Scam Alert: How To Spot Fake Payments And Money Scams That Could Cost You

As digital payments become more common, scammers have found new ways to target victims. Fake payment requests are being used by scammers to deceive victims into sending money or divulging personal information. These scams may appear genuine, but if you're not attentive, they could cause significant financial losses. The best ways to protect against these scams is to be vigilant and aware of them.

Five Common Money Scams You Should Be Aware Of

1. Fake Money Transfer

You might get an email or message stating that a large sum of money was mistakenly deposited into your bank account. Someone could also pretend to be from your bank and call you, demanding that you return the money immediately. While no transfer has taken place and if you send money back, you are only sending your own funds to the scammer.

How to Protect Yourself:

To avoid this scam, always double-check your bank account balance and transaction history before taking any action. If you receive a message or call about money being mistakenly transferred, contact your bank directly using their official contact details (not the ones provided in the message). Do not act on urgent requests or return money without confirmation from your bank.

2. Fake Tax Refunds

In order to process a tax return, you may receive fake notifications claiming to be from tax officials, stating that you are eligible for a refund and asking for personal information, such as bank account numbers or Aadhar details. Once they have your information they may use it to steal money or commit identity theft.

How to Protect Yourself:

Be wary of unsolicited calls, emails, or messages regarding tax refunds. Bank account information is never requested by the tax department by email or phone. If you get such a message, visit the official tax website or contact their customer service directly to verify. Don’t click on any links or download attachments from these messages.

3. Fraudulent Credit Card Transaction

Scammers pose as representatives of credit card companies in this scam, claiming that your account has a suspicious transaction on it. They might ask for verification of information such as your card number, OTP, or CVV. Once you provide them this information, the scammers can use it to move money out of your account and make illegal transactions.

How to Protect Yourself:

If you receive a call about a suspicious credit card transaction, do not share any personal information over the phone. Credit card companies will never ask for details like your CVV, PIN, or OTP. Always hang up and call your bank or credit card provider using the number on the back of your card to verify any claims. Additionally, be mindful of SMS alerts for transactions that you did not make and report them immediately.

4. QR Code Scams

You might get QR codes claiming to give special discounts or promotions via social media, SMS, or email after making a transaction. Scanning these codes may lead you to fraudulent websites that steal your personal and financial information. Always verify the source and ensure the QR code is legitimate before scanning.

How to Protect Yourself:

Always verify the origins of a QR code before scanning it. Be cautious when scanning codes from unsolicited or unknown messages, especially those that promote discounts or financial transactions. When making payments, make sure the URL is safe and originates from a trustworthy source. It is safer to manually write the URL instead of scanning QR codes from unidentified sources.

5. Fake Bill Payment Scams

You may receive messages saying that your bill payment is due, which often look to be valid reminders from utility providers, subscriptions, or other organizations. These fake bill payment links encourage you to make an immediate payment but lead you to fraudulent websites designed to steal your financial information.

How to Protect Yourself: Always verify payment requests by visiting the official website of the service provider directly. Avoid clicking on links from unsolicited messages or emails. If you receive an urgent payment demand, contact the company using official contact details to confirm the bill’s authenticity before making any payment.