T There are plenty of security software in market; each claiming the best, still we daily face problem of viruses and other malicious activities. If we know the basic working principal of such malware then we can very easily prevent most of them even without security software. Hackers and crackers are experts in psychology to manipulate people into giving them access or the information necessary to get access. This paper discusses the inner working of such attacks. Case study of Spyware is provided. In this case study, we got 100% success using social engineering techniques for deception on Linux operating system, which is considered as the most secure operating system. Few basic principal of defend, for the individual as well as for the organization, are discussed here, which will prevent most of such attack if followed. KEYWORDS Spyware, Malware, Social Engineering, Psychology.