Think Before You Wire: 5 Tips to Avoid Wire Transfer Fraud

Wire transfers are a fast and easy way to send money from your account to individuals and businesses. However, because wire transfer payments are typically irreversible, they are commonly used in fraud schemes. These five tips can help you protect your accounts.

Tip 1: Remember that wire transfers are like sending cash.

Wire transfers are used to send money electronically from one bank account to another.

Sending money this way is like sending cash in that, once sent, the wire transfer typically cannot be reversed. Wired funds are considered the property of the recipient and wire transfers may be final. For this reason, wire transfers can be a preferred payment method for fraudsters.

Tip 2: Know the scam warning signs.

• The request was unexpected. Do not take any action without carefully verifying that the request is legitimate. 
• The request involves an investment. Be wary of offers that guarantee returns or promise “no risk” on investments in cryptocurrency, gold, or foreign real estate. Be extra cautious with money transfers to foreign countries.
• The request is made in order to fix a problem or account issue. Remember that First Security Bank and other legitimate businesses or financial institutions will never ask you to wire money to resolve an account issue. 
• You're being asked to share personal information. Your bank will not ask you for your online banking login, passwords, debit card PIN, account number, activation keys, or tokens. Protect this information and never share it via unsecured channels.

Tip 3: Don’t be rushed.

Go slow and be prudent with all unexpected communications. 

Scammers often employ tactics like impersonating legitimate institutions or individuals to trick you into making wire transfers. They may even use caller ID so that their phone calls appear to be coming from a legitimate source. 

Always verify the authenticity of such requests before taking any action, and if you’re being asked to act immediately — do the opposite. Hang up, ignore the message, and take the time you need to contact the organization directly to verify that it’s legitimate.  

Tip 4: Always double-check the intended recipient.

Because wire transfers are typically irreversible, if you make a mistake or if you are tricked, you may not be able to get your money back. Even when you have a legitimate reason for sending a wire transfer, it pays to use wire transfers carefully.  

Tip 5: When in doubt, stop and get help.

If at any point you find yourself unsure or suspicious about a wire transfer request, stop and ask for assistance. Consult with your bank or another trusted financial advisor to validate the legitimacy of the request. Taking this one important step can prevent very costly mistakes.