A device which monitors a user by recording the order of keys pressed on the user's computer.  There are two types of keystroke loggers:

1. Hardware:  A component that is physically connected between the user's keyboard and their computer.  Some keyboards have keystroke loggers built in. 
2. Software:  A program that is usually secretly installed on the user's computer.  It can be either a stand-alone program, or part of a remote administration tool (or backdoor program).

How it works:

As the user is typing in information to their computer, the keystroke logger collects the information as it is typed - before any encryption can take place.  It can either passively collect the data to be retrieved off the user's computer, or the data can be transmitted to another user in a remote location.  A hardware keystroke logger might need to be physically retrieved from the user's system before the data can be accessed.

Who uses keystroke loggers?

As with any tool, whether it's use is beneficial or nefarious is determined by who is using it and for what purpose they are using it.  Keystrokes are used by many different groups, such as:

• Government and law enforcement officials.  They use keystroke loggers to monitor suspected criminals and terrorists.  Also used to collect information on foreign governments for intelligence purposes.
• Businesses.  Often used in office situations to monitor employee productivity, to keep an eye on employees who might be considered "troublemakers"
• Parents.  To monitor their children's activities online.  To make sure their children are not engaging in inappropriate internet activities such as giving out personal information, engaging in cyber bullying, etc.
• Husbands/wives.  To monitor a spouse if they think there is a possibility of infidelity.
• Criminals.  To obtain valuable customer data from corportations, or to steal trade secrets.  To steal information from individual's computers so they can establish an identity in that user's name.
• Disgruntled ex's.  To keep tabs on what their ex spouse or boy/girlfriend is doing in order to harrass, frighten, or stalk them.

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