We are seeing a surge in clients who are being scammed after their Hotmail accounts have been compromised. The scam works like this:

1) Your Hotmail account is compromised. Once they can access your account, they usually get your phone number.
2) You get a call from someone saying they are from Hotmail or Microsoft (past surges they've been from Google, Yahoo, or Facebook)
3) They explain your account has been hacked (which you believe since your email account will have real emails from Microsoft asking you to set a new password because they detected the compromise)
4) They ask you to visit a website that looks official and click a link which downloads their remote control software, giving them full access to your computer.
5) They poke around, explain your computer is completely compromised. They can clean it, but it'll require a lifetime annual service plan for $399/year.
6) If you pay them they'll install a fraudulent application…