Republic of the Philippines
National Police Commission
PHILIPPINE NATIONAL POLICE
Camp BGen Rafael T Crame, Quezon City
ACG-CYBER SECURITY BULLETIN NR 210: HOW TO AVOID DIGITAL WALLET FRAUD
Reference Number ACG-CSB 061521210
The following information was obtained from different cyber security sources for notification to all parties concerned pursuant to the mandate of the Philippine National Police Anti-Cybercrime Group (PNP ACG) and classified as “Restricted” pursuant to the PNP Regulation 200-012 on Document Security and Impact Rating as high based on PNP Information Communication Technology (ICT) Security Manual s.2010-01 p. 22 and p.129.
More and more, digital currency and mobile payment apps are becoming the preferred option for consumers across all demographics to pay for the goods and services they need. Of course, with this rise in popularity comes an increased risk of being targeted by fraudsters and scam artists that utilize these apps for their schemes. As is the case with most fraud, your first and best line of defense is awareness. That's why today, we'll tell you how you can spot mobile payment scams and avoid digital wallet fraud.
Mobile payment or digital wallet app simply refers to a program you use on your smartphone that allows you to send funds quickly and easily to someone else. While these can often be used as an alternative to credit cards, they are frequently used to send money to a friend or family member as a form of repayment. For example, if you need to pay your friend for your portion of the restaurant bill, or if you have to pay your roommate for your half of the utilities, these apps can make that process simple.
There are many different mobile payment apps available today. These are some of the most popular apps that people are using to pay for goods and services like Apple Pay, Google Pay, Venmo, Square Cash, Cash App and many more.
The features of each mobile payment app vary, but most of them can be used to send electronic payments, to accept credit card payments, and to manage an account with money.
Fortunately, by remaining aware of some of the most common mobile payment scams that are circulating and taking a few preventative measures, you can stay safe while using your favorite digital wallet apps.
All PNP personnel as well as the public are advised to follow the tips to avoid the DIGITAL WALLET FRAUD:
• Link your credit card rather than your debit card - When you link your personal or business credit card to your mobile payment apps, you will be providing an extra layer of protection if you make a payment to a fraudulent person. Banks can easily trace credit card payments, but debit card payments are more difficult to keep track of. In addition, linking a debit card could compromise the funds that are available in your checking account.
• Avoid making mobile payments over Public Wi-Fi - Making financial transactions on an unsecured public Wi-Fi network is an easy way to give your personal information to prospective hackers. Because public Wi-Fi is open to anyone, they will often insert themselves in between you and the internet in order to capture the sensitive data you're sending. Always make sure you use cash apps on a secure, password-protected network.
• Create unique, secure passwords, and safely store it - The password that you create for your preferred mobile payment app should be completely unique and include a variety of letters, characters, and numbers. Make sure that you safely manage all of your passwords as well.
• Never ever give out sensitive information - If you ever receive a phone call from someone claiming to work for one of these companies, and they ask you for your password, politely decline. Once the call has ended, you can then reach out to the app's customer support to ask if they had a need to contact you in the first place.
For additional information, please refer to the following websites:
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