Money mule scam: Top five ways to remain safe from this bank account fraud

livemint.com:

Money mule scam: In today's digital transaction landscape, transferring funds between bank accounts has become remarkably convenient, taking just a few minutes. However, alongside this ease, there's been a concerning surge in fraud cases. Fraudsters are utilizing more sophisticated tactics to exploit vulnerabilities within the digital transaction ecosystem. One such scheme gaining prominence is the money mule fraud.

Money mule schemes are orchestrated by organised fraud rings that gather money from diverse sources, often by acquiring UPI information and channeling it through intermediary accounts. In these schemes, individuals, termed money mules, are recruited by fraudsters to move unlawfully obtained funds between accounts. These individuals are often promised payment or incentives for their involvement, yet they are frequently unaware of the illegal nature of their actions. The funds transferred by these money mules are typically acquired through fraudulent methods like phishing scams, identity theft, or other cybercrimes.

“Avoid sharing your bank account details, passwords, and other sensitive information with anyone. Keep a close eye on your bank account transactions. Set up alerts for any unusual activity, such as large withdrawals or transfers, and report them to your bank immediately," said Amit Relan, Co-Founder and CEO, of mFilterIt.

If you suspect that your account has been compromised or if you come across any suspicious activity, report it to your bank and relevant law enforcement authorities immediately, added Amit Relan. 

Dhiren .V. Dedhia, Head – Enterprise Solutions, CrossFraud suggested individuals routinely inspect their account transactions to promptly identify any indications of fraudulent behaviour.