Today, in the digital world, banking fraud and scams have become very common. The government and regulatory bodies have made several attempts, yet the frequency of banking scams has remained the same. These days, fraudsters use anything from phony identities to web viruses to break into someone’s bank account and steal their hard-earned money in seconds. So, before choosing a UPI earning app, knowing various types of scams can help you stay safe when using your bank account. Below, you can see the kinds of bank scams every bank user must know:

Automatic Withdrawal Scams

One of the most prevalent types of bank fraud is automated withdrawal methods. In this type of fraud, you can receive a call, SMS, postcard, or other communication telling you that you have won something or have an amazing opportunity. Afterward, the scammer will request the bank account information and the phone numbers below the payment.

When the scammer obtains the financial information, they file it with the bank as a demand draft. As soon as the bank receives it, it transfers the entire amount from your account to the scammer.

Phishing Attacks

Phishing assaults, which include phone calls, texts, and phony emails, can yield login passwords. An individual pretending to be a bank employee typically targets and deceives the account holder into disclosing account information.

However, bank workers are also susceptible to phishing scams. One such issue that is becoming more prevalent is call center fraud. Rather than impersonating the bank and reaching out to the account holder, the attacker assumes the account holder’s identity and attempts to get account information through the bank’s call center.

Accounting Scams

A financial organization commits an accounting scam when it purposefully misrepresents its financial situation or intentionally leaves out key facts. Manipulating a bank’s financial accounts to make them look more prosperous than they are is one way this fraud can be carried out. Misuse of funds from bank accounts may also be a part of it. So, after choosing Upi enabled app, you should be aware of this scam and follow the proper bank safety measures.

Phone Call Scam

Important information like your login credentials, username, transaction passwords, card PINs, OTPs, CVVs, URNs, grid card values, and personal information like your birthdate or mother’s maiden name can be obtained by scammers over the phone. Fraudsters frequently spoof bank employees to trick you into revealing personal and financial information. When someone calls and asks for your personal information, you must refuse to give them any of it over the phone.

Cheque Kiting

Chequekiting is a fraudulent practice that manipulates the time interval between writing and clearing a check. A thief will transfer funds into another account after writing a check for an amount they know is not in the account. Before the first check bounces for lack of funds, the criminal will take the funds from the other account once the check has been accepted. This type of fraud entails using documents that have been misrepresented or faked.

Wrapping It Up

There has been online and offline financial fraud for a long time. Bank fraud continues to strike with a plethora of government and bank-sponsored awareness initiatives. In the era of scan and pay, you should stay cautious with every banking process after opening up a bank account and not disclose any bank details.