Phishing and Ransomware -Should You Ever Pay the Ransom?

A ransomware attack locks your files and demands payment. But should you actually pay? Here is what the data, real cases, and security experts say — in plain language.

Quick Answer

No, you should not pay a ransomware ransom.

The main reason behind this is that cybercriminals rarely honor their promises — you might pay, but they won’t give you the decryption key, so you’re wasting money. Furthermore, paying ransom makes ransomware a lucrative business and will only encourage hackers to continue; if this revenue stream doesn’t exist, they’ll abandon it.

In this article

1. A real ransomware attack — what happened

2. Two types of ransomware attackers

3. Colonial Pipeline: a famous case study

4. What actually happens when you pay

5. Payment success rate — the real numbers

6. Legal risks of paying ransom

7. What experts recommend you do instead

Almost everyone in the security industry gives the same advice: never pay the ransom. The core reason is simple — hackers cannot be trusted. You might pay and never receive the decryption key. Beyond that, paying ransom makes ransomware a profitable business, which only encourages more attacks. If victims stop paying, the financial motivation disappears.

A Real Ransomware Attack

To give a real-life example, I witnessed a case where a friend of mine was attacked by ransomware.

The criminals demanded money, just like the ones we hear about, and encrypted his database or laptop. Ultimately, he refused the ransom. From a security perspective, it’s important to understand his immediate options and what security measures he should have taken in the first place to make this decision easier.

Key Insight

Having a recent offline backup is the single most effective way to make paying ransom unnecessary. When you have a clean backup, attackers lose their leverage entirely.

Two Types of Ransomware Attackers

Ransomware attacks target individuals, businesses, hospitals, governments, and everything in between. In some cases, the attack is directed at a single individual, in others, at entire organizations, and all levels in between are possible.

Unsophisticated Hackers

They don’t use very sophisticated techniques. They simply send attacks to a large number of people, hoping to trap anyone. This may have been what happened to my friend — they were targeting a “small fish,” but the number of such people is very high, so they make money through volume.

Advanced (Targeted) Attackers

They target very specific, high-value targets. These are master hackers who penetrate systems using “zero-day” attacks and advanced techniques. They attempt to reach the location where the most sensitive and critical data resides.”

Colonial Pipeline: A Famous Case

Case Study Colonial Pipeline — May 2021

In May 2021, the Colonial Pipeline (the largest U.S. pay-fuel pipeline) was subjected to a ransomware attack by the Russian hacking group DarkSide. The attack completely halted fuel deliveries, causing severe gasoline shortages in 13 states along the U.S. East Coast and sluggish deliveries for weeks.

According to Insurica, they attacked the billing system. Technically, the oil could be delivered, but if they couldn’t charge for it, they wouldn’t have a record of it, and no one wants to continue that business. So they had to wait until the system was restored and they could resume operations, and ultimately, they paid a ransom.

$4.4 million in ransom was paid to DarkSide. However, the decryption tool they received was so slow that Colonial Pipeline had to rely on their own backups to restore operations anyway. The payment bought them very little.

This case is a perfect example of why paying ransom is rarely the right decision, even when you do pay, the outcome may leave you in nearly the same position as before.

What Actually Happens When You Pay

When you pay ransom in a ransomware attack, one of three things can typically happen, and none of these outcomes are guaranteed. They paid a ransom, and what happened in the end? There are three possible outcomes:

Best Case

You receive a working decryption key and fully recover your data.

Middle Case

You receive a slow or broken tool and must fall back on your own backups anyway — like Colonial Pipeline.

Worst Case

Attackers take the money and disappear. You receive nothing and lose both your data and your payment.

In the Colonial case, yes, they got the decryption tool, but it was so slow that they had to use their backup, meaning they paid the ransom but didn’t get the full benefit they had hoped.

Important

This case made it clear that even after paying a ransom, you may not receive the immediate benefits you expected and may become a target again in the future.

Payment Success Rate, The Reality Behind the Numbers

According to 2025 data, only 20% to 28% of victims pay the ransom in 2025 — meaning most don’t pay at all. And of those who do, only 50%–55% of cases result in proper decryption (the remaining cases require backup or partial recovery).

Only 4% of victims fully recover their data after paying the ransom.

~20% to 28% of victims pay the ransom in 2025

50–55% of those who pay get a working decryption key

4% of victims who pay fully recover all their data

Put simply: the majority of victims do not pay, and of those who do, most still cannot fully recover their data. The math does not favor paying.

Legal Risks of Paying Ransom

Paying ransom to hackers in a ransomware attack may seem easy, but it carries serious legal risks, especially if the target is on the OFAC (Office of Foreign Assets Control) sanctions list.

The U.S. Office of Foreign Assets Control (OFAC), is part of the U.S. Treasury Department that imposes sanctions on certain countries, individuals, and organizations. If your company pays any of these individuals, it could result in millions of dollars in civil fines or criminal charges.

Legal Warning

Paying ransom to cybercriminals from countries like North Korea, Iran, Cuba, and Venezuela is illegal because it violates U.S. sanctions laws and endangers national security. This risk isn’t limited to the company affected by the attack; third parties like cyber insurance companies, banks, and forensic firms may also be subject to penalties if they assist with the payment.

The law recommends promptly reporting to the government and cooperating with law enforcement, which can reduce penalties. Therefore, it’s essential to consult legal experts before offering ransom and have a robust compliance program (including OFAC checks and AI tools) in place. Finally, while paying ransom may seem like a way to avoid trouble, the legal risks under OFAC regulations are very serious, so companies should always seek legal advice.

What Security Experts Recommend

If you’ve been attacked by a ransomware attack, experts and agencies like the FBI/NCSC clearly state that you should never pay a ransom. Paying a ransom doesn’t guarantee you’ll get your data back, and it could make you vulnerable to re-targeting in the future because hackers consider you a “safe target.”

1. Disconnect from the network immediately: Disconnect your device from the internet and network. This stops the attack from spreading and prevents it from reaching other machines.

2. Report the attack to authorities: Immediately report the incident to a government/security agency (FBI, NCSC, or CERT-In in India). Reporting can reduce penalties and provide legal assistance.

3. Restore from a clean offline backup: If you have an offline backup (external hard drive or separate cloud), restore data immediately. Having a backup eliminates the need to pay any ransom.

4. Consult a legal expert before considering payment: Check the OFAC-sanctioned list and consult a legal expert. Paying money to a sanctioned party is a criminal offense and can result in a million-dollar fine.

5. Clean and harden your system: Run antivirus software, update software, and enable MFA (Multi-Factor Authentication). This is essential to prevent a repeat attack.

6. Call a professional cybersecurity firm: Call a professional cybersecurity firm to identify how attackers got in, what data was accessed, and how to prevent a repeat incident. For businesses, this step is essential for compliance and recovery.

“Have backups in place, never pay the ransom, and report the attack immediately.”

— FBI, NCSC & leading cybersecurity experts

The Bottom Line

The best defense against ransomware is preparation, not payment. Regular offline backups, updated software, strong passwords, and MFA will do more to protect you than any ransom payment ever could. If an attack happens, report it, do not pay.

Originally Published at: https://ransomsecurity.com/should-you-pay-ransomware-ransom