What is Financial Fraud?
Financial fraud is when someone takes your money or assets through deception or criminal activity. Fraud is now a $130 billion global financial issue due to the rise in digital interactions and records. According to the Federal Trade Commission, consumers lost more than $5.8 billion to fraud in 2021. This was a rise of 70% when compared to the previous year.
What are the Types of Financial Fraud?
Cash apps, such as Zelle, Venmo, or PayPal make paying an individual easy when cash is not around. However, it is important to be aware of possible scams that can occur when using these apps. Always make sure you know the person you are paying. Use secure passwords and make sure that you stay signed out of these apps when finished. Never use public wifi when using these types of apps.
Due to the increase in scams occurring through Cash App, Venmo, and Zelle, BHFCU has implemented P2P (peer to peer) transfers through our mobile app and online banking platforms. You can security and easily transfer money to friends and family or account to account. Just make sure you have the right username, phone number, or identifier prior to sending.
If you haven’t already, download the BHFCU Mobile App today!
One out of every 5 individuals over the age of 65 have been a victim of financial fraud. Why are seniors targeted so frequently? Seniors are oftentimes more trusting, typically have financial savings, higher credit scores, and own their home. Elderly fraud can occur in a variety of ways. The FBI has listed some of the more popular scams that target the elderly.
- Tech Support Scams: Criminals pose as a technology support representative and offer to fix non-existent computer issues.
- Grandparent Scams: Criminals pose as a relative claiming to be in financial need.
- Government Impersonation Scams: Criminals pose as government employees and threaten to arrest or prosecute victims unless they provide payment.
- Home Repair Scams: Criminals appear in person and charge homeowners in advance for home improvement services that they never provide.
Phishing is a type of online scam that targets consumers by sending them an e-mail that appears to be from a well-known source. The email may include the companies name, logo, and contact information. One simple way to detect a phishing scam is by checking the email address that the message was sent from. Oftentimes these phishing emails will use a gmail or yahoo account. BHFCU sends out monthly e-blasts to alert members of current promotions or urgent message such as early closings. These messages will come from firstname.lastname@example.org.
Any message sent from Baptist Health Federal Credit Union will end with @baptist-healthfcu.com
Sweetheart Scams typically start with a message from someone you don’t know on a dating app or social media account. The scammer sets up a profile, gets to know you, and then slowly lures you in to sending that person money. They may say they need money to travel and come see you, funds for an emergency, or even personal needs like paying rent. Visit CUInsight for more information on Sweetheart Scams and how to prevent them.
How Can I Protect Myself from Fraud?
BHFCU offers a free credit monitoring program to allow members to monitor their credit score. This program monitors your your credit report daily and informs you if there are any big changes detected such as; a new account being opened, change in address or employment, a delinquency has been reported, or an inquiry has been made. This helps you keep an eye out for identity theft and monitor spending on your credit cards. Sign up for our Free Credit Monitoring today and setup alerts to help protect your accounts from fraud.
2. Review Accounts & Statements
Download the BHFCU app where you can continuously monitor your account activity, turn your debit card “On” and “Off”, message BHFCU directly through the app, and set up security alerts. If you notice any type of fraudulent spending on your account, call us immediately at 501-202-2373!
BHFCU will NEVER call or text you and ask for your personal information. If you are suspicious of a phone call that you have received, hang up and call BHFCU directly at 501-202-2373.
3.Make Sure the Company is Legitimate
Do not send money or give your account information to a company that you did not initiate contact with. Attackers will often reach out by phone, text, or email pretending that there is a problem with your account. Additionally they will pretend to represent a company you may have done business with in the past. Always verify that you know the person or company you are talking to. If you’re concerned, call them back at the company phone number to verify that it is a legitimate call.
4. Make Sure Websites are Secure
Look for the https:// or the security lock in the web address at the top of your internet browser. Never put any type of credit card information into a website that does not include these items as your information may not be secure.
If you think you’ve been a victim of fraud, contact us at 501-202-2373. If you would like more information on the types of common scams, crimes, and how to report them, visit the FBI Website.
Remember, Baptist Health Federal Credit Union is here for you! If you have questions about fraud or fraud prevention, give us a call at 501-202-2373!