ABA today 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.