Protect Yourself from Payment App Scams

Payment apps like Venmo and CashApp make it easy to send and receive money, but scammers are using them to fleece victims. Find out how the scams work and how to stay safe!

Payment apps offer users the ability to effortlessly send payments to friends, making it easy to split the tab at a shared meal, buy a present for a mutual friend and quickly pay back a small loan. Unfortunately, though, scammers are using these apps to cheat people out of their money.

Here’s all you need to know about payment app scams and how to protect yourself from being the next victim.

How the scam plays out

There are several variations of the mobile payment app scam, most of which involve the scammer hijacking the victim’s linked checking account or credit card and using it to pay for their own purchases. Now, though, with the COVID-19 pandemic changing people’s attitudes toward money, there is another, more nefarious scam being played out through mobile payment apps.

In this trending scam, a payment app user is invited to participate in a contest on Twitter or another social media platform. The host of the contest is giving away a bundle of cash to one lucky winner as a way of helping them through the economic downturn caused by COVID-19.

After entering the contest, the victim receives a message informing them that they’ve won the giveaway — but they need to pay a small fee to verify their account and, later, receive their cash prize. Thrilled to be the winner and suspecting nothing unusual, the victim will gladly pay the fee and wait for their big payday. Unfortunately, though, the money never lands in their account, and they won’t see the funds they used to pay the “fee” ever again.

In the above scenario, the contest the victim entered may actually be authentic, but the follow-up post they’ve received is the work of a scammer.

Sometimes, the victim has not entered any contests but receives a message appearing to be sent directly from the payment app informing them they’ve been randomly chosen to win a cash prize — with a small processing fee attached.

Other times, scammers take the ruse one step further. After asking the victim to send the fee via mobile payment app, the scammer hacks the victim’s linked account or credit card and uses it to make their own expensive purchases.

Scammers use keywords like #coronavirus and #emergencyfunds to make their social media posts appear authentic; their efforts often pay off.

“My goal is to help those in need,” one scammer in Florida wrote. “Your deposit allows us to immediately send you your payment.”

The scam can be pulled off through any payment app, but is especially popular with Cash App users who are familiar with the app’s “Cash App Fridays.”  To the unsuspecting victim, the new freebies seem like an extension of the app’s existing giveaways.

Likewise, the scam can be executed through several social media platforms, but is most commonly found on Twitter. The social media giant is a popular host for contests of this sort, and another cash giveaway hardly stands out. The “Retweet” culture on Twitter also makes it easy for scammers to pick up on a legitimate contest and choose a participant to target.

“This behavior is absolutely against our rules and outlined as such here,” Twitter spokesperson Lauren Alexander wrote in an email. “Users who see such scams should go to the ‘Suspicious and Spam’ category to report the scam.”

Protect yourself

Luckily, you don’t need to give up on the convenience of mobile payment apps just yet. Protect yourself from this scam by learning about the medium used to pull it off and how to recognize the scam’s red flags.

Here’s what you need to know about Cash App and other mobile payment apps:

• Cash App will never ask customers to send it money as a “processing fee” or for “verification.”
• Cash App will not ask users to share their PIN or sign-in code outside the app.
• Cash App currently has only two official Twitter accounts, @cashapp and @cashsupport, both of which have blue, verified check marks. If you receive a tweet from another account appearing to be from the app, it is likely bogus.

If a post or tweet looks suspicious, don’t take any chances; ignore it and move on.

If you believe you have fallen victim to a mobile payment app scam, contact the app’s support through the app or website. If the scam is reported early enough, they may be able to reverse the transaction. You can also report the scam to the FTC at ftc.gov  and let your friends know about the circulating scam so they don’t fall victim to it themselves.

Mobile payment apps make transferring money easy, but they also make it easy for scammers to con victims out of their money. Stay alert and practice caution to keep your money safe.

 

The Back to School Guide for these Unconventional Times

Back-to-school season is traditionally marked by a run on discounted pencils, overcrowded malls and lots of nail-biting nerves about new teachers. But this year, the back-to-school season is entirely different. Forget the crowds and a race to find the hottest-selling backpack. This year, it’s all about the trendiest face masks and getting ready for a school year that promises to be unlike any other. And for a child, that can be more than a little frightening.

