Stay Alert: Top 5 Red Flags to Spot a Scam

In our digital age, scammers are getting more sophisticated in their approaches to steal hard-earned money. They prey on people’s vulnerabilities and exploit their trust. As a bank security expert, I believe it’s essential to arm you with knowledge so you can stay one step ahead. Today, we’ll dive into five red flags that could help you identify a potential scam.

Unexpected Contact

Often, the first indication of a scam is unexpected contact. You might receive a call, text, or email about an invoice, order, delivery, or charge you weren’t expecting. Sometimes, the scammer even pretends to be a loved one in danger.

For example, at a Washington state branch, a customer sought to transfer $8,000 urgently to help her son supposedly in jail in Florida. The teller, sensing red flags, called the bank Transaction Fraud Support, and the beneficiary of the transfer turned out to be in Texas, not Florida. The customer confirmed her son was safe and not in jail – a classic case of impostor fraud averted.

The “Urgency” Tactic

Scammers often create a sense of urgency to pressure you into acting quickly. They employ tactics like rude or pushy language to compel you to make hasty decisions without time to question the legitimacy.

We saw this at a branch in Pennsylvania, where an older customer was accompanied by a young woman pressuring him into initiating large recurring transfers from his account to hers. The banker sensed the urgency was unfounded and, with appropriate help, managed to protect the customer.

Unusual Payment Methods or Upfront Payment

Another giveaway is when you’re asked to pay or send money through specific or unusual methods like gift cards, cryptocurrency, or money sent through a payment app or wire. These tactics are designed to make the transaction harder to trace.

Consider the case of a customer in Florida pressured to send cash to a supposed government official. Thankfully, the branch manager recognized the scam, explaining the situation to the customer and assisting her in depositing the cash back into her account.

Threats and Impersonations

Scammers may impersonate bank employees or other authoritative figures, threatening to involve the police if you don’t pay immediately. They often coach you on what to tell the bank or ask you to keep a secret.

One customer wanted to wire $29,000, believing his account was compromised. The branch banker, detecting red flags, didn’t approve the wire and protected the customer from losing a significant sum.

The Romantic “Emergency”

Online scams aren’t limited to financial transactions alone. In romance scams, an online love interest who never wants to meet in person suddenly experiences a hardship or emergency and asks you for immediate financial help.

A customer in Arizona fell victim to such scams from multiple “fiancés,” losing a large amount of money. The police had to be called, and steps were taken to secure the customer’s account.

What to Do If You Suspect a Scam

If you notice these red flags, here’s what you should do:

1. Slow Down: If someone pressures you, don’t rush. Verify the urgency.
2. Think It Through: If the request doesn’t make sense or seems too good to be true, it probably is.
3. Consult: Talk to a trusted friend or family member, even if the scammer tells you not to.
4. Verify: Go directly to the company or bank they claim to be calling from. Remember, your bank will never text, email, or call you asking for personal or account information.
5. Report: If you suspect fraud, report it to the bank and the police.

Stay alert and informed to safeguard your financial health. Use account alerts in your Bank Mobile app, which can help keep an eye on your accounts and contact us quickly if anything seems suspicious.

Conclusion

While the tactics scammers use can be incredibly complex, being aware of these “Top 5 Red Flags” can go a long way towards keeping your financial assets secure. The key to safeguarding yourself is vigilance, staying informed, and seeking advice when something seems amiss. Remember, your hard-earned money is your own, and no one has a right to it but you.

It’s important to remind ourselves that most financial institutions will never unexpectedly contact you for personal information, pressure you to act urgently without good reason, or request payment through unusual methods. As you navigate your financial journey, keep these red flags in mind, use the security tools available to you, and consult trusted resources when in doubt. And as always, if you suspect you’ve been targeted by a scam, report it immediately.

In a world where scams have unfortunately become a part of our digital landscape, a little knowledge can go a long way. So, let’s continue to stay alert, stay informed, and keep our hard-earned money where it belongs – in our pockets and in our control.