Payment App Fraud

Payment apps are an easy tool for cybercriminals because their ease-of use allows money to be transferred quickly, and the funds can be very difficult to recover. Some common tactics scammers use to commit fraud through payment apps include:

• Impersonating a loved one, well-known company or government agency — If you receive unsolicited contact—by phone, email, or text—from someone posing as a trustworthy organization or someone you know and requesting that you send money via a payment app, disregard it. In order to check the legality of the request, get in touch with the individual or business directly using the contact information you already have or what is readily available online.
• Warning you that one of your accounts has been compromised — Never believe someone who contacts you without permission saying that one of your accounts has been hacked. Take a hard look at the person reaching out to you and notice anything that seems off. And to report the problem, get in touch with us directly if it originates from someone claiming to be from BANK.
• Claiming you’ve won a prize — It's probably a fraud if you receive a message from someone saying you won anything from a competition you don't recall entering. Don't respond to any such request.
• Trying to sell you a product or service — Never trust someone who contacts you claiming to be offering you a product at an absurdly low price. It's possible to confirm the veracity of a solicitation like this by searching the internet, but if it seems too good to be true, it most likely is.

Furthermore, it's critical to remember that nonbank payment programs like Zelle and Venmo should never be used to keep money. These businesses are not covered by FDIC insurance, in contrast to banks. Your money may not always be accessible to you.