Consumer fraud · Updated September 2026
Bank fraud
Modern bank fraud rarely looks like theft. It looks like a helpful phone call from a number that really is your bank’s, from someone who already knows your last three transactions. Here is how it works and what to do in the first hour.
The one rule that stops most of it
Nobody legitimate will ever ask you to move money to a “safe account”, or to read out a one-time code. If either sentence appears, the call is a scam — whatever number is on your screen. FTC
Caller ID spoofing is illegal in the US when used to defraud, and the FCC confirms the displayed number can be faked to match your bank’s. FCC
Warning signs
- A call, text or email saying your account is compromised and money must be moved.
- Pressure to act inside a short window — 'the transfer completes in 20 minutes'.
- A request to read out a one-time passcode, PIN or full password.
- A new payee, standing order or device you did not add.
- Your banking app suddenly logging you out and refusing your password.
- A text saying your address or phone number was changed when it was not.
Electronic fund transfer errors on a consumer account must be reported to your bank promptly — Regulation E sets the timelines and the bank’s investigation duties. CFPBReport the incident to the FBI’s Internet Crime Complaint Center as well. FBI IC3
Check before you act
Run the caller, website or payee through the free scam checker, check a crypto payee with the wallet checker, or take the free fraud training in the GACS Academy.
The first hour, in order
- Hang up and call back on a number you found yourself. Scammers can display your bank's real number on your screen. Hang up, wait 30 seconds or use another phone, then dial the number printed on your card or in your banking app.
- Freeze the account inside the app. Most banks let you lock cards and stop outgoing payments from the app. Do that before you talk to anyone; it costs nothing and buys you time.
- Report it as fraud, with the exact wording. Say whether the payment was 'unauthorised' (someone else moved the money) or whether you were 'tricked into authorising it'. Those two phrases lead to completely different refund rules, so be accurate.
- Ask the bank to recall the payment. If the money left in the last few hours, ask for an immediate recall to the receiving bank. Speed matters more than anything else — funds are usually moved on within minutes.
- Change your online banking password and sign out all devices. Then check for changed contact details, new payees, and any forwarding rule added to your email. Account takeover almost always starts in the email inbox.
- Report to the national body and to GACS. US: reportfraud.ftc.gov and ic3.gov. UK: Action Fraud. Canada: the Canadian Anti-Fraud Centre. Australia: Scamwatch. Then log the number, site or account here so the next person searching it finds a warning.
Never do these
- Never install remote-access software because a “bank” asked you to.
- Never confirm a payment in your app while a caller stays on the line.
- Never trust caller ID, a text thread that already contains real bank messages, or an email that quotes a genuine transaction. All three are cheap to fake or steal.
- Never pay an upfront fee to anyone promising to recover the money — recovery fraud targets people who have just been defrauded.
Questions people ask
What is bank fraud?
Bank fraud covers any illegal attempt to take money from your bank account or from the bank itself. For consumers it usually means one of three things: account takeover, where a criminal gets into your online banking; unauthorised payments made with stolen card or account details; and impersonation scams, where someone posing as your bank persuades you to move the money yourself.
My bank called and asked me to move money to a safe account — is that real?
No. No bank, police force or fraud team anywhere asks a customer to move money to a 'safe account', a 'holding account' or a crypto wallet. That single sentence is the clearest sign of a scam call. Hang up and call your bank on the number printed on your card.
Will my bank refund bank fraud?
If the payment was unauthorised — you did not make it and did not approve it — the bank must generally refund you in the UK and EU, and US Regulation E gives strong protection for electronic transfers reported promptly. If you were tricked into sending the money yourself, the rules are weaker: UK banks reimburse most authorised push payment scams under mandatory rules, while US banks often decline. Report immediately either way; delay is the most common reason claims fail.
How fast do I have to report bank fraud?
Within hours if you can. US Regulation E limits your liability to $50 if you report an unauthorised electronic transfer within two business days, rising to $500 after that and potentially unlimited after 60 days from the statement. Recalling a payment is also only realistic in the first few hours.
Can scammers really make their call show my bank's number?
Yes. Caller ID spoofing is trivial and free, and many scam calls display the exact number printed on the back of your card. Treat the number on your screen as decoration, never as proof of identity.
How do criminals get into online banking accounts?
Most often through a phishing page that captures your login and then your one-time code in real time, through credential stuffing with a password reused from a breached site, or through a SIM swap that redirects your verification texts. A password manager, a unique password and an app-based or hardware second factor block nearly all of it.
Should I close my account after bank fraud?
Usually not straight away — the bank will normally issue new card numbers and credentials, which is enough. Close and reopen only when the account number itself is circulating, for example after it appeared on a fraudulent invoice or was published in a breach.
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Related
Authoritative sources
Independent primary sources used to check and corroborate the guidance on this page.
- US Consumer Financial Protection Bureau
Rights and dispute procedures for bank and payment fraud.
- UK Financial Ombudsman Service
Escalation route when a UK bank refuses an APP-fraud reimbursement.
- US Federal Trade Commission — ReportFraud
Report payment fraud and unauthorised transfers.
