Tag Archives: P2P payment scams

P2P Team Donation Scams

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There’s a new person-to-person (P2P) payment scam out there. It involves young adults going door to door, looking to “fundraise” for a sports team or extracurricular organization. But be leery, this is a scam designed to steal your money! How does it work? We’ll show you exactly how this scam plays out and how you can prevent it from happening to you.

How the Scam Works

  • A group of young adults rings your doorbell or comes up to you in person while you’re out, and tells you they are trying to raise funds for their sports team to buy new uniforms (or for a similar activity).
  • There is a clear spokesperson in the group whose job is to distract you, by explaining a lengthy story on what the “donations” will be used for and how much they would help the team. While you’re listening to the bogus story, another member of the group says not to worry – you can easily donate through Venmo or Zelle, and they’ll quickly put their contact information in your phone for you so that you can do a quick transfer once they leave.
  • While you are distracted with the story and how easy the scammers make the donation options sound, it’s not hard to fall for this scam and hand over your phone without thinking it through – to the individual who asked for it. However, you should never give your unlocked phone to anyone you do not know! This is how the scam unfortunately takes place.
  • Once the scammer has your unlocked phone, they can easily click on your Venmo or Zelle app – and transfer your money over to themselves in seconds. You probably wouldn’t even realize it’s happening as one member of the group continues to talk to you and distract you, while you think the one who has your phone is simply entering their contact information for you to make a transfer later.
  • The worst part of a P2P payment scam, is that you typically can’t get your transferred funds back.

You can prevent this or other similar P2P payment scams from happening to you by only sending money to those you know and trust, treating Zelle and Venmo like cash, refraining from giving anyone you don’t know your unlocked cell phone, and if you think something is too good to be true or it feels off – it probably is.

At First Financial, our goal is to help protect our members from scams and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

To learn more about scams and ways to protect yourself, visit zellepay.com/pay-it-safe.

Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

Identify and Defend Against Military Scams

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Being away from home on a deployment is a challenging time for military members and their families, and some will try to take advantage of this situation – making things even more stressful. A military scam begins when a scammer gains access to deployment, relocation, or public information. Then they use this data to try to convince their targets – armed services members or their loved ones, to send money right away.

Fake charities, phony debt collectors and government agency imposters often target members of our armed forces and their families. Here’s what you need to know about military scams and how you can help protect yourself and your loved ones.

Common Military Scams and Tactics

A scammer may call, email, or text an urgent request for money via a wire transfer or digital payment platform. These schemes can take many forms, including:

• Fake debt collectors with urgent notices.

• Donation requests from fraudulent charity organizations that claim to help members of the military.

• Fees for grant applications from government agency imposters.

• A person pretending to be or representing a deployed service member in desperate need of money.

In reality, the criminal is trying to create a sense of urgency or tug on your heartstrings to get you to respond with emotion.

Ways to Avoid These Scams

Any time you receive a request for money or personal information, take a moment to evaluate the situation and make sure there are no red flags. This includes doing research on any organization or company that you’re not familiar with. If something seems off, dig in and ask questions. A legitimate debt collector or charity will take the time to answer any questions and provide you with documentation.

Also consider the payment method they are asking for. Wire transfers and digital payment platforms often can’t be reversed once the payment has been sent, so if the requestor is demanding these forms of payment – it’s more than likely a red flag.

If a loved one sends a text message from a number you don’t know, and they say they need money quickly, ask them a personal question that only they would be able to answer. This is an effective way to verify their identity and protect against imposters. You may also want to check in with your family and friends to see if others have received similar communication. When it comes to your finances, always slow down and ask yourself questions.

At First Financial, our goal is to help protect our members from scams and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

To learn more about scams and ways to protect yourself, visit zellepay.com/pay-it-safe.

Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

How to Determine if a Donation Appeal is for Real or a Scam

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Charitable donations are a great way to make an impact on the causes you care about. But when tragedy strikes, scammers may prey on the generosity of those trying to support the victims. Scammers often request donations on social media or crowdfunding websites – or may contact you by phone, text, or email.

Common Characteristics

Charity scams occur when a scammer tricks someone into sending them money for what they believe is a worthy cause. Be on the lookout for these common characteristics of a scam.

