses:
These methods require more sophisticated technical defenses, making close coordination with your telecom provider essential.
Even the most convincing fake calls leave clues. Watch for these red flags:
If any of these occur, hang up and verify by calling the official number from a trusted source.
For as long as telephones have been around, so have telephone scams. But it used to be much easier to scam people before caller ID became publicly integrated into landlines in the 1980s. Before that, you simply had to trust that the person on the other end of the phone was who they claimed to be.
When caller ID became a common telephone feature in the 80s, scammers were forced to manipulate the telephone network to spoof numbers.
This required in-depth technical knowledge and access to expensive telephony equipment, so it was only employed by seasoned con artists. As a result, spoofing was a lot less common.
That is, until the internet and VoIP exploded onto the scene.
VoIP empowers you to make calls over the internet via your computer. This comes with significant benefits that continue to revolutionize communications today — enhanced flexibility, scalability, cost-effectiveness … the list goes on. But it also gave rise to easier number spoofing capabilities.
Using VoIP technology and spoofing services, scammers can impersonate legitimate phone numbers as many times as they want, with minimal technical skills.
They can change the location, name, and other ID information to trick victims into thinking that they’re receiving a legitimate call from a trusted source.
This has caused phone spoofing to become more prevalent and, with it, imposter scams have skyrocketed.
According to newly released Federal Trade Commission data that explores the losses generated from fraud, imposter scams were the most commonly reported by consumers and incurred losses totaling $2.95 billion in 2024.
And of all the contact methods used by scammers, the phone was the second-highest channel after email.
Luckily, the advantages of VoIP far outweigh the cons. And there are measures you can take to mitigate the risk of spoofing for your business, employees, and customers.
Scammers that target businesses have one goal in mind – to access your money and/or sensitive business information.
However, fewer people than ever will answer a call from a number that they don’t recognize. It’s why so many businesses use branded calling, which provides the receiver of the call with trusted brand signifiers, such as the company name, business phone number, and logo, which improves answer rates.
Scammers know this, which is why they’ve turned to caller ID spoofing.
Spoofers can trick you into thinking you’re being contacted by a legitimate business by using a fake version of their number to call you. Once they’ve gained this trust, they manipulate you into handing over sensitive details.
Let’s say that a scammer decides to pose as a reputable supplier. They spoof the supplier’s number and call a member of your procurement team, who sees this trusted supplier’s number and caller ID on their incoming call display screen.
Thinking that it’s the supplier, the employee will pick up the phone – phase one of the scam is completed.
From there, the scammer will pretend to be a company representative. They’ll deploy sophisticated scam scripts and manipulation tactics, such as telling you that your recent payment declined or that they urgently need to verify some details.
Using the trust they gained by caller ID spoofing, the scammer can deceive the employee into revealing sensitive information (bank account details, credit card details, customer records, employee credentials, etc). They might also employ other tactics to improve their chances, such as deep-fake audio.
Of all business industries, the financial sector is most targeted by fraud, including caller ID spoofing. It’s commonly used to initiate authorized push payment (APP) fraud.
This is a scam where an employee is tricked into transferring large funds into a bank account held by a fraudster posing as a legitimate payee.
To put this into perspective, APP fraud was rated the most frequent type of fraud case experienced by financial services, at 22%, according to Alloy’s 2024 State of Fraud Benchmark Report, where they surveyed over 400 financial services experts who worked in fraud-related departments.
Beyond financial fraud, businesses have reported these high-risk spoofing tactics:
Training your staff to recognize these scenarios is just as important as having technical safeguards in place.
Scammers will try and impersonate anyone that they can. Business partners, banks, company directors, insurers, clients, suppliers, CEOs – nobody is off-limits.
Fortunately, there are some strategies you can use to prevent and detect caller ID spoofing to protect your business.
Is the display name slightly different from the name saved in your contacts (e.g., Pete Jones instead of Peter Jones)? Or do you recognize the caller ID display name but not the number they’re calling from?
If so, it’s probably a scam. Check that the phone number the person is calling from matches the one in your contacts and/or the number on their official business contact page.
Caller ID spoofing detection often involves using your better judgment. Be cautious of unexpected calls from anyone that you haven’t had recent contact with, especially if they’re asking for sensitive details or payment. Be wary of callers who use generic greetings instead of addressing you by your first name, too.
