Scam Prevention & Detection is Focus of New OpSS Council White Paper

CUNA Councils
August 12, 2010 | COMMENTS

Credit union front-line staff who stay alert for signs of fraud and educate members to do the same can effectively protect members and credit union assets, says a new white paper just released by the CUNA Operations, Sales & Service (OpSS) Council.

“Too Good to Be True: Detection and Prevention Of Common Scams” describes what members are most at risk of scams, examines five common types of scams through the eyes of four credit union professionals, and provides suggestions and resources for credit unions seeking to strengthen their defenses against these crimes:

• Lottery scams, one of the most common types of mass-marketing fraud, a crime using telemarketing or bulk mail;
• Work-at-home scams, often starting with a job offer via mail or e-mail;
• Phishing, smishing, and vishing, scams using e-mail, text, or telephone to entice members into personal financial information;
• Debit and ATM scams, often starting with a card-reader and wireless camera attached to an ATM or gas pump to capture card information; and
• Wire fraud, often involving someone falsely representing the member, requesting a transfer of funds via Western Union.

"Scammers prey on the most vulnerable people by appealing to their need, greed, compassion, respect for authority figures, and unsuspicious nature. So many different scams are out there, but awareness among credit union staff and members can expose and thwart them all," the paper says.

CUNA Council members are entitled to complimentary copies of these and more than 200 white papers; non-members may purchase the white papers for a price of $50 per copy.

The paper is available online in the white paper section of each council site – select the “OpSS” tab.