No one likes carrying cash around, especially when using it results in spare change jingling around in your pocket. To avoid this, tech companies have created apps to send and receive money instantaneously through their phones. Cash App is one of these options.
With Cash App, you can send your share of rent with your roommate, lend a friend some money, or pay a vendor at a convention. It comes with a “Cash Card” that lets you make purchases using funds you’ve added as well as allows you to invest in stocks and trade bitcoin.
However, Cash App scams have been on a rise in recent years. You think you’re making a legitimate purchase when suddenly you’re out hundreds of dollars.
Here are ten tips on how to avoid falling for a Cash App scam.
1. Verify a Vendor’s Legitimacy
When transfers are made through Cash App, they’re instantaneous. There’s no cancel button, so your money is gone once you hit send. Be absolutely sure that a vendor is legitimate and won’t scam you out of some money before making any deals.
In 2020, one user used her account to purchase clothing and was defrauded by an unknown perpetrator. They withdrew $3,000 from her account.
The user ended up suing the company because they denied her dispute. You can learn more about it here.
To avoid any similar trouble, don’t give any vendor access to your account, and report any troubling behavior to Cash App as soon as possible.
2. Never Provide Personal Information
One Cash App scam you may encounter is someone claiming to be Cash Support asking for your personal information. They might ask for your App PIN or sign-in code. However, Cash Support will never ask for your private information.
They will never require you to send a payment, make a purchase, or anything else outside of the app itself.
Likewise, you should never give any of your private information out to vendors or even people you know. Treat your Cash App account the same as your credit card or bank account.
3. Send Money to Those You Trust
Something to keep in mind when using Cash App is that it wires money directly to the other person’s account instantly. It’s easy to pay for something and never get the item, especially if the transaction is done online. Even if you manage to get your money back, it could take days to verify and return.
Try to only make transactions with people you trust or can hold accountable. And don’t send money to someone promising to invest for you or return that money in the future.
4. Follow Cash App on Social Media
Although scammers will trick Cash App users by claiming they’ve won money, there are official sweepstakes held by the Cash App team on their Twitter account.
The best way to steer clear of scammers is to stay aware of what Cash App does on their social media profiles. Sweepstakes will never require participants to give any personal information that would compromise their accounts. They also won’t require customers to send payments or make purchases.
5. Know the Rules
A good way to avoid Cash App scams is to know the rules and terms of service. For example, the terms of service clearly state that users should contact support immediately if there are any unauthorized transactions or errors.
However, while they will cover certain losses for incomplete or incorrect transactions, there are some exceptions. They won’t refund users if they knew the Cash App wasn’t working properly in the first place and made a payment anyway.
6. Be Aware of Scammers Taking Advantage of Events
Once you know what Cash App support will do and what they won’t do, it can be much easier to navigate scammers posing as them. These can take the form of Cash App scam email or direct messages on social media.
Cash App won’t ask for additional information once you’ve made an account with them. They won’t ask you to make purchases or transfer money. You also won’t ever be expected to download any additional applications to test transactions.
7. Contact Cash App Support
When in doubt, contact Cash App support to notify them of any sketchy behavior you encounter. If someone claiming to represent them reaches out requesting information, contact Cash App support to verify its legitimacy.
Chances are other people have reported the same activity, and they can warn people to ignore these requests through their official channels.
8. Request a Cash App Scam Refund
If an item you’ve purchased was never delivered, came broken, or was different than expected, you can request a refund from the vendor. It can take up to 10 business days to get your money back.
If you do not receive a refund or believe you have been scammed on Cash App, you can reach out to Cash App support. They will help you dispute the transaction. Their team will investigate the claim and let users know their final decision.
9. Avoid Cash App Flip Scam
A Cash App flip scam works by luring users into sending them money with the promise that they’ll get it back in the future, like an investment. However, the scammer then moves onto their next victim after receiving payment and never responds to the initial user.
Cash App will never request you “invest” money into their business. In general, don’t lend people money unless you know them and can follow up with them afterward.
10. Don’t Buy Gift Cards
Buying gift cards for scammers is an older but still often used way to get money from Cash App users. The scammer will request that a victim purchase prepaid gift cards for the scammer to earn their trust.
Once the information is shared, however, they can now steal the card without ever paying the giveaway money they promised.
Don’t Become a Victim of a Cash App Scam
Cash App makes moving money much easier and faster than other methods. A check could take days to clear, and cash can be misplaced. Take care not to get taken in by a Cash App scam, however.
Since money is instantly transferred, getting tricked by a scammer could be a serious problem. Avoid sending out private details to vendors, don’t buy into any get-rich-quick schemes, and always verify any dealings with Cash App support.
If you’re interested in learning more about legal issues, check out our other articles.