And most importantly, never divulge sensitive information if the call feels even the slightest bit suspicious.
For enterprise-grade caller ID spoofing protection, use a solution like Vonage Spam Shield. This powerful feature screens incoming calls by matching them against numbers associated with telemarketing, robocalls, and scams. Suspicious calls are marked as “Suspected Spam” on your display, allowing you to decline the call.
Scammers like to create a sense of urgency to instill stress or panic, which clouds your judgment and drives immediate action.
For example, a scammer might tell you that your business account has been hacked and you need to act quickly to prevent consequences, causing you to panic and divulge sensitive details.
Just like businesses, scammers have access to interactive voice response systems — except here, they’re used for nefarious purposes.
If you answer the phone and are greeted by a pre-recorded message that’s telling you to follow instructions or press specific numbers (e.g., “press 1 for yes and press 2 for no”), hang up immediately.
If you’re being asked for sensitive details and are in any way suspicious, one of the best ways to detect a spoofed caller ID is to simply hang up the phone and call it back. Never just redial the number – go to your contact list or find the number on an official business site and make a new call.
This way, you’ll reach a genuine person or business who will be able to confirm or deny the legitimacy of the earlier call.
Educating your employees is one of your biggest defenses against fraud trends, caller ID spoofing included. Hold training sessions that go over the ways to combat fraud.
Stress how important it is that employees exercise vigilance and refrain from handing over sensitive information before verifying the identity of the caller.
Ensure that all business voicemail systems, especially for executives, sales, and customer-facing staff, are protected with strong passwords.
Some services allow voicemail access when a call originates from the user’s own number, which spoofers can exploit. A password requirement blocks this common loophole.
While these measures help employees handle spoofed calls in real time, businesses also need system-wide safeguards and compliance strategies to prevent spoofing at its source.
Caller ID spoofing can hurt more than just your phone system, it can damage your brand, reduce answer rates, and even expose you to regulatory penalties.
While front-line employees need to know how to spot spoofed calls, business decision-makers and IT teams must take broader, system-wide measures to prevent their numbers from being misused.
The following steps are designed for business operations, IT security, and compliance leaders to protect outbound calling integrity and customer trust.
Work with your telecom provider to ensure FCC-mandated STIR/SHAKEN call authentication is fully enabled for your VoIP and PSTN lines.
While STIR/SHAKEN greatly improves trust in caller ID, it only applies to calls carried over IP networks. Any calls traversing non-IP segments require additional mitigation measures.
The FCC also mandates that businesses originating outbound calls maintain a robocall mitigation plan and, in some cases, register in the Robocall Mitigation Database.
Even if your provider is compliant, you may be asked to provide documentation during vendor audits or partnership negotiations.
Unprotected business phone systems can be exploited to originate spoofed phone numbers in your name.
If scammers spoof your business number, fast, clear communication limits brand damage.
Increase customer trust by making your outbound calls easily recognizable.
Third-party analytics tools can detect unusual call patterns or reputation drops.
If you originate outbound calls, you may be required to have a documented robocall mitigation plan.
If your business number is repeatedly spoofed, you risk:
Vet telecom vendors for strong caller ID authentication controls. Avoid wholesale VoIP providers that allow unrestricted caller ID changes, as they are a common source of spoofing abuse.
Partnering with a provider that actively monitors and reports suspicious activity can reduce your risk. Employee awareness is essential, but it’s not enough.
By combining technical safeguards, compliance planning, and proactive customer communication, your business can reduce the risk of caller ID spoofing while protecting brand reputation and call answer rates.
If your company operates internationally, compliance with spoofing-related laws varies by jurisdiction:
Ensure your outbound call practices align with each market’s regulations, especially if you use international contact centres or VoIP services.
If your business number is being spoofed, a fast and coordinated response can limit the damage to your brand, restore customer trust, and reduce the operational impact.
Being on the receiving end of a spoofed call is bad enough — but having your own number spoofed can cause serious reputational harm. If customers and contacts don’t trust that your calls are genuine, they may choose to stop engaging with your business altogether.
Long-term prevention measures:
By combining rapid incident response with proactive measures, you can protect your outbound calling integrity, minimize disruption, and safeguard customer confidence in your brand.
Reviewed by: Jo Robinson