Beware of Scams Targeting Money App Users
Money Transfer Application The Cash App distributes money on Fridays. If you follow the business on Twitter or Instagram, you may have signed in by replying to the #CashAppFriday message with your user ID for the app.
But it could make you a target for scammers, according to a new report by Benjamin Powers in The Daily Dot.
Scammers open social media or Cash App accounts with the company’s branding, Powers said. The person behind the account will send direct messages to people who entered the #CashAppFriday contest that they won but must pay a commission before they can submit a prize.
Other scammers are reaching out to Cash App users by offering a “flip” to convert their small deposit into a larger amount. In one case, Powers sent $ 20 from his app for a promise of $ 200 in return. As soon as he sent $ 20, he was blocked.
Powers said his experiment in attracting fraudsters could be more serious for a person pinning their hopes on these pranks:
I deliberately went to the scam Twitter to see how it works. But I also don’t post all the time on #CashAppFriday trying to be randomly selected or in a dire financial situation. I am also very online and more knowledgeable about these schemes. This is not the case for everyone, and if all of these people gather under a repetitive hashtag that encourages people to express their interest in money (and sometimes despair), it has consequences.
The Cash App, which is owned by Square, actually gives out rewards to users, but individual winnings are probably not a big surprise. The app often reports that randomly selected users can win $ 100, $ 250, or $ 500, but Powers ‘study of the winners’ responses to contest messages seems to indicate that a $ 5 prize is more likely.
How to avoid money transfer app scams
The Cash App support website asks users to report any suspicious messages, emails, tests, or phone calls on social media regarding the app:
None of the Cash App representatives will ever ask for your login code over the phone, on social media, or through any other means. If you think you are a victim of phishing, please immediately change your Cash app PIN and report the incident.
It also notes that customers cannot call a phone number to get support for the app.
Aside from the Cash app’s recommendations, the FTC warns that you should never transfer money to someone you haven’t met.