  • Emotional appeals. Scammers may try to tug at your heartstrings by highlighting victims of natural disasters, such as wildfires or hurricanes – with an urgent appeal for donations that purportedly go toward food or shelter. Scammers commonly try to get people to act on emotion rather than logic.
  • Unusual language and names. Pay close attention to the details in any request you receive – especially poor grammar and spelling errors. Scammers may try to slightly alter a real charity’s name or website by changing a single letter and hoping you won’t notice the difference.
  • Specific payment method. Be wary if a “charity” requires you to donate through a digital payment platform or other non-refundable payment method.

Even if a charity seems real, it’s important to research the organization and look for reviews before you decide to donate. You can also do an online search for the name of the charity with the word “scam” or “complaints” to see if others have reported any issues. If you’re unable to verify a charity’s authenticity, you may want to donate elsewhere. When it comes to sending money, always remember to slow down and ask yourself questions. If something doesn’t feel right, trust your instincts.

At First Financial, our goal is to help protect our members from scams and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

To learn more about scams and ways to protect yourself, visit zellepay.com/pay-it-safe.

Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

Fake Jobs, Phony Recruiters: Job Scams are on the Rise

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Finding a new job can be a big undertaking. It’s hard to search through countless job descriptions and submit dozens of applications, so when a promising offer comes along – it’s easy to be excited.

But be careful. Fake postings and phony recruiters make up a growing number of scams, known as job or employment scams.

It can happen through email, social media, and on popular job sites. These scammers are generally after two things: your money and/or personal information. You can protect yourself by knowing what to look for.

Spotting a Job Scam

Fake jobs that appear too good to be true. In some cases, a scammer may post an opening appearing to be from a real company, promising a tempting salary and great benefits for little experience. Do an online search of the company, the hiring manager, or the recruiter to determine the legitimacy of the job.

Requests for money. If your potential employer asks you to send them money upfront for things like training or equipment, immediately withdraw your application. A legitimate employer will never ask you to pay for a job.

Recruiters asking for compensation. If you are approached by a recruiter asking for compensation in exchange for helping you find a job, there’s a strong chance the alleged recruiter is really a scammer.

Requests for personal information. Job applications tend to require information like your name, contact information, and work experience – but it shouldn’t go much deeper than that. Companies that require a background check will typically wait until much later in the interview process before asking for personal information like a Social Security Number. Similarly, never provide your banking information for setting up direct deposit until after you are hired. A legitimate company will not ask for those details on a job application.

Urgency to hire immediately. Beware of potential employers who show a sense of urgency to hire you immediately or within the same week of the application. They may want you to “seal the deal” by sending money or personal information. This urgency is to get you to act on emotion before you realize the company or job is fake. If the interview process does not include an in-person or on-camera interview, that should also be considered suspicious.

Key Takeaway

To protect yourself from a job scam – research the company and role, and reject any offer that asks for money or sensitive information upfront or promises great pay for little or no professional experience. When it comes to job scams, remember to slow down and ask questions.

At First Financial, our goal is to help protect our members from scams and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

To learn more about scams and ways to protect yourself, visit zellepay.com/pay-it-safe.

 

Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

 

 

 

Beware of the Seemingly Perfect Rental: It Could Be a Scam

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You finally found a rental property to call home. It’s the perfect location, the pictures look amazing, and the price is much lower than you were expecting to pay. All you need to do is send the landlord a deposit and the first month’s rent to seal the deal.

STOP! Before you do that, make sure you’re not sending money for a property that doesn’t exist. Rental scams are yet another opportunity for scammers to steal money. These scams target both new and existing renters, so it’s important to know what to look for.

Tips for Spotting a Rental Scam

Pictures look too good. If a picture shows a beautifully renovated rental at a price that’s well below market rate, be cautious. Glamour photos can easily be found online. Reverse search an image by right clicking.

The listing has errors. Scammers are smart, but often don’t have very good grammar. Listings that have grammatical mistakes and other formatting errors could be signs of a scam.

Pressure to sign and pay right away. A legitimate landlord or rental agent will typically show you a space before renting it. If an agent is pressing you to sign a contract or pay a deposit without seeing the property first, this is a red flag. Especially if they insist you pay with a digital payment platform like Zelle® or Venmo.

