Short Tutorial/FAQ – Is It Safe to Use Mobile Payment Apps Like Venmo
Question: Many people I know use mobile payment apps. Do I need to worry about security?
Answer: Mobile technology and peer-to-peer (P2P) payment apps like Venmo, Cash App, and Zelle make it easy to split a dinner bill with friends or send money to a family member. But being able to transfer funds quickly also comes with risks, including potentially getting scammed or having your financial information stolen. That’s why it’s important to be careful when using these or other P2P apps.
The Federal Trade Commission warns of scams where someone impersonates a customer service rep from your payment service. The scammer says there’s something wrong with your account and asks you to transfer money or give them your account information to fix the problem.
Recognizing this type of scam can help you avoid becoming a victim. In addition, take these precautions:
Question: Many people I know use mobile payment apps. Do I need to worry about security?
Answer: Mobile technology and peer-to-peer (P2P) payment apps like Venmo, Cash App, and Zelle make it easy to split a dinner bill with friends or send money to a family member. But being able to transfer funds quickly also comes with risks, including potentially getting scammed or having your financial information stolen. That’s why it’s important to be careful when using these or other P2P apps.
The Federal Trade Commission warns of scams where someone impersonates a customer service rep from your payment service. The scammer says there’s something wrong with your account and asks you to transfer money or give them your account information to fix the problem.
Recognizing this type of scam can help you avoid becoming a victim. In addition, take these precautions:
- Only use these apps with friends or family you trust.
- Set up extra security. Be sure to opt-in and enable PIN or fingerprint confirmation.
- Make sure to get all recipient details correct. App servicers don’t issue refunds for money sent to incorrect recipients.
- Do NOT use peer-to-peer payments for business purposes.
- Learn the app’s customer service contact information and procedures before using the app.
- Keep your app updated. Older versions are more susceptible to hackers.
