What is banking fraud?

Banking fraud is a serious issue where criminals gain unauthorised access to your bank account using your personal details and passwords, leading to the theft of your money. This type of fraud can occur through various channels, including internet banking, telephone banking, and mobile phone banking (via apps).

Methods of banking fraud

  • 1
    Internet Banking

    Criminals use online methods to gain access to your banking information, often through phishing emails or malicious websites that trick you into revealing your login details.

  • 2
    Telephone Banking

    Fraudsters may call you, posing as bank representatives or other trusted entities, and manipulate you into providing your personal and financial information.

  • 3
    Mobile Phone Banking

    Using mobile apps, criminals can exploit security weaknesses or use social engineering to gain access to your accounts.

  • 4
    Impersonation

    Criminals may pose as representatives from banks, HMRC, broadband providers, or other trusted organisations to gain your trust.

  • 5
    Mail Interception

    They might intercept your mail to steal sensitive information such as bank statements and credit card details.

  • 6
    Remote Access

    Some fraudsters attempt to gain control of your computer by convincing you to download certain programs under the guise of providing technical support. Once they have access to your computer, they can easily access your bank accounts.

How to spot banking fraud

Being vigilant and recognising the signs of banking fraud can help protect you from becoming a victim. Here are some warning signs:

  • 1
    Changes to Account Details

    If you notice that your account details have been altered and you cannot access your account, it could be a sign of fraud.

  • 2
    Unauthorised Payees and Transactions

    New payees, direct debits, or standing orders that you did not set up are clear indicators of potential fraud. Unfamiliar transactions on your bank statements should also raise immediate concern.

Close up of woman using an online banking app on a mobile

How to protect yourself from bank account fraud

Payment notifications: If you have online banking/apps, set up your notifications to come through whenever you make a payment, so you know when it wasn’t you.

Couriers: Your bank or the police will never send a courier to your home to collect bank cards, cash or other valuables.

Report missing bank cards and cheques: Keep your bank cards and cheques in a safe space. Inform your bank as soon as possible about any missing bank cards or cheques.

Review your financial statements: Check your bank statements regularly and report any unrecognised transactions to your bank immediately.

What to do if you have been a victim of bank account or online banking fraud

If you have made a payment: Inform your bank as soon as possible, they can help you prevent any further losses. Monitor your bank statements regularly for any unusual activity.

Identity theft: If you have shared personal or financial information, and suspect your identity may have been stolen, you can check your credit file quickly and easily online. You should do this every few months anyway, using a reputable service provider and follow up on any unexpected or suspicious results. You can also sign up for Cifas services which can help to protect you against fraud.

You could be targeted again: Fraudsters sometimes re-establish contact with previous victims claiming that they can help them recover lost money, this is just a secondary scam. Hang up on any callers that claim they can get your money back for you.

By following these steps and remaining vigilant, you can significantly reduce the risk of falling victim to banking fraud.

Remember, the key to protecting yourself is to stay informed, cautious, and proactive in safeguarding your personal and financial information.

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