Cash Tool is being used by thieves and fraudsters to steal cash, rising concerns regarding how safe this contactless payment app can be.
Is Cash App secure?
As people abandon cash in the aftermath of the Coronavirus, money-transfer apps like Cash App have surged in popularity but scams on these apps are also on the rise. While fraudsters are cunning and persuasive, their schemes tend to have characteristics that make them simpler to recognise.Here are the dangers of utilising Cash App, as well as how to avoid frequent Cash App scams that could put you, your information, and your money at risk. Understand how to recognise phishing emails, area code phone scams, eBay scams, phone call scams, and online shopping scams to protect your money and personal information from crooks.
Cash App’s safety structures
Cash App is a safe and convenient way to send money to friends, family, and companies in most circumstances. According to Eva Velasquez, president and CEO of the Identity Theft Resource Center, “Cash App is not intrinsically more or less safe than other authorised peer-to-peer payment apps like Venmo and Zelle.”Cash App also includes several security features not found in other money-transfer apps, such as an AI-driven function that detects possible scams, text messages warning customers of an unusual login attempt, and a prompt requiring users to confirm a money transfer to someone who is not on their contact list.You may be certain that there’s nothing wrong with using Funds App to transfer cash in a pinch, especially when your credit card isn’t an option.
Dangers of using Cash App
Although Cash App takes efforts to secure its users, Velasquez believes that “how consumers engage with the technology can make all the difference.” Scammers frequently prey on consumers who use Cash App as a bank or who are prepared to send money to strangers.Furthermore, unlike payments made with a standard credit or debit card, transfers made using Cash App are not safeguarded against fraud or theft. It’s nearly impossible to get money back once it’s been transferred because Currency App regards money like cash. It’s best to learn how to recognise these common Cash App frauds before your money is stolen.Other contactless payment apps, such as Apple Pay, Google Pay, and Venmo, are also at risk of being hacked.
The most communal Cash App scams
1. Imitating customer support
Cash App does not provide live customer service and instead encourages users to utilise the app to report any difficulties, including fraud and scams. Scammers impersonating Cash App employees have deceived many Cash App users through texts, phone calls, and social media direct messages.These criminals create bogus websites with phoney Cash Support phone numbers that victims mistake for real when they appear in a Google search. Cash App customers across the country have been conned out of thousands of dollars by scammers posing as Cash App representatives, according to the Better Business Bureau.
Be wary of anyone who asks for private information such as your sign-in code or Cash App PIN when you call customer service. According to the Cash App website, “Cash Support will never ask you for your sign-in code, PIN, or other sensitive information like your bank account info.”“Cash Support will never ask you to send a sum, buy it, download any “remote access” application, or complete any type of “test” transaction.” Adam Gordon, an ITProTVEdutainer, suggests going straight to Cash App’s website to find the customer support phone number or reporting the problem through the app.
2. False #CashAppFriday offers
Cash App holds an official sweepstakes every Friday in which customers can win cash prizes. However, dozens of false Cash App Friday events have cropped up on Facebook, Instagram, and other social media platforms, all of which use the official #CashAppFridaymarketing hashtag.Scammers will set up fake raffles and send messages to users requesting them to send money via Cash App or share their login credentials in exchange for a chance to win. Users may send money or information, but they are never rewarded.
Gordon recommends two times-checking that the link to put that comes from the confirmed Cash App Twitter account that has a blue checkmark alongside the username. You should also avoid these other organisations and brands, which are frequently imitated by scammers.
3. Deceiving COVID-19 programs
The corona virus pandemic has aided cyber criminals in their attempts to defraud Cash App users of their funds. According to the Federal Trade Commission, fraud complaints on Cash App have increased by 472 percent during the pandemic.According to Velasquez, some fraudsters create phoney grant or relief programmes that require payment or advance fees in order to receive benefits, while others advertise phoney lottery or giveaway scams that claim you’ve won a prize for being vaccinated.
While she admits that “it sounds believablesince there use to begenuine lotteries in several states,” there is one major red flag: these con artists will ask for personal information and financial information, as well as payment of taxes or fees in advance. If an offer appears to be bogus, Velasquez advises calling the organization’s official phone number to confirm.If someone claiming to be a state or federal government employee asks you for personal account information, it’s a sign you’re falling for one of these other coronavirus scams.
4. Cash flipping
When it comes to Cash App scams, Gordon says one rule of thumb applies: if it seems too good to be true, it probably is. One popular social media scam, for example, promises to increase or “flip” your money if you first send them money via Cash App.They claim that if you send them $10 to $1000, they will return double or triple the amount you sent. Another common Cash App scam asks you to send a specific amount of money in exchange for a higher rate from other people in the circle. These scams, also known as a cash wheel, money circle, or pyramid scheme, are designed to ensure that you will not ever receive any money back.
To avoid being duped by one of these con artists, Gordon advises that “your first line of defence is to not send money to people you do not know.” No matter how good a deal it appears to be, only conduct business with people you know and trust. Also, learn how to spot phoney donation scams.
5. Selling lavish items through Cash App
You should never agree to pay for something with Cash App, whether it’s a purebred puppy, a new apartment lease, or a concert ticket for a sold-out show. Because scammers are aware that Cash App does not provide buyer protection, they are more likely to ask their victims to use the app to pay for fake items.Once the unsuspecting users have paid the fees, the con artists will vanish without returning the items.
Cash App advises against sending money to someone you don’t know without first confirming the item’s legitimacy. If you believe you’ve been duped on Cash App, you can dispute the charge by selecting the transaction and tapping “…” —> Dispute this Transaction if you require assistance or Cash App support.The Cash App team will look into your claim, but Gordon warns that there’s no guarantee you’ll get your money back. Limiting your transactions to close friends and family members or keeping a few dollars in your wallet for times when paying in cash is preferable will keep your money safe.
Way to be safe if scammed
According to Cash App’s website, if you believe you have been a target of a Cash App scam, you must report the incidentimmediately to Cash Support and stop communicating with the scammer. If you lose money, Velasquez recommends reporting it to the Federal Trade Commission (FTC) and the Internet Crime Complaint Center (IC3).You should also take steps to protect your other accounts by changing your Cash App account password, which includes choosing a unique password with at least 12 characters, using a different password for each account, and saving all passwords in a password manager. Invest in one of the most secure phones to avoid future security issues.