Whether you are a business owner, professional, or an everyday person who uses a bank account, this guide will help you with 9 effective ways to protect it from fraudsters.
It will keep you informed about the latest scams, how they work, and how to spot them before they cause harm. Along with these 9 tips, you’ll also learn key dos and don’ts to safeguard your account.
Today, scammers use advanced tricks to target people online, often playing on emotions to deceive them. They create fake accounts, build fraudulent websites, and send phishing emails to steal personal details and money.
Let’s explore these 9 ways in detail:
1. Use a Strong PIN and Password
If you want to protect your bank account from fraudsters, make sure to follow the following 5 tips
- Don’t use sequential letters or numbers like 1234, abcd, or asdfgh, which are easy to access.
- Don’t use your birth date, month, or year in your password, because fraudsters can guess it easily.
- Don’t create a 4-digit PIN as it can be coded easily. Go for a 6-8 digit PIN.
- Don’t take a screenshot of your PIN or write it down, as someone close to you could misuse it.
- Don’t use your house number or any number that others can guess as your PIN. Choose a random, hard-to-guess combination instead.
2. Enable Two-Factor Authentication (2FA)
Adding two-factor authentication protects you from scammers gaining access to your banking accounts. 2FA acts as a shield and adds an extra layer of security by requiring a strong form of verification beyond just a password. This makes it harder for unauthorized people to get into accounts.
Second factor authentication requires a code from the authentication app, SMS message, or biometric scan that is linked to the user’s device or identity. Even if a hacker gets your password, they still need the second factor to gain access.
3. Monitor Your Account Regularly
Always keep a close eye on your bank account to catch any suspicious activity early. Make it a habit of checking the bank statements or transaction history at least once a week. Always look for charges you don’t recognize, even if they’re small.
Always sign up to get alerts, either by email or SMS, to have a thorough check on your bank details. These notifications will make you aware of your transactions, whether small or big.
4. Be Aware of Phishing Scams
Most phishing attacks use email. Attackers use fake websites or phishing emails to trick you into revealing personal data like passwords or credit card details. Don’t open links or attachments in emails or text messages from strangers. These links might contain malware that can easily infect your computer or phone.
They might trick you with an email claiming that your password is about to expire, renew it within 24 hours, or something from xyzuniversity offering mass distribution of gifts or scholarships, or anything else. It's better not to click on those attached links to be on the safe side.
5. Avoid Public Wi-Fi for Banking
Fraudsters can breach your sensitive data easily, such as essential banking information and passwords. Malicious actors can set up fake Wi-Fi hotspots, also known as an evil twin attack, that appear trustworthy but are designed to infect your devices with malware. They hijack your active online sessions, taking over your accounts and potentially accessing your data or performing actions on your behalf.
Stay safe by avoiding logging into your bank account or conducting financial transactions through a public Wi-Fi. Use your own mobile data or a private, password-protected Wi-Fi network for banking tasks.
6. Keep Your Devices Secure
If your devices are infected with viruses or malware, fraudsters can steal your login credentials or personal information. Make sure to follow the following tips if you want to keep your devices secure:
- Install suitable antivirus software.
- Create a strong password to stop others from gaining access without permission.
- Whether using PC, iOS, or Android devices, keep your whole system, apps, and even browsers updated.
- Always have a backup for your device, so that if hackers trash your data, you can get back your essential information as soon as possible.
- Shut down your device to reduce its visibility to hackers.
7. Be Aware of Social Media Phishing
Social media phishing is a kind of cyberattack where malicious actors use social media platforms like Instagram, Facebook, or Twitter to trick users into revealing information or granting access to their accounts.
These scammers fool you by creating fake profiles or asking you to log in to a fake login page, or crafting messages like direct messages, posts, or comments that mimic legitimate communications from social media platforms, banks, or other trusted entities. They use psychological manipulation to gain users' trust and convince them to take actions they normally wouldn’t.
8. Never Share Your Banking Details
Don’t ever share your personal details with any stranger pretending to be a banker or government employee. Always use trusted UPI apps for payments. Setting a spending limit on your card can help you avoid being scammed. This way, anything over the amount your card won’t work, alerting you if you make a mistake.
Do not overshare on social media, as sometimes people mistakenly show their personal information, like card details, and end up getting scammed easily. Don’t make everything available on the internet, especially if you’re an influencer.
9. Destroy Bank Documents Before Disposing
Shredding or destroying your financial documents is necessary to protect yourself from scammers and criminals. Financial documents that include bank account numbers, your address, bank branch, passbook, or any other important information should be kept private.
Always make sure that your bank documents are completely destroyed before you throw them away.
Final Thoughts
Don’t trust anyone blindly who contacts you out of the blue, especially if they are asking for personal information or money. Don’t fall for offers that seem unrealistic. If someone claims to be from a reputable organization, make sure to verify their identity once by contacting the responsible party directly through their official channels.
Frequently Asked Questions
How to determine if a bank is safe?
If you want to have a well-trusted bank, consider checking the following points:
- Research about the bank’s reputation on Google, Quora, and Reddit.
- Be aware of the interest rates, charges, and security features.
- Do a thorough check for benefits and awards.
- Get a review of the customer service.
- Ensure the branches and ATMs in your locality are operational.
- Make sure the bank offers a user-friendly mobile app.
Can I get my money back if my bank account is hacked?
In most cases, the bank is particularly responsible for refunding you the money that was inappropriately taken from your account by scammers. But the number of possibilities still varies from bank to bank. If you were tricked into giving out your information or authorized the transaction yourself, even unknowingly, you might not be eligible for a full refund.
Note: Immediate reporting to the bank about the incident and cooperating with the investigation play a vital role in such cases.
What are some of the most common bank frauds?
Recent bank frauds include account takeovers, card skimming, cheque fraud, smishing, OTP fraud, credit card fraud, fake app fraud, spoofing, money transfer fraud, and phishing scams. Among them, phishing scams are the most commonly used tactics by fraudsters to trick individuals into sharing their personal information via email, SMS, and social media platforms like Instagram, Facebook, Telegram, and Twitter
