Online banking security has made huge progress in recent years, protecting account holders with a variety of identification methods and anti-fraud software. However, bank scams can circumvent these protective measures by fooling us into giving away information or access to our accounts.
Can bank scammers access your account?
Unfortunately, bank scammers have a number of tricks up their sleeves to access your account. We’ll go through these in detail below, however the common ways they do it is with communication.
- A message from your bank claiming unusual login attempts to your account
- Spam emails requesting login codes to your account
- Fake bank representatives requesting your login details on a phone call
The key to these messages and points of contact is to prompt you into giving sensitive information through fear.
How do bank scams happen?
This method of appealing to fear in the consumer is effective because we act irrationally when we are afraid. Once you see the alarming notification that your account has already been hacked or breached, or several attempts have been made and will be made again, you may be pushed to respond quickly without looking further into the email.
7 common bank scams

Let’s now look at ten of the most common bank scams still wreaking havoc on users’ bank accounts in 2022. Identification is the first step towards self-protection.
Overpayment scams
Definition of overpayment scams
Definition of overpayment scams
Business owners with production lines are often at risk of the overpayment scam. If you sell a product in your business and receive an overpayment for a certain product, this may be the beginning of an overpayment scam.
- Covering agent’s shipping fees
- A mistake when filling out payment information
You’ll then be asked to refund the excess amount they paid, or to forward it to a third party. Soon after this, you’ll discover there has been some issue with the initial payment: a bounced cheque or faulty/stolen credit or debit card.
Protecting yourself against overpayment scams
Protecting yourself against overpayment scams
Be wary of any overpayments. Overpaying for an item isn’t normal consumer behaviour. If this happens, you should immediately be suspicious and watch how this situation develops.
Wait until the payment clears. If you receive an overpayment, to make sure it’s legitimate, wait until the cheque clears or the card payment is confirmed.
Automatic debit scams
Definition of automatic debit scams
Definition of automatic debit scams
Automatic debits are a legitimate way of paying for products and services, and in the current subscription economy, consumers often accrue more than they can keep track of.
- A cash prize
- Pre-approval for a major credit card
- Lottery jackpot win
You will then be prompted to offer account details in order to claim your reward. You may be told that this information helps you qualify for claiming the reward, such as to ship it or begin the direct debit payments.
Protecting yourself against automatic debit scams
Protecting yourself against automatic debit scams
Be wary of any cash prizes, pre-approvals, or anything you didn’t ask for. If you receive communication telling you you’ve won a competition you never entered, it’s probably a scam. Pre-approvals for credit cards are common, so make sure you investigate the email sender’s information if you receive one.
Fake cheque-cashing scams
Definition of fake cheque-cashing scams
Definition of fake cheque-cashing scams
Cheques aren’t in circulation in the same way they were 10 years prior, but they’re still a common payment method all around the world. This of course means that cheque fraud is still a serious financial crime consumers need to be aware of.
Protecting yourself against fake cheque-cashing scams
Protecting yourself against fake cheque-cashing scams
Avoid cashing cheques for strangers. Standing outside a bank waiting for someone to cash your cheque is especially strange in today’s online banking world. Best let someone else be the good samaritan in this case.
Government imposter scams
Definition of government imposter scams
Definition of government imposter scams
Government imposter or ‘impersonator’ scams begin with a text message, email, or phone call. Your scammer pretends to be some kind of government representative:
- Health insurance representative
- Member of a government agency
- Representative of a made up agency
The scammer will then claim you have missed a payment on something important, and need to send them funds immediately to avoid legal action. Government imposter scams work based on the appeal to authority and on the basis of fear.
Protecting yourself against government imposter scams
Protecting yourself against government imposter scams
A government representative would never ask for bank account details. Especially over the phone, email, or text message. This is an immediately obvious sign that it is a scam and you should not go any further with them.
