News & Tips
Mobile Deposit Fraud: What You Need to Know
Mobile Banking has made life easier, but it has also opened the door for new scams. Fraudsters are getting smarter, making mobile deposit fraud one of the fastest-growing threats. Recently, we’ve seen cases where members unknowingly gave criminals access to their mobile or online banking credentials. Sometimes, these fraudsters are even people the member knows like friends or family. Sharing your account information is never safe unless the person is a joint owner.
With the popularity of mobile check deposits, scammers have found new ways to exploit members. A common tactic is offering to deposit a check into your account and then asking you to send part of the money back through a wire transfer or gift card. Sadly, these checks are often fake or bounce due to insufficient funds. By the time you realize, the money is gone and you’re responsible for the loss.
Below are some of the most common fraud scenarios and tips to protect yourself.
Common Mobile Deposit Fraud Scenarios
Fake Job & Income Deposit Scams
Fraudsters pose as employers offering remote jobs or side gigs. Victims receive counterfeit checks to deposit via Mobile Banking and are told to return part of the money through wire transfer or gift cards. When the check bounces, the victim is liable for the loss. This remains one of the most common mobile deposit scams.
Card-Cracking Recruitment via Social Media
Young adults are targeted on social media platforms such as Instagram, TikTok, and Facebook with the promise of quick cash if victims share debit card details or Mobile Banking access. Victims deposit fake checks and send back funds, unknowingly committing fraud and risking account closure or criminal charges.
Sweepstakes & Prize Deposit Scams
Victims are told they’ve won a contest or lottery. To claim the prize, they must deposit a check via Mobile Banking and pay a “processing fee” using gift cards or wire transfers. These checks are fake and cause victims to lose money and expose their private account details.
Overpayment & Refund Scams
Scammers send a fake check claiming they “overpaid” you and ask for the difference back. Victims deposit the check via Mobile Banking and send funds back before the check clears, leaving them responsible for the full amount.
Money Mule Schemes
Criminal networks recruit people, often job seekers or those in financial distress, to deposit checks and transfer funds, unknowingly laundering money. Many victims don’t realize this is a crime until law enforcement gets involved.
How Can You Protect Yourself from Mobile Deposit Fraud?
As your financial watchdog, we want to help you stay safe. Here are a few tips to avoid scammers:
Extra Steps for Added Security
Fraud prevention is a team effort. While we work hard to protect your information, here’s what you can do:
Update your computer security and install the latest antivirus software.
- Use strong passwords. Avoid easy-to-guess passwords and store them securely.
Sign up for Space Coast Credit Union’s (SCCU) e-Statements and Mobile Banking alerts. Don’t forget to make sure we have your current phone number so we can reach you quickly if needed.
Report suspicious activity immediately. If you think you’ve been targeted, contact SCCU right away.
Don’t Let Fraud Rain on Your Mobile Parade
Mobile deposit fraud is evolving, but you can fight back by staying informed and cautious. Never share your account details, question offers that seem too good to be true, and follow security best practices. For more information and resources, check out our fraud prevention center. Together, we can stop fraud one step at a time.