Your phone rings. The caller says there’s a problem with your bank account.
Maybe there’s a pending ACH transfer you don’t recognize. Maybe a check won’t clear. Or maybe the caller says they’ve spotted suspicious activity and need to verify some information to protect your money.
Then you look at your caller ID—and it appears to be your bank.
It would be easy to assume the call is legitimate. Unfortunately, scammers can make a call appear to come from a financial institution’s actual phone number, a tactic known as caller ID spoofing.
They may also know your name, where you bank or even certain details about your account.
That’s why one of the best ways to protect yourself from a bank impersonation scam is also one of the simplest: stop and verify before you act.
Bank Impersonation Scams Can Look Very Real
Scammers know that a message about your money can get your attention quickly.
They may tell you:
- A suspicious ACH transfer is pending.
- A check may not clear your account.
- Your account has been compromised.
- A transaction needs to be reversed.
- Your money needs to be moved to a “safe” or “secure” account.
- You need to verify your identity immediately.
The goal is often to create enough urgency that you take action before you have time to question what's happening.
Today's scams may also include surprisingly accurate information.
A scammer could know your name, address, phone number, email address, financial institution or even the last four digits of an account or card. That information could have come from a data breach, compromised account, social media, public records or a previous scam.
Someone knowing information about you doesn't prove they work for your bank.
Consumers and Businesses Can Both Be Targets
Bank impersonation fraud isn't limited to personal accounts.
For an individual or family, a scammer might claim there's an unauthorized payment or suspicious activity on a checking or savings account.
For a business, the request could involve payroll, vendor payments, ACH transactions, checks or another significant transfer. Someone pretending to be a bank employee might tell a business owner or employee that an urgent transaction needs to be stopped, verified or reversed.
The details may be different, but the tactic is often the same: create a believable problem, add urgency and convince you to act.
Whether you're managing your household finances or your business accounts, don't let an unexpected caller rush you into a financial decision.
Can You Trust the Number on Caller ID?
Not by itself.
A scammer can make a call appear to come from your financial institution's actual phone number. The bank's name may even appear on your screen.
If you receive an unexpected call about your account, don't rely on caller ID to determine whether it's legitimate.
Instead, end the call and contact your bank yourself using a phone number or communication method you already trust.
Keep Verification Codes and Login Information Private
A scammer may tell you that they need a code that was just sent to your phone or email to verify your identity or stop fraudulent activity.
Don't provide it.
One-time verification codes can be used to authenticate a login, reset a password or approve another protected account action. If you didn't initiate the request, don't give the code to someone else.
The same applies to your online banking username, password and PIN. A legitimate bank caller will never need those credentials to “protect” your account.
Be Wary of Requests to Move Your Money
Another major warning sign is someone unexpectedly telling you to transfer money.
A scammer may say your account has been compromised and instruct you to move your money to a “safe account,” “secure account” or temporary holding account.
Don't do it.
If there really is a problem, contact your financial institution independently and follow instructions obtained through a verified channel.
And be cautious if someone tells you to send another payment to “reverse” a fraudulent transaction. The new transaction could actually send your money directly to the scammer.
What Should You Do If You Receive a Suspicious Bank Call?
You don't need to figure out whether the caller is legitimate while you're still on the phone.
Instead:
1. Stop.
Don't let urgency pressure you into making a financial decision.
2. End the communication.
If the call, text or email was unexpected, don't continue simply because someone says the situation is urgent.
3. Contact your bank directly.
Use the phone number on the back of your debit or credit card, a trusted account statement, the bank's official mobile app or a website address you already know. Don't use a number or link provided in the suspicious communication.
4. Ask whether there's actually a problem.
Your bank can help you determine whether the transaction, alert or request is legitimate.
5. Act only after you've verified the situation.
A legitimate concern can wait long enough for you to confirm what's happening.
What If You've Already Responded?
If you've provided information, approved a transaction or sent money before realizing something wasn't right, act quickly.
Contact your bank and explain exactly what happened and what information you provided. If a payment or transfer was involved, ask whether it can be stopped, recalled or otherwise recovered. Recovery isn't guaranteed, but acting quickly can be important.
You should also:
- Change affected passwords using a trusted device.
- Review your accounts for unfamiliar transactions or changes.
- Enable multifactor authentication when available.
- Contact any payment provider involved.
- Save relevant emails, texts, phone numbers, screenshots and transaction information.
- Report suspected fraud to the Federal Trade Commission at ReportFraud.ftc.gov.
- Consider reporting significant internet-enabled fraud to the FBI's Internet Crime Complaint Center at IC3.gov.
Protect Your Money by Taking Time to Verify
Scammers don't always sound suspicious.
They may know your name. They may know where you bank. They may reference a real transaction. And the number on your phone may look exactly right.
You don't have to make a decision in the moment.
Stop. Hang up. Contact your bank through a channel you trust. Then verify what's happening.
Whether you're protecting your personal finances or your business, a few extra minutes of verification can help prevent a convincing bank impersonation scam from becoming a costly one.
When it comes to protecting your money, start with a simple step: verify.