Card Cracking: Responding to an online solicitation for “easy money”
Card Cracking
The American Bankers’ Association recently released an infographic containing tips to help bank customers avoid becoming accomplices in a growing “card cracking” scam. Card cracking happens when a fraudster reaches out to a bank customer promising quick cash. The customer provides account credentials to the scammer, who then deposits a fake check in the customer’s account. The fraudster then makes an immediate ATM withdrawal, sharing some of the funds with the customer. Meanwhile, the customer is instructed to report the card or credentials lost or stolen so that the bank will reimburse the stolen money — making the customer a criminal accomplice.
May 19, 2015
The American Bankers’ Association recently released an infographic containing tips to help bank customers avoid becoming accomplices in a growing “card cracking” scam. Card cracking, which originates online on social media platforms and targets young consumers, is estimated to have cost banks $11.6 million in stolen funds.
Card cracking happens when a fraudster reaches out to a bank customer promising quick cash. The customer provides account credentials to the scammer, who then deposits a fake check in the customer’s account. The fraudster then makes an immediate ATM withdrawal, sharing some of the funds with the customer. Meanwhile, the customer is instructed to report the card or credentials lost or stolen so that the bank will reimburse the stolen money — making the customer a criminal accomplice.
To help customers avoid card cracking scams, bankers can advise customers to avoid online solicitations for easy money, never to share an account number or PIN, never to file a false fraud claim with a bank and to report suspicious social media posts connected to scams.
To help consumers avoid involvement in this scam, ABA is offering the following tips:
* Do not respond to online solicitations for “easy money.” Card cracking advertisements will suggest that this is a quick, safe way to earn extra cash. Keep in mind that easy money is rarely legal money.
* Never share your account and PIN number. Keep this information private at all times. By sharing it with others, you expose yourself to potential fraud.
* Do not file false fraud claims with your bank. By filing a false claim, you are a co-conspirator to fraud. Banks’ detection techniques for card cracking are constantly improving and suspicious claims will be investigated.
* Report suspicious posts linked with scams. If you notice postings that appear to be linked with a possible scam, report them to the social media site. There is usually a drop down menu near the post to allow for easy reporting.
Read more at aba.com
