Fake Mobile Banking Apps Triple In Number
By: Jim Stickley and Tina Davis
November 25, 2019
The mobile apps we’ve come to know, and love are getting riskier to use. Fake mobile apps are on the rise in a big way, especially those apps we use for banking. There’s no doubt financial fraud is on the rise, and RSA’s Fraud and Risk Intelligence (FRI) team discovered financial malware is up 80% between the last six months of 2018 and the first six months of 2019. The average cost of each fraudulent transaction is $312 in the US–maybe not enough to break the bank, but the sheer volume of attacks makes up for that. The FRI also found a 63% increase in fraudulent attacks during that same time. The reasons for the upticks may be many, but none more than the explosion of online banking and other financial apps. If there’s one thing you can bank on, there’s no shortage of hackers looking to ride that big wave to their benefit.
Spending money has never been easier with things like one-click payments and retail mobile apps, but there may be a price to pay for that convenience. The increase in banking fraud may also be helped by the number of infected apps finding their way to Google Play Store and Apple App Store. Both app stores have inadvertently sold hundreds of infected apps, many of them having to do with banking. Although both do their best to screen for malware, at times it’s only after the infected apps have been downloaded by millions of users that they are removed. Although it may seem the odds are stacked against banking app fans, it’s not quite time to stand in line at the bank. The truth is, mobile apps are still more secure than using an unverified website.
Awareness may be the biggest ally against fraudulent mobile banking apps. Keeping tabs on financial accounts for suspicious transactions goes a long way. Hackers may first test by removing small amounts of cash before they move in for the kill. Any withdrawal, no matter how insignificant, should be reported to your bank immediately. You also have the option of placing a freeze on your credit to prevent any future damage down the road. You can do this rather simply by going to the websites of the three major credit bureaus—Equifax, TransUnion, and Experian—and placing the freeze. Recent legislation by Congress requires freezing and unfreezing credit to be free of charge now. Just make sure you don’t need to get or give access to your credit report. But, if you do, you can unfreeze it temporarily.
To help limit infected apps, always go to the official stores for your download. Although they’re not perfect, both app stores do work to reduce fraudulent apps. Downloading from third-party vendors, called sideloading, is highly risky as they are not as diligent about looking to prevent infected apps from being sold. Also, reading app reviews before downloading can save a lot of headaches to begin with. Using email phishing smarts can help prevent financial fraud. Don’t jump to click on links or open attachments as they can be out to steal your data. If you get an email from your bank asking for account information, that’s a big clue it could be phish bait. Always go directly to the official website to see if the request is legitimate, and only then should you provide account details. It may take some work to bank safer online, but only you can decide if the convenience is worth it.