Person-to person (P2P) payment apps such as Cash App, Venmo and Apple Cash are a popular way to transfer money between friends and family. With a few taps on your mobile device, you can send money to people instantly.
Unfortunately, the speed and convenience of payment apps mean they're also popular among scammers looking for a quick payday.
How can you use payment apps safely? Follow these “dos and don'ts":
DO Verify Information Before Sending Someone Money Double (or triple) check the recipient's username, phone number and/or email address before sending them money. Because most payment apps offer limited fraud protection, it's often difficult to get your money back if you accidentally send it to the wrong person. Slow down and think of the money you're sending as cash. DON'T Accept Unexpected Payments If money suddenly appears in your account from a stranger, be cautious. Scammers will often use a stolen credit card, claiming they “accidentally" sent the money to you and asking you to send it back. However, when the stolen credit card is later reported for fraud, it's your money on the line. To be safe, don't send the money back, and don't deposit it in your account. Contact the payment app's customer service to have them handle it directly. DO Check Your Accounts at Least Once a WeekThe sooner you know about fraud, the sooner you can take action to fix it and potentially get your money back. This is why you should check your payment app accounts (and other financial accounts) at least once a week. Report any unusual activity immediately. If you no longer use an app, delete your account to prevent hacking. DON'T Share Your Login Information with AnyoneThis tip applies to all your online accounts. Don't respond to emails or text messages urging you to “unlock" or “verify" your account immediately. If your account has actually been compromised, contact the app's customer service directly. To protect your login information, enable additional security settings such as multi-factor authentication and facial recognition to access your account.
Double (or triple) check the recipient's username, phone number and/or email address before sending them money.
Because most payment apps offer limited fraud protection, it's often difficult to get your money back if you accidentally send it to the wrong person. Slow down and think of the money you're sending as cash.
If money suddenly appears in your account from a stranger, be cautious. Scammers will often use a stolen credit card, claiming they “accidentally" sent the money to you and asking you to send it back. However, when the stolen credit card is later reported for fraud, it's your money on the line.
To be safe, don't send the money back, and don't deposit it in your account. Contact the payment app's customer service to have them handle it directly.
The sooner you know about fraud, the sooner you can take action to fix it and potentially get your money back.
This is why you should check your payment app accounts (and other financial accounts) at least once a week. Report any unusual activity immediately. If you no longer use an app, delete your account to prevent hacking.
This tip applies to all your online accounts. Don't respond to emails or text messages urging you to “unlock" or “verify" your account immediately. If your account has actually been compromised, contact the app's customer service directly.
To protect your login information, enable additional security settings such as multi-factor authentication and facial recognition to access your account.
Stay Ahead of the Scammers
Wright-Patt Credit Union is here to help you protect your personal and financial information and avoid becoming a victim of fraud.
For even more helpful and timely fraud prevention tips, tools and resources, visit our fraud education and awareness page.