Help Protect Yourself from Payment Scams

It’s Spring and the patios are calling. But as gathering with large groups for happy hours or dinners resumes, so too does the headache of splitting the check multiple ways.

That’s where the convenience of using payment apps comes in. Once you sign up for a payment service you can transfer money to pretty much anyone from your computer, tablet or smartphone.

There are multiple options to choose from, including some well-known names.

Apple Pay. Apple Pay comes pre-loaded on iPhones, but you have to link it up to your debit or credit card to make it work. It doesn’t work with non-iPhones and, like the others, you have to wait a few days to get money from the app to your bank account.

Facebook® Messenger. This app is for more than just chatting. You can add your debit card to Messenger  and it can become a money transfer system. Again, it may take a day or more to get money to your bank account.

Google Pay®. Google Pay  is most popular with people using Android phones and can be used to make purchases from a business as well as send money to friends. Transferring funds to your bank account could take up to three days.

Venmo. With Venmo , which is owned by Paypal, you may have to wait a day or two to get the money you receive deposited in your bank account. Also, if you pay with a credit card, there is a service charge fee. And you’ll have to decide for yourself if this is a plus or a minus: You can see where your friends spend with Venmo. Hopefully it’s not TMI.

Zelle®¹ Zelle® transactions typically occur in minutes when the recipient's email address or U.S. mobile number is already enrolled with Zelle®.

Be Cautious When Sending Money Online and With Your Mobile Phone²

All is not rosy when it comes to payment apps, though. Fraudsters have found they can exploit people who are unfamiliar with these payment apps and scam them for money.

1. Know who you are sending money to. Remember: most payment apps are meant to be used between people who know each other and not to buy stuff from strangers. Treat these transactions like cash: Once you send the money, it is gone. Conduct your due diligence to make sure funds are being sent to the right person for the right purpose.

Venmo, for example, has a no commercial use rule. You could sell something to a stranger who pays you with Venmo, only to have Venmo pull back the money if it suspects the no-commercial-use rule was broken.

2. Avoid using payment apps to purchase a product or service that you have not already received. There may be no recourse.

3. Don’t disclose your personal information. You may get a scam call from someone pretending to be an employee of your bank or from your payment provider’s customer care center or fraud department. The fraudster will try to talk you into sharing your login ID and password. That is a red flag.

Your bank or payment provider will never call you to request information it already has or ask to remote into your computer, unless you initiated the request for help with some banking issue. Always be careful when discussing financial details over the phone.

You always look both ways before you cross the street, just to be safe. The same caution goes with using payment apps. As long as you take precautions, you can enjoy the great convenience of using payment apps with your friends and family.

To learn more about Zelle®, visit the Vectra Bank website or talk to a banker at a Vectra Bank branch near you.

^{1. U.S. checking or savings account required to use Zelle.® Transactions between enrolled users typically occur in minutes. See your Zelle® Payment Service Agreement for more details. Standard text and data rates from your mobile phone carrier may apply. Available services are subject to change without notice. Zelle® is intended for sending money to family, friends, and people you know and trust. It is recommended that you do not use Zelle® to send money to people you don't know. Neither Zions Bank nor Zelle® offer a protection program for any authorized purchase made with Zelle.®}

^{In order to send payment requests or split payment requests to a U.S. mobile number, the mobile number must already be enrolled in Zelle.®}

^{Zelle and Zelle related marks are wholly owned by Early Warning Services, LLC. and are used herein under license.}

^{2. Mobile banking is included at no cost from Vectra Bank. Requires download of Vectra Bank App from the Apple® App Store, or Google Play®. Message and data rates from your wireless provider may apply. Requires enrollment in Online banking and is subject to the terms and conditions of the Digital Banking Service Agreement. Some Online and Mobile features, including Bill Pay, may not extend to minors.}

^{PayPal and Venmo are registered trademarks of PayPal, Inc. eBay is a registered trademark of eBay, Inc. Apple Pay is a registered trademark of Apple, Inc. Facebook is a registered trademark of Facebook, Inc. Google Pay is a registered trademark of Google LLC.}