Scammers try to get ahold of your money in a number of ways, from banking scams to tax scams. And digital payment apps like Zelle, Venmo, Cash App and PayPal make it easy for them to do it.
Customers at three banks lost more than $870 million to Zelle scams since the app launched in 2017, according to a Consumers Financial Protection Bureau lawsuit. One of those banks, JPMorgan Chase, plans to block social media Zelle payments beginning March 23, 2025, as a result of these losses.
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Once you’ve sent a scammer money on a digital payment app, it can be next to impossible to get it back. Take a look at the top digital payment app scams now so you can avoid becoming a victim.
Read more: Beware of These Common Banking Scams
9 common digital payment app scams
Con artists are creative, but many digital payment scams fall into the following general categories.
💰 Cash flipping scam
You get a DM from someone on Instagram or another social media platform with an appealing offer: Send me $100, and I’ll use an app partnership to turn it into $500 in days. Sounds too good to be true? That’s because it is.
No one — especially some stranger on the internet — can exponentially grow your money immediately.
🎣 Phishing scam
You get an email from someone who claims to work at a mobile payment app asking you to click a link and update your information to upgrade your account or accept a payment. This is a standard phishing expedition — a scam that tricks people into sharing sensitive information with someone they think is a trusted source. If you click the link, your phone can be infected with malware that hijacks your account.
Never click an email link requesting login credentials or other personal details, even if it looks legitimate. Contact customer service through the payment app to verify the request.
Mobile payment apps probably won’t send you a link to update your information. You can do that directly in the app if you need to.
Digital payment app updates can include features that strengthen the app’s security measures. By keeping your app up-to-date, you can further protect yourself from scams.
