Cashless peer-to-peer (P2P) transaction apps have made our lives quite easy. However, like every other emergent technology, these two are exploited by scammers to rob people.

When it comes to Zelle, the scams run a little differently. Since you voluntarily send the funds to the recipient, proving wrongdoing is hard. It’s unlikely the transaction will be reversed, so you need to be vigilant when you receive a request from a loved one or any institution, such as banks or utility companies.

Let’s look at some of the most common Zelle scams and what to do after you are caught in one:

Common Zelle Scams

Impersonation Scam

The scammer impersonates a close friend or family member, requesting you transfer funds immediately for an emergency. They might also pretend to be from a bank or government agency demanding that you pay a fine.

Fake Invoice

The scammer sends the Zelle account holder an email from a company the person has business with. It contains an invoice with a link. Once you click on it, you are taken to a page that looks the same as the business’s website. When you enter your personal details, the scammer takes over your Zelle account.

Bank Impersonators

SMS phishing is also known as smishing. Scammers smish people by sending them a text message that looks like it came from a bank. It contains a suspicious login link, which, when you click, you get a call from an impersonator who claims he’s from your bank and wants your details.

Recovery and Refund Scams

A scammer calls you and makes up a bogus charge, claiming you can recover it by following a few simple steps. You readily give out the details in your vulnerable state and lose your money.

What to Do After a Zelle Scam

File a Fraud Claim Under Regulation E

You can get your Zelle transactions refunded thanks to the Electronic Fund Transfer (EFT) Act. However, there’s a catch. For a transaction to be declared “fraudulent,” it should meet one of the following criteria:

●An Unauthorized Transfer: Someone stole your phone and made transactions via Zelle.

●Incorrect Electronic Transfer: You made a typo while entering the receiver’s phone number.

●Mistake Made by Zelle: You were sending $100 to someone, and a Zelle error changed it to$1,000.

Report the Scam

As mentioned, Zelle will not be responsible for the scammed amount if you authorize the transfer. However, you can try your luck by reporting the fraud to the FBI or FightCybercrime.

File a Police Report

If the amount you were scammed out of was huge, it’s better to file a police report. Call a non-emergency law enforcement line (NOT 911) and ask for the fraud department. Tell them about all the steps you have taken to get a refund and let them handle the case.

Seek Out Information

Websites such as MyMoney.gov and ScamSpotter.org educate P2P service users about Zelle scams and what actions they can take to keep their money safe. In conclusion, most Zelle scams can be avoided easily if you spot the red flags. To stop them from fooling you in the first place, keep your phone locked and call 1-844-428-8542 immediately to deactivate your account if your mobile is stolen.