Fraud Awareness Resources

The convenience of contactless payments appeals to consumers – and, unfortunately, to scammers as well. A new type of fraud leverages fake mobile apps to trick individuals into unknowingly sharing sensitive payment information with cybercriminals.

What Is This Scam?
Scammers impersonate representatives from trusted financial institutions, claiming there is suspicious activity on the victim’s account. They convince individuals to download a fraudulent app, which mimics the institution’s official application. Once installed, the app secretly collects payment data from contactless cards when victims are asked to “verify” their payment information. This enables scammers to steal card details for unauthorized transactions.

Example of the Scam:
Paul receives a call from someone claiming to be from his financial institution’s fraud department. The caller warns him of potential unauthorized activity on his account and instructs him to download a “security app” to protect his funds. Trusting the caller, Paul complies and downloads the app, which prompts him to tap his contactless card on his phone for authentication. In doing so, Paul unknowingly shares his card’s payment data, giving scammers the information they need to make unauthorized transactions.

How to Protect Yourself:

• Be wary of unsolicited communications. Be cautious of unexpected calls, emails, or texts asking you to download an app or share personal information.
• Verify before you download. Download apps only from reputable sources like the App Store or Google Play. Double-check the app’s legitimacy by looking for your financial institution’s official branding and reviews.
• Don’t share payment data via apps. Avoid tapping your card or sharing sensitive information unless you initiated the interaction and are certain of the app’s legitimacy.
• Enable account alerts. Set up transaction alerts with your bank or credit union to stay informed of any unusual activity.
• Review statements regularly. Frequently check your account statements for unauthorized transactions and report them immediately.

Steps to Take If You’ve Been Scammed:

• Contact your financial institution. Report the issue to your bank or credit union right away and inform them of the fraudulent app.
• Delete the fake app. Remove the malicious app from your device and run antivirus software to check for additional vulnerabilities.
• Request a new card. Ask your financial institution to issue a new debit or credit card to prevent further unauthorized use.
• Monitor your accounts. Keep an eye on your accounts for any additional fraudulent transactions and report them promptly.

Malicious apps often appear legitimate, but they’re designed with one goal: to steal your personal and financial information. By staying cautious, verifying before you trust, and following these proactive measures, you can protect yourself from falling victim to scams.

Need help protecting your financial information? Contact us today to learn more about safeguarding your accounts and staying one step ahead of scammers. Our experts are ready to assist.