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Person-to-Person Payment Fraud on the Rise

As the world continues a consumer shift to managing money online, staying ahead of fraudsters looking to take advantage of others is a moving target. Recently there has been an uptick in fraud targeting person-to-person payment services like Zelle.

Zelle was created by multiple large banks to enable instant digital money transfers. It is embedded in banking apps and is currently the most widely used money transfer service. Due to its immediacy, it is also a favorite of fraudsters. Typically, digital payment platforms take one to two days to process transfers. With Zelle, the transfer is immediate which means instant access for fraudsters to potentially siphon thousands of dollars in seconds. There is no way for customers - and in many cases, the banks themselves - to retrieve the money.

As always, the protection of our customers is our top priority. We want to prevent this from happening, so we have some helpful tips and information about how consumers can protect themselves.

You should never send money using Zelle, or any digital payment platform, to:

  • Anyone claiming to be from a government agency
  • Anyone who you do not know, no matter the reasoning they may give
  • A telemarketer trying to sell you something
  • Anyone claiming your account has been compromised
  • Unauthorized, unverified cryptocurrency sites or salespeople
  • Anyone asking you to send money to yourself

Protect your personal accounts by:

  • Always protecting your card and PIN number. Be sure it is not easily guessable and remember that our Vision Bank team will never ask for it.
  • Setup 2-factor authentication (multiple ways to identify yourself) with the companies you work with to help keep your devices and money secure.
  • If you get a suspicious call, always verify who you are speaking to. Never give personal information or confidential information until you verify it is from a legitimate source.

If you have been a victim of person-to-person payment fraud, in any way, contact your bank and report the loss of funds as soon as possible.

For more information on how to protect your personal accounts and information, check out our article on Scam & Fraud Prevention Strategies