A Keylogger is a program that records all keystrokes(keyboard) and stores them for later retrieval. The existence of a keylogger is usually kept a secret and is hidden from whoever it is targeting. For example, They may be used by company to monitor an employee they’re suspicious of, a keylogger could even be installed for backup purposes in case of a system crash. It could be useful to know that you always have a backup of whatever you type. keyloggers are categorized as a form of spyware, and will most likely store the keystrokes to a file (which may be encrypted) and can be accessed by the attacker, normally by the use of a password. Some keyloggers also capture the screen at regular intervals (screen recorders). Also it’s possible for keyloggers to automatically email the captured keystrokes to the attacker so they don’t even need physical access the attacks system once it’s been installed

The true danger posed by keyloggers is their ability to bypass encryption controls and gather sensitive data directly from the user. All the encryption in the world will not secure your data if a hacker watches you type your encryption key. He can then simply use that plaintext key to decrypt all of your “protected” communications from that point forward!

Basic Step to detect Keylogger

1. Check the task list by press ctrl+alt+del in windows. Examine all the tasks running, if you unsure of a task look it up on a search engine.
2. Use the system configuration utility to determine which task are loaded at start-up (type “msconfig” in the run box to start).
3. Run your antivirus checker, it’s possible this will pick up the Keylogger on your system.
4. Scan your hard disk for the most recent files stored. Look at the contents of any files continually updating (these might be logs).
5. Download a specific keylogger detector program, and see if it detects anything.
6. Run Spybot S&D, this program checks for some known keyloggers.
7. Get yourself a copy of Rootkit Revealer from sysinternal

– onlinesecurityblog.info