While some of us keep a keen eye peeled for Santa, he’s not the only one coming to town this time of year – so too are the scammers.
One of the most common fraud tactics we currently see involves e-transfer scams, where criminals trick people into sending money online. They don’t break-in or steal it, they simply trick someone into handing (sending) over their money.
How do these scams work? Fraudsters may pose as legitimate companies, friends, or even government agencies. They often send convincing messages urging immediate action, like claiming you’ve won a prize, need to pay a bill, or fix a banking issue. These scams target anyone using online banking, so it’s important to stay aware and cautious.
Why do they increase during the holidays? The surge in online shopping, holiday promotions, and digital gift-giving creates more opportunities for scams. Scammers exploit the season’s urgency and generosity, knowing people may be more likely to act quickly without verifying details.
Here are some essential tips to keep your finances secure:
- Only Send Money to People You Trust: E-transfers should be used only with trusted contacts. If you receive a transfer request from someone unexpected, you should very likely ignore it. No legitimate company or service (or friend) will ask you for money before having made proper communication with you first.
- Use Strong Security Questions and Answers: When setting up an e-transfer, choose security questions and answers that are not easy to guess. Avoid common answers like birthdays, pet names, or anything that can be found on social media.
- Be Wary of Phishing Scams: Fraudsters may send emails or text messages requesting money, that appear to be from legitimate financial institutions. Look out for:
- Urgent language prompting immediate action.
- Spelling mistakes or unfamiliar sender addresses.
- Links directing you to unknown websites.
- Enable Auto-Deposit: Most financial institutions, including StellerVista Credit Union, offer auto-deposit. This feature automatically deposits e-transfers into your account, bypassing the need for security questions and reducing the risk of interception.
- Monitor Your Account Regularly and Use Alerts: Check your account activity frequently to spot any unauthorized transactions. You can setup MemberDirect Alerts for real-time updates, by text or email, on transactions in you account as they happen.
- Stay Updated on Fraud Prevention: Keep up with fraud alerts from trusted sources like StellerVista, Interac, and law enforcement agencies. Being aware of the latest scams helps you stay one step ahead. Since you’re still here reading – you’re on the right track.
Happy holidays everyone – and stay diligent out there!
