Cash apps like Zelle®, Venmo, and CashApp are great for their convenience. But as with all things involving money, scammers are lurking in the shadows. Here’s how to keep yourself (and your money) safe when using cash apps.
Be Detail Oriented
Under the current law, once money is sent it’s an “authorized transaction,” and there is no legal way to retrieve the funds. That means the more detail-oriented you can be, the better. Before you send money, triple check usernames, phone numbers, everything. If you can confirm that you’re sending money to the right person with a picture on their profile, even better.
Don’t Use It for Products
Using a cash app to purchase a product from a retailer is also a big red flag. Retailers typically don’t use cash apps for the legal reasons cited above.
Keep it Personal
An easy way to make sure you don’t get involved in a cash app scam is to only use the apps for transactions with friends and loved ones. Never send money to a person you don’t know personally.
Watch out for Promises
One tactic scammers are using with cash apps is the promise a large sum of money, in exchange for a smaller sum. Essentially, someone will message you claiming that if you send $50 to them today, they’ll send you $500 in a week. Obviously that money is never sent.
Once again, never trust anyone you don’t know with using your cash app platform.