ZELLE users have been warned of romance scams that can leave their hearts broken and bank accounts empty.
Bad actors are finding their way to people’s wallets through their hearts using romance scams.
What is a romance scam?
A “romance scam” is when a criminal creates a fake online persona on apps like Tinder, WhatsApp or Facebook to gain a victim’s affection and trust.
The threat actor then uses that perceived “trust” to manipulate or steal from the victim, according to the FBI.
Typically, this comes in the form of urgently asking for cash through peer-to-peer payments through apps like Zelle and Venmo.
In other instances, scammers may ask victims to disclose banking details or purchase items online.
Romance scams are increasing
In the past five years, a staggering $1.3billion has been lost to scammers carrying out romance scams, the FTC reported.
And the numbers have only skyrocketed in recent years, with 2021 seeing losses hit a record $547million.
“The scammer’s intention is to establish a relationship as quickly as possible, endear himself to the victim, and gain trust,” the FBI said in a statement.
“Scammers may propose marriage and make plans to meet in person, but that will never happen. Eventually, they will ask for money.”
Most recently, this type of scam was illustrated in the Netflix documentary, The Tinder Swindler.
Banks may not refund your money
What makes a romance scam all the more dangerous is that a bank may deny you a refund for your stolen funds.
That’s because banks argue that they shouldn’t have to pay customers who are the victims of scammers via apps like Zelle.
What’s more, banks are rarely providing their customers with explanations for their decisions, per The New York Times.
Warning signs of a romance scam
While romance scams can target all demographics, elderly women appear to be approached most often.
There are also numerous warning signs one can look out for.
First, someone who asks for money, goods or financial assistance without having met in person is never a good sign.
People should also be wary of anyone who claims that meeting them was “destiny” or “fate” and/or reports a sudden personal crisis.
Someone who disappears suddenly on a dating site and then reappears using a different name is also an obvious red flag.
How to protect yourself from romance scams
There are several steps you can take to mitigate your risk of falling victim to a romance scam.
First and foremost, you should never send money to anyone you have only communicated with online or by phone.
Be careful what information you share or make public as fraudsters can use that to target you.
You should also research a person’s photo and profile to see if the image, name or details have been used elsewhere.
Last, be vigilant of an individual who attempts to isolate you from friends and family or requests inappropriate photos or financial information as this could later be used to extort you.
