Bank Impersonation Scams Are Increasing: Know the Warning Signs

Fraudsters are increasingly posing as bank representatives to obtain confidential information and gain access to personal and business accounts. These scams can be highly convincing. A call may appear to come from a familiar phone number, the caller may know personal information about you, and the conversation may begin with what sounds like a legitimate warning about suspicious account activity.

Understanding how these scams work can help you recognize the warning signs before information or money is lost.

How Bank Impersonation Scams Typically Begin

Many recent attempts have followed a similar pattern.

First, a client receives a text message claiming that suspicious activity, an unauthorized transaction, or an unfamiliar login has been detected. The message may ask the recipient to respond, click a link, or expect a call from the bank’s fraud department.

A fraudster then calls the client and claims to be a City National Bank of Florida representative investigating the alleged activity. The caller may create urgency by saying immediate action is needed to stop a wire transfer, ACH payment, Zelle® transaction, or account takeover.

The fraudster then attempts to obtain information such as:

• An online banking username or password
• A one-time passcode or secure access code
• A token or multifactor authentication code
• A password-reset code
• Personal or business account information

In some cases, the fraudster may ask the client to initiate, approve, or reverse a transaction. The request is presented as a necessary step to secure the account, but following those instructions may instead give the fraudster access to the account or authorize a payment.

A Familiar Caller ID Does NOT Prove a Call Is Legitimate

Caller ID can be manipulated through a practice known as spoofing. This can make an incoming call appear to originate from a legitimate organization or a familiar local phone number.

Fraudsters may also possess personal identifying information obtained from public sources, prior data breaches, social media, or other sources. Knowing your name, business, phone number, or other details does not prove that the caller represents the bank.

The Federal Deposit Insurance Corporation explains that bank impersonation scams frequently begin with urgent security messages and may be followed by a call from someone pretending to work for a bank’s fraud department. Its guidance recommends contacting your bank directly using a familiar or independently verified phone number rather than contact information contained in an unexpected message. Learn more through the FDIC’s guidance on bank impersonation scams.

What City National Bank of Florida Will Never Ask You To Provide

City National Bank of Florida will never call, text, or email you to request your:

• Online banking username or password
• One-time passcode or secure access code
• Token or multifactor authentication code
• Password-reset code

We will also never send you an unsolicited sign-in link or ask you to transfer money to another account in order to “protect” your funds.

A verification code should be treated like a password. Never provide it to someone who contacts you unexpectedly, even if the person claims to be investigating fraud. The Cybersecurity and Infrastructure Security Agency notes that attackers may use phishing techniques to capture both passwords and authentication codes, allowing them to access accounts protected by certain forms of multifactor authentication.

What To Do If You Receive a Suspicious Call or Message

If someone unexpectedly contacts you about your account, stop and independently verify the situation.

1. Do not share confidential information. Never provide a password, security code, token code, or password-reset code.
2. Do not click a link in an unexpected message. Instead, open the bank’s official website or mobile application independently.
3. End the call. Do not remain on the line while attempting to verify the caller.
4. Contact City National Bank of Florida directly. Use a trusted phone number, such as the number on the back of your debit card, your banker’s known number, or 305-448-6500.
5. Do not initiate or approve a transaction at the caller’s direction. A request to move money urgently is a significant warning sign.
6. Act immediately if information was shared. Contact us promptly if you disclosed credentials, entered information through a link, approved an unfamiliar sign-in request, or initiated a transaction.

The Federal Trade Commission also recommends avoiding links and phone numbers contained in unexpected messages and contacting the organization through information you already know is legitimate. More information is available in the FTC’s guide to avoiding imposter scams.

Additional Steps For Business Clients

Businesses should reinforce these precautions with every employee who can access online banking or initiate payments. Limit system access to employees who require it, review user permissions periodically, and use dual approval for wires and ACH transactions whenever available.

Payment activity should also be reviewed regularly. Investigate unfamiliar transactions, newly added recipients, or unexpected changes to user access immediately. When a vendor or other trusted party requests a change to payment instructions, confirm the request through an established contact method before sending funds.

Find More Ways To Protect Yourself Or Your Business

Fraud prevention begins with staying informed. Visit our Fraud & Security Center for additional guidance on protecting your personal or business accounts, recognizing common fraud schemes, and reporting suspicious activity. If you believe your information or account may have been compromised, contact City National Bank of Florida immediately through a trusted channel.

Please note: The content in this article comes from individual opinions and experiences. The content should not be taken as advice coming from City National Bank of Florida. City National Bank of Florida does not offer tax, legal or accounting advice