Scam Warning : Beware of fake banking apps when selling items on social media sites

We are alerting people about a scam where criminals use a fake banking app to trick people selling goods through social media ‘marketplace’ type sites.

Criminals are using a fake banking app which makes it look like the money has been transferred when in fact it hasn’t.

When a meeting takes place to hand over the item being sold, the criminal asks the seller to enter their bank details into a mobile app on the scammer’s phone. The app is designed to mimic a genuine banking transaction and displays a screen showing that the payment has been made.

However, no money is actually transferred. When the seller checks their bank account they find that no payment has been received. The scammer may pretend to call their bank and claims the transaction may take two hours to appear – but the money never arrives.

Please remain cautious and use secure payment methods that confirm receipt of fund before handing over any goods.

Follow these tips to ensure you don’t fall victim to the scam:

DO:

• Check the buyer’s review history and feedback from other reviewers. Beware of accounts that may have been set up very recently with lots of favourable feedback that sounds similar, this could be an indication of fake reviews.
• Always use the site’s recommended payment site (such as PayPal) and read the terms and conditions to understand what you are protected for. If you pay any other way than via a recommended payment site, you may not be able to recover your money.
• If you make payments in cash, consider carrying this out at yours or the seller’s bank premises for added protection.
• Avoid direct bank transfers where possible. Use known third party payment providers after checking terms and conditions.
• If payment is made via bank transfer, always check with your own bank if any payment is shown pending.
• Keep hold of any property until you have received confirmation from your bank that the payment has been received successfully.
• Trust your instincts, decline the sale if you have any doubts.

DON’T:

• Allow buyer to change the original agreed meeting place.
• Hand over any goods until money confirmed in your account.
• Allow the buyer to rush you in an effort to persuade you that payment has been made.

If you think you’ve been a victim of fraud, contact your bank immediately and report it to Action Fraud online at actionfraud.police.uk or by calling 0300 123 2040, or call the Police on 101.