How to mitigate potential mobile banking risks

Mobile banking is convenient, but hazards do exist in the form of scams and scammers who target inexperienced kids and teens. Learn how to protect your family by mitigating mobile banking risks and teaching your kids how to bank online safely.

5 ways scammers can compromise your account

Threats to your financial security can come from many different directions when you use a mobile banking app. Look out for these common tactics scammers use to gain access to your accounts:

1. Sending phishing links through emails

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A common way scammers target online users to get their financial information is by sending phishing links through emails. Phishing emails may pretend to be from someone official, such as your bank, or might appear as unsolicited ads. When unsuspecting users click on the links within the email, scammers can gain access to their personal information in several ways.

First, clicking a phishing link may download malware to your computer. This malicious software can grant unauthorized access to your personal information. Second, phishing links may open into a fake website. While this site may look similar to a legitimate web page, such as your bank's log-in page, it’s actually operated by scammers. When you type in your login info, they collect your credentials and access your account.

2. Stealing your credentials and redirecting transfers

Getting hold of your login credentials and using them to redirect transfers is another common online banking scam. This can include redirecting your direct deposits to the scammer's bank account, often through hard-to-trace wire transfers, or person-to-person money transfers. Scammers may get your credentials through hacks, data breaches, unsecured public Wi-Fi, credit card skimmers, or even finding your passwords written down somewhere.

3. Impersonating tech and customer support

If you receive an unexpected call, email, or text from someone claiming to be your bank, it could be a scam. Scammers may pretend to be bank workers to gain access to your personal information and log-ins. They may also send you phishing or smishing (text message phishing attacks) links during this process.

4. Offering lucrative investment opportunities

Gaining access to your banking information can be as simple as making an offer that is too good to be true. Be wary of offers of lucrative investment opportunities that require you to transfer money or link your bank account to make the initial investment. Bad actors may be making a fake but attractive proposition just to get your information.

5. Scamming through social media

Social media safety is always a hot topic and extends to online banking. Social media can create tricky situations that make you a target for financial scams.

• Social engineering: Scammers may try to manipulate you into sharing personal information online with things like fun surveys that provide information often used for online security questions, like your mother's maiden name. This can help them bypass two-factor authentication settings.

• False friends: Scammers often impersonate online friends to ask for money or to try to steal login credentials. Confirm whom you're talking to before sharing any personal information.

• Fraud links: Phishing links can come in social media messages and status posts, too, so it's important to avoid clicking unknown links whenever possible.

Tips to protect yourself against mobile banking security risks

Knowing the risks of mobile banking and security dos and don'ts is important to protect yourself when banking on mobile devices. Consider making rules for your family based on mobile banking security tips like these:

• Never click on links in an email. Instead, copy and paste the link into your browser or search for the site in your search engine directly. 

• Verify the URL is correct when you open a website that requires sensitive login credentials.

• If you get an unexpected call from someone claiming to be customer support, tell them you'll hang up and call back at the official customer support number.

• Use a unique secure password for each account, and double down with biometric authentication like face ID. Opt for strong authentication security measures such as multi-factor authentication. Don't store your username and password combinations anywhere others can access them.

• Use only secure banking apps released by the official bank.

Discover a banking app with built-in security features

At Greenlight, we know the best offense is a good defense, so we have built-in security features in our banking app¹ to protect our families and provide bank account safety. Some of these mobile banking app security features include:

• Mastercard's Zero Liability Protection Policy to protect against fraudulent use of your account

• $250,000 FDIC insurance per card account

• Real-time financial transaction notifications so you'll know if any suspicious activity pops up

• Parental controls for unsafe spending categories

• 24/7 customer support

And if you want extra protection, Greenlight Max and Greenlight Infinity users can add things like identity theft protection to monitor and alert you of any scams that threaten your family members' identities, plus provide you with identity restoration services if needed. You can also add purchase protection and SOS alerts to make your Greenlight account cover a full spectrum of safety.

Banking on your phone doesn't have to be a big risk. You can take steps to enhance online banking safety, starting with Greenlight's family debit card and safety banking app. Try Greenlight today to see the secure difference.

¹Greenlight is a financial technology company, not a bank. The Greenlight app facilitates banking services through Community Federal Savings Bank (CFSB), Member FDIC.