Don't Fall for Bank Impersonation Scams: How to Protect Your Money
Scammers are becoming more sophisticated, and one of the fastest-growing threats today is the bank impersonation scam. According to the Federal Trade Commission (FTC), consumers lose more money to bank impersonation scams than any other type of impersonation fraud. In many cases, victims lose the entire balance of their accounts.
The good news is that these scams can often be avoided if you know what to watch for.
How the Scam Works
A scammer may call or text pretending to be from your bank. They often create a sense of urgency by claiming:
- Your account has suspicious activity.
- A fraudulent transaction has been detected.
- Your debit card has been compromised.
- Immediate action is required to protect your money.
The scammer's goal is to get you to act before you have time to think. They may ask you to:
- Verify your account information.
- Share passwords, PINs, or security codes.
- Confirm personal information.
- Transfer your money to a "safe" account.
- Convert your funds into cryptocurrency or gold for "protection."
No matter how convincing the story sounds, these are scams.
Remember This Important Rule
A legitimate bank will never call or text you and ask you to move your money to protect it.
If anyone pressures you to transfer funds, purchase cryptocurrency, buy gift cards, or send money elsewhere to "secure" your account, you can be confident you're dealing with a scammer.
How to Protect Yourself
If you receive a suspicious call or text claiming to be from your bank:
- Hang up immediately.
- Call your bank directly.
- Do not click links in unexpected text messages.
- Never provide account numbers, passwords, PINs, Social Security numbers, or one-time verification codes over the phone or by text.
- Be cautious of calls from unfamiliar numbers, even if caller ID appears legitimate. Scammers can spoof phone numbers.
A Common Scam Example
You may receive an automated call like this:
"Hello, this is Coinbase's automated security system. We are reaching out regarding a password change request for your account. If this was not you, press 1."
Pressing a button often connects you directly to a scammer posing as a security representative. They then attempt to convince you to provide personal information or move your money.
What the FCC Is Doing
The Federal Communications Commission (FCC) continues to crack down on illegal robocalls and impersonation scams. Recent efforts include:
- Taking enforcement action against phone providers that allow scam calls on their networks.
- Proposing millions of dollars in fines against providers that fail to stop fraudulent calls.
- Expanding requirements for phone companies to verify customers and block illegal traffic.
- Ensuring that all voice service providers are doing their part to identify and block bad traffic so it never reaches your phone.
While these efforts are making a difference, scammers continue to adapt, making consumer awareness one of the strongest defenses.
Stay Alert
Scammers rely on fear and urgency. If someone claims your money is at risk and demands immediate action, pause before responding.
Take a moment to verify the situation by contacting your bank directly through a trusted phone number. A few extra minutes could prevent a devastating financial loss.
At Embassy National Bank, protecting our customers is one of our highest priorities. If you ever receive a suspicious call or message claiming to be from us, contact us directly before taking any action. We're always happy to help you determine whether a communication is legitimate.
