Families of SOs Community Group
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This virus is extremely nasty as you have no chance to recover infected data except to pay the ransom which may not work and unlike most other malware it can directly impact any active backup strategy.
I did some research on how you get it, can it be prevented and how to get rid of it once infected. There are some options... :)
http://nakedsecurity.sophos.com/2013/10/12/destructive-malware-cryptolocker-on-the-loose/
This is from Sophos which is one of the absolute top in virus protection and removal. not a bad read and written not real technical either.
http://blog.malwarebytes.org/intelligence/2013/10/cryptolocker-ransomware-what-you-need-to-know/
This is from one of my favorite malware removers, the free version will remove it if you have gotten infected and the pro (which isn't free) will protect against. But if you just don't click on links or open attachments that you don't know what is supposed to be in them that is the best protection.
In my business I see more malware attacks on students than anyone else, I believe it is because they search for some outlandish stuff and will end up on sites that are masquerading as something more legit by accident. Which I can't blame them for, they are learning and sometimes you have to search for some different things.
As for backing up things, it is always a good idea to do for the things you do not want to lose, I have this argument with users all the time that insist that they want to save things to their C drive and then if the drive dies they have lost all their files... This is why enterprises have network shares and Home drives for their users, it is so that files aren't lost but backed up. Windows 7 has a nice back up feature, but if you want to make sure that you have everything keeping things consolidated on your drive to a file folder and then all the sub-folders within that it will be easy to keep up on regular back ups of once a week, once a month, or just when you make updates to your files basically saving the file to the appropriate sub-folder on your C:My Documents (Or whatever you want it to be if it isn't this default folder) drive and then copying the entire folder that is on your C: over to the media you wish to use to back it up.
Things to remember, CDs only hold 700MB, DVDs only hold 4.5GB or so and 8.5 if it is Dual-layer, Flash drives have come down a lot in price and you can get a 32GB flash drive for under $80 sometimes as little as $20 if you watch for sales or shop online. If you are going to be archiving a lot over time, I would just invest in as big of a Flash or solidstate drive as I could afford that plugged into USB and be done for the next 5 or so years. Solid State drives can wear out when used regularly like I have in my work laptop, but used in this fashion it is a nice medium to use as are those flash drives (and they can all be put on a keychain if you get the right ones).
If you have questions or anything let me know and I will be happy to delve deeper.
Even with a free cloud service there are ways to protect sensitive information. You can actually encrypt the information yourself before uploading.
In my experience when people start putting passwords and encryption on their computer only causes more trouble for their tech in the long run (unless they do their own work in which case, to each their own methods as they are the ones that will have to deal with it when it breaks)... probably why I am not keen on it.