As with every transition, proper mindset and preparation is key to smoothing out the inevitable bumps and hurdles. Whether your school district is starting off the year exclusively with distance learning, going back to in-person learning five days a week or they’ve settled on something in between, we’ve got you covered.

Here’s our complete guide to helping you prepare your child for the new school year in these unconventional times.

Talk to your child about what to expect

The more your child knows about the dynamics of the upcoming school year, the better off they’ll be. As the situation evolves, and you learn more details about the year’s schooling, speak to your child about what to expect. If your school’s administration has decided to continue in-person instruction with daily temperature checks, let your child know to expect them. If the school year will start off with remote learning and tentative plans for returning to in-person instruction in January, share this information with your child. The more your child knows, the easier it will be for them to handle changes as events unfold.

Create a back-from-school protocol to keep your home safe

If your child will be going to school full-time, or even partially, it’s important to establish a sanitizing ritual for them to adhere to when they walk through the front door after each day of school.

“When children return from school, they should immediately sanitize their hands,” advises board-certified pediatrician, Dr. Candice W. Jones. “Once at home, at the very least, they should remove clothes/shoes and place them in the laundry, or in a designated safe place for disinfecting. A shower would be great, but is not absolutely necessary.”

Talk to your child about this daily disinfecting routine, and run a practice round or two to make it easier to remember when school starts.

 Zooming in on remote schooling

Many states and school districts have announced the continuation of distance learning for the start of the new school year. If the idea of sitting your child down in front of the screen for hours at a time again makes your head spin, it’s time to rethink your strategy. Dr. Linda Carling, an associate research scientist at Johns Hopkins University, shares these tips for helping children succeed at remote learning:

• Encourage movement. Squeeze in some stretching breaks throughout the school day and pencil in larger chunks of time for longer exercises, like a bike ride around the block. If your child finds it particularly difficult to sit still for long periods of time, set up a tablet or laptop on a raised surface and have your child stand through their classes.
• Reduce distractions. Create a distraction-free zone for your child’s learning to help boost their focus. Noise-canceling headphones can also be helpful to drown out auditory distractions.
• Adjust your schedule as needed.  Many younger children need constant or intermittent guidance to help them with their remote learning. If possible, adjust your own schedule so you can be on hand to help your child as necessary.
• Use a checklist for focus. A basic visual checklist of tasks that need to be completed can help children focus. Draw up the checklist with your child at the beginning of each day and have them cross off tasks as they’re completed.
• Provide immediate positive feedback. Each time your child successfully follows instructions, provide immediate and positive feedback. You can keep it small, from a sticker on their work assignment or words of praise to an extra 15 minutes of play before bedtime.

Help your child prepare for face mask wearing while at school

School supply lists are looking very different this year, with “face masks” penciled in right next to “erasers” and “glue.” But having your child wear a mask for hours on end while sitting through school can sound next to impossible.

To help your child prepare for face mask wearing while at school, it’s best to model positivity.

It’s no secret that kids mimic the adults in their lives. Though you may find it difficult to wear a mask yourself, you can help your child build up a positive attitude about mask-wearing by talking about how your mask is keeping you and others safe, as well as how the discomfort is a small price to pay for safety.

It’s also a good idea to practice mask-wearing at home. This will serve the dual purpose of getting your child accustomed to wearing a mask, and help to ensure your child is wearing it correctly before school starts. If your child is particularly resistant to wearing a mask, you may want to employ some strategies, like having them wear the mask for the length of their favorite song, or playing dress-up as a doctor or your child’s favorite superhero.

For the sensory child, face masks can be a nightmare. Make it easier by finding the style that is most comfortable for your child, whether that’s a classic ear-loop mask, a bandanna style covering, or a neck gaiter. Extenders or button headbands can also be a welcome relief for irritated ears.

Finally, make masks fun again by choosing a child-friendly pattern. You can go with these adorable bear face masks from Amazon, have your child design their own mask on Etsy,  choose an extra breathable and lightweight mask from Athleta or pick out a mask featuring your child’s favorite movie character from Disney.

Get the school year off to a great start with these preparatory tips for you and your child.