Online banking fraud occurs when unauthorized individuals gain access to your bank account and use it for fraudulent activities. Becoming a victim of online banking fraud can be stressful and financially painful, opening the door to damaged credit scores and identity theft.
Check out some common types online banking fraud to help keep your accounts safe.
Most common types of online banking scams
Online banking scams come in various forms, such as phishing emails, fake websites, and social engineering tactics. Most of these scams display themselves as a matter of urgency, prompting victims to take immediate action without thinking through the consequences.
Social media impersonation
In this type of scam, fraudsters create fake social media accounts, impersonating legitimate companies. They then use these accounts to deceive unsuspecting victims into providing their personal or bank details.
MoneyLion will never reach out via social media to request personal login information through these channels. Our official social media account also has a blue verified checkmark. This checkmark confirms the legitimacy of our accounts, so beware of any other account name without the checkmark.
Fraudsters can use email, text messages, or phone calls to trick victims into providing personal information. Phishing scams often contain urgent requests to update account information or verify a transaction.
In other instances, the scammer may pose as a trusted person, such as a bank representative or government official, to trick victims into providing personal or financial information.
False winnings or special offer
Online banking scammers may also contact victims via email, phone, or social media, informing them that they have won a prize or special offer. The victim is then asked to provide personal and bank information to claim the prize.
MoneyLion offers promos, bonuses, or sweepstakes from time to time. Always verify that you’re communicating with MoneyLion through an official channel. If you’re skeptical, you can always reach out to MoneyLion support to validate a winning is accurate.
9 online banking fraud prevention tips
Cybercriminals are becoming more sophisticated in their tactics and can easily trick unsuspecting victims into giving away their personal and financial information. Fraudsters can target anyone, so follow these tips to help protect yourself.
Verify who you’re speaking with
MoneyLion will never ask for account login information via phone calls, text messages, or emails. Even if the person claiming seems legitimate, it’s always best to contact MoneyLion directly to confirm requests for your login information.
Never share passwords or log-in credentials
Keep your password confidential and never share it with anyone, including your close friends or relatives. If you suspect that your password at MoneyLion has been compromised, change it immediately and notify us.
Be suspicious of urgent requests
If you receive a message that says something like “you need to make a payment now or risk foreclosure,” take a moment to pause and verify the request. Don’t let scammers take advantage of you by rushing you into a decision.
Create strong passwords
Creating strong passwords will also help protect you from fraud. If allowed, your passwords should be a minimum of 12 characters and include a mix of uppercase and lowercase letters, numbers, and symbols.
Enable two-factor authentication or biometrics
Two-factor authentication is an extra layer of security that requires you to confirm your identity. MoneyLion will request two-factor authentication in certain circumstances to help protect your account.
Use public Wi-Fi with caution
Hackers can easily set up fake Wi-Fi networks, so only connect to networks that you trust when accessing your online banking account.
Don’t open links in emails or texts
Sometimes, fraudsters will send you an email or text that looks like it’s from your financial institution. The message might say there’s a problem with your account or ask you to click on a link to update your information. If you get one of these messages, don’t click on the link. Instead, go to your bank account website and log in to your account from there.
Install anti-virus and spyware protection
Scammers might install malware on your computer without your knowledge. Anti-virus software is used to scan your computer for any malicious software and if found, can help remove it.
Monitor your account regularly
Keeping track of your account can help identify unauthorized transactions. It will make it easier to detect fraud immediately when it occurs and take the necessary action.
Safeguarding Your Finances in the Digital Age
Online banking fraud is a growing concern, and anyone can be a victim. Scammers are constantly evolving their tactics, making it more difficult for even the most vigilant of us to avoid falling victim. Recovering lost assets can also be a time-consuming and frustrating process, and in some cases, may not be possible at all.
If something feels off, you can always reach out to the MoneyLion support team to verify if it’s legitimate.
What should I do if I suspect I am a victim of online banking fraud?
If you suspect that you are a victim of online banking fraud, the first step is to contact your bank. Your bank will be able to flag your account if necessary and they will tell inform you of the next steps to help minimize your loss
How can I protect myself from online banking fraud?
You can help protect yourself from online banking fraud by using strong passwords, never sharing log-in credentials, verifying that you are speaking with an authorized representative and using two-factor authentication.