Charity scams
Definition of charity scams
Definition of charity scams
Charity scams prey on the emotions of their victims by inventing organisations that claim to provide services for a dire situation, disease, or illness. They may take the form of disaster relief campaigns, or use a person with an illness or injury as spokesperson for their particular concern.
Protecting yourself against charity scams
Protecting yourself against charity scams
Hang up on pushy representatives. Beyond being an unpleasant interaction, this is usually a big sign you’re being scammed into donating.
Online lending scams
Definition of online lending scams
Definition of online lending scams
Online lenders are more popular than ever, and while most companies offer legitimate lending services, the online lending world has its fair share of scammers.
Protecting yourself against online lending scams
Protecting yourself against online lending scams
Background check any lending company you come across. Read reviews, find a physical address, parent company—anything that will help legitimise the company you’re looking into.
Award and lottery scams
Definition of award and lottery scams
Definition of award and lottery scams
One of the most common (and obvious) scams is the fake lottery scam. Usually by email, you’ll receive a notification that you’ve won either a cash prize or some kind of expensive gift: a car, Apple device, jewellery, etc. To try and convince you, the scammer will make up organisations or impressive sounding credentials that add validity to their claims.
Protecting yourself from award and lottery scams
Protecting yourself from award and lottery scams
Never send money or financial information to collect a prize. No legitimate award or lottery organisation should need your financial information or money to collect a prize.
How do bank scammers target their victims?
While no one is exempt from a bank scammer’s roster of potential victims, the sad truth is that bank scammers target those most vulnerable:
- The elderly
- Those who lack tech savvy skills
- Kids using computers for the first time
- Financially desperate individuals
Scammers extract their ideal victims from the crowd by placing banner ads on websites, sending out mass emails, collecting email addresses for fake sign-up opportunities. Other ways in which scammers might reel you in include:
- Unsecure WiFi connections
- Fake quizzes or games that ask for your personal information
- Dating and romance scams
- Fake job advertisements
- Irresistible product deals
Unsuspecting victims are then coaxed to provide financial information and the scamming begins.
How to protect against bank scamming
Aside from the above advice on each individual scam, above all the thing to remember is to stay sceptical. Any deal that seems too good to be true probably is, no legitimate sales representative would bully you into giving over your financial details, you should never have to hold onto someone’s funds for them, and overpayments are rarely legitimate mistakes.
What to do when you become a victim to bank scam
If you realise you’ve fallen victim to a bank scam, the first thing you need to do is remain calm—there are things you can do to minimise the damage. In addition, a panicked state is the worst one to be in when trying to manage a crisis situation.
Contact your bank
Inform them of what’s happened so they are aware of the sudden departure of funds from your account, or you can freeze your accounts to avoid losing any more money.
Contact debt collectors and the courts
If you’ve been scammed and had your information stolen some time ago, you may have a number of bad debts against you already. This could result in a court summons or some other contact from legal representatives. You’ll have to explain your situation to them prior to being summoned, otherwise you could face legal action.
Contact the police
It’s important to let the police know of any suspected scams. You may need to defend yourself later in a legal setting and having the crime reported soon after it happened is better for your case. Also, reporting scammers will help to save others from being scammed in the future.
We might like to think we’re too computer savvy or experienced to fall for bank scams, but they can befall almost anyone. We may find ourselves in dire financial straits, or with children using the internet for the first time, and have to deal with banking scams in ways we never have in the past.
- Scammers access your account by obtaining your login details
- They often happen because the scammer elicits panic from you over having had your account hacked, and then offers to remedy the situation and hacks your account
- Overpayment scams see scammers sending you extra money for an item and asking for a refund, and automatic debit scams trick you into setting up an automatic debit
- Fake cheque cashing scams can happen both in person or online, and government imposters will use fabricated authority to bully you into providing bank details
- Charity scams appeal to emotion, while online lending scams create fake lending companies
- Award and lottery scams often prey on the elderly with promised prizes and rewards
- If you fall victim to a scam, contact your bank to freeze your accounts, any debt agencies to see if it is a long term scam, and the police to report the scammers