Capital one phone number fraud how to#

Capital one phone number fraud how to#

They walk the caller through bogus instructions on how to reverse the unauthorized claims that instead actually transfer money to the criminals.Īnother popular scam starts with a message claiming that your bank account has been compromised and that you need to take action immediately to resolve the problem. When the user replies that they didn't authorize the transfer, the scammer follows up with a phone call pretending to represent the bank and spoofing the financial institution's phone number. Scammers use false claims and representations to get people to unknowingly authorize money transfers.Ī common scam involves an email or text message asking a user to confirm a large, fake Zelle payment. Most of the reported Zelle scams consist of pure social engineering: manipulating people with fraudulent information and scare tactics. Transactions are instant and irreversible once complete, making Zelle very attractive to criminals. Zelle allows users to send money electronically to anyone: All you need is a recipient's email address or US phone number to transfer funds. Customers whose banks don't support Zelle can connect a debit card with the Zelle app. In 2021, people sent $490 billion through Zelle.Ĭreated to compete with other electronic payment services like PayPal, Venmo and Cash App, Zelle lets banks handle casual electronic transfers without paying any fees to third parties.

It charges no fees and works with almost 1,500 banks and credit unions. Zelle is a peer-to-peer, or P2P, payment service created by a consortium of major US banks, including Bank of America, Chase, Capital One and Wells Fargo. Facebook Marketplace has dominated Zelle scam stories lately, prompting a warning from the Better Business Bureau.Ĭountless videos on TikTok explain how Zelle scams work, including an entertaining description of a Facebook Marketplace scam from Tarek Ali: In Florida, a woman just lost $17,000 after a thief called her while spoofing her bank's phone number. Zelle - the peer-to-peer payment service co-owned by seven major American banks - is an easy way to send and receive money for more than 100 million banking customers, but its instant nature and irreversible transactions have made it a major vector for fraud and scams.Įvery week seems to bring a bevy of new Zelle scam stories. The government could mandate more regulations for banks, and continuing fraud might slow Zelle's expansion into retail payments. More than 100 million Americans with Zelle access will be vulnerable to scams until banks offer more fraud protections. Criminals are using the banking payment service Zelle to scam unsuspecting people.