Fraud, FDIC, and FACTA

The bad guys never seem to sleep. No sooner is the fraud protection information about FACTA beginning to float around than someone has figured out how to use the idea to create a scam. Consumers have been getting e-mails that purport to come from the FDIC. Those in the know, however, would note that the e-mail address did not have the all important dot-gov trailer. The e-mail tells the customer that his or her bank account has been temporarily closed (that should get the victim's attention!) because the account has been the target of fraudulent activity. Then there is the inevitable "open the attached" or "click here" to proceed. Once the consumer takes that step, the fraud is on all-systems-go.

What can you do about it? Post notices in your lobby alerting customers to the fraud techniques. Include statement stuffers with information. Encourage customers to call and ask. And above all, tell them not to open the attachment or "click here."

Copyright © 2004 Compliance Action. Originally appeared in Compliance Action, Vol. 9, No. 3, 4/04