There’s no credit check. Landlords and rental companies typically will conduct a credit check to determine if a renter is creditworthy. While some places don’t require a credit check, be careful. Ensure the agent is not taking advantage of your need for housing by offering a fictitious home with lenient eligibility requirements.

Ways to Avoid Rental Scams

 Always ask to tour the property. Don’t rent a place without seeing it. Schedule a time to tour the property to make sure it exists and looks like the advertisement.

Skip listings that look suspicious. Scroll past spam listings, and be skeptical of listings that are priced well below market value or contain grammatical and spelling errors.

Don’t send money in advance. You should never be charged a fee to tour a property, so turn away from any request for an upfront payment. Avoid sending any seemingly legitimate payment like a security deposit or first month’s rent without seeing the space and meeting the landlord or property manager. If the landlord comes up with a convincing story as to why they can’t meet – it’s best to wait until you can schedule a meeting, or search for another rental altogether.

Slow down and ask questions. Don’t allow yourself to be bullied or pressured. If you do, you could be playing right into the hands of a scammer. Take your time, see the property for yourself, and ask all the necessary questions to make sure this is the right space for you.

At First Financial, our goal is to help protect our members from scams and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

To learn more about scams and ways to protect yourself, visit zellepay.com/pay-it-safe.

Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

 

 

 

Send Yourself Money? That’s a Big Red Flag

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Scammers are always creating new ways to steal your money. One of the recent scams utilizing peer-to-peer payment services is what’s known as the “Pay Yourself Scam.”

The gist of the scam is that someone pretending to be a representative from your bank or credit union tells you that there has been a fraudulent transaction and in order to stop it, you need to send yourself money with Zelle®. That sense of urgency really works in their favor and gets unsuspecting consumers to act immediately.

The best way to avoid this scam is to know what to look for. Here’s how it unfolds:

  • It starts with a text message from a scammer that looks like a fraud alert from your bank or credit union. It looks real and urgent!
  • If you respond to the text message and engage the scammer, you’ll receive a call from a number that may appear to be your bank or credit union.
  • The scammer pretends to be calling from your bank or credit union and offers to stop the alleged fraud by directing you to send yourself money with Zelle®.
  • In reality, the scammer is tricking you into sending money to their bank account.

How the Scam Works

So how are the scammers diverting money to their account?

When you enroll with Zelle® initially or if you switch your enrolled U.S. mobile number or email address to a different account, your bank sends you a security code to verify your identity. In this scam, the fraudster pretends to be calling from your bank or credit union saying that they need this passcode to authorize your payment to yourself. That should be a big red flag to you. Your bank will NEVER ask you for this security code, nor will they ask you to send money to yourself.

If the scammer gets the one-time passcode, they can link their bank account to your U.S. mobile number or email address. Now the money you thought you were sending to yourself is sent directly to their bank account.

Check out this YouTube video on how the scam works.

Staying Safe in a World of Scammers

How can you avoid being tricked? Always keep these tips front of mind:

  • Never discuss account numbers, PINs, or other personal information with anyone who contacts you, even if they say they are from your bank or credit union.
  • If the person claiming a problem with your account needs your account information, hang up and call the bank yourself.
  • Don’t call the number in a text, email, or voicemail. It will connect you directly with the scammers. Always look up the number online or review the number listed on your debit or credit card.
  • Don’t click on text message links from people you don’t know, even if it looks like it’s your bank or credit union. These links can be deceiving and direct you to a fraudulent site or expose your device to malware.
  • Your bank or credit union will never ask you to send money to yourself (or anyone else)! If you detect suspicious activity regarding Zelle®, hang up and contact your bank or credit union directly at the number listed on the back of your bank-issued debit card, in your mobile banking app, or on their official website.

To learn about other scams and ways to protect yourself, visit zellepay.com/pay-it-safe.

At First Financial, our goal is to help protect our members from scams and identity theft. If you have any concerns or questions about any of your First Financial accounts, please call member services at 732.312.1500 or visit one of our branches.

*U.S. checking or savings account required to use Zelle®. Transactions between enrolled users typically occur in minutes.

 Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.