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5 Things Fraudsters Do To Siphon Off Your Money

5 Things Fraudsters Do To Siphon Off Your Money
Stock Market4 min read
We live in a world where it has become incredibly easy to use technology across devices for anything: from making a transfer of funds to another account to shopping grocery online. But just as technology gets more sophisticated and user-friendly, there are those who are using it to get the better of you and siphon off your funds. How do you tackle this menace? The first step is to be aware.

One needs to remember that fraudsters are trying their best to get the better of gullible customers. And tricks that they use often sound so authentic that anyone would fall for it. To help you avoid falling into their traps, we have compiled a list of five things that should set the alarm bells ringing in your head.
  1. Fake calls, text messages or email
If you receive a call or a text message from an individual who claims to be an executive of your bank and asks for your “full disclosure” with your four digit debit card number or your online passwords to access your bank account, get alarmed. No bank executive, tele caller or anybody remotely related to the banking operations is authorized to seek such information.
  1. Sending an executive home
If someone turns up at your doorstep posing as a bank employee, and asks for your debit card or credit card with the intention of “replacing it”, do not hand it over and disclose any passwords. The official identification that the so called employee will show you is going to be a fake one. Be aware of the fact that when a bank intends to replace your card, it corresponds with you directly and sends you the said card by a trusted courier service. Till such time you are using your old card, do not make the mistake of handing it over to anyone posing a representative of your bank or credit card issuer. When you receive your new card, please dispose the old one properly. Make sure to scratch out the CVV number and cut up the card diagonally so that the magnetic strip cannot be used any further.
  1. Tax refund mails from RBI
Have you ever received a mail from the RBI that claims that your tax refund has been processed and in order to receive it you need to provide your credit card number and CVV code to access it? Or you need to provide an online banking password in order to receive the refund. Such mails are nothing but a hoax; neither RBI nor IT department ever asks for your credit card details or passwords. In fact, the RBI never corresponds directly with any bank customer in the first place. Once you have followed the required procedure for filing your returns, your refund automatically gets credited to your bank account or you get a cheque from the IT department.
  1. “Test” Transaction Online
Fraudsters may also pose as bank employees and ask you to carry out a test transaction online because of a “technical glitch” on the bank website. This should once again raise alarm in your mind, because a bank would never require you to carry out any such transaction. In case there is indeed a problem or a technical glitch, which you will come to know of in case you need to carry out an online transaction. The bank will never proactively inform you about such glitches and ask you to make a test transaction to nullify the same.
  1. Authorize a bank official to transfer funds into a new account
This is perhaps the most worrisome of them all, when a criminal himself calls to warn you against a “possible criminal attack” on your account. As a result, he may say that a new account has been created in your name where you can transfer your funds immediately in order to keep your money safe, and before you know it, you have actually transferred all your funds into the criminal’s account. Needless to say, this is something that your bank would never do.

In fact, in order to tackle this menace, most banks have put in adequate checks and balances in place. Therefore, when there is any extraordinary transaction that is noted online or on your card, you either receive a call from the bank’s end or get a text messages or email asking you if you have indeed made such a transaction. If the answer is in the affirmative, there is no reason to worry. But in case it’s a fraudulent transaction, you will be notified immediately.

While the banks and credit card issuers are trying their best to provide a safe and secure environment for you to carry out transactions, on your part, you too should be aware of the kind of frauds that people fall prey to. In case of any such call, message, email or home visit, as mentioned earlier, does not comply with what the so called “official” says. Never give out any personal information regarding your account, passwords either online or offline. If you are an informed citizen and a proactive banking customer, there is little that these fraudsters can do to harm you.

About the author: Rajiv Raj is the director and co-founder