Our society continues to become more and more digitally oriented. There are many things we do primarily online now, and for most people this includes banking. In fact, according to a 2022 poll, 78% of Americans prefer banking digitally.
While being able to do a lot of your banking right from your computer or phone has made managing finances faster and simpler, it has also made it easier for scammers and hackers to access your personal information. Here are some tips to help ensure your information and finances are protected while you are banking digitally.
Enable Multi-Factor Authentication
Multi-factor authentication is a way to add another layer of security to your account beyond your password. There are a variety of forms, including receiving a text message or an email with a code you would then need to type in, identifying an image, answering security questions, and more. By having multi-factor authentication turned on, even if a hacker gets your password, it will still be difficult for them to gain access to your account.
Avoid Suspicious Messages/Links
Another way scammers will try to gain access to your information is through phishing schemes. Phishing is a method they use where they will send emails, texts or other forms of messages claiming to be from well-known companies or organizations to try and get people to give up their personal information. These messages will often include links or attachments — if you click on them, it will give the hacker access to your computer where they can gather your information.
Some of the common prompts in phishing messages include saying they've noticed suspicious activity on your account, claiming there's an issue with your billing information, or that you won a prize/sweepstakes. All of them will either involve asking for your personal information or asking you to click on something.
Carefully read messages you receive like this to see if they look legitimate. If you have any doubt at all about their validity, Google the contact information for the company they are claiming to be and reach out to ask if they would send anything like the message you received.
Research Before You Buy
Before you make a purchase, do some background information on the company you are buying from. If it's not a well-known retailer, you'll want to try and find some reviews to ensure other customers have had good experiences and that the site is not a scam.
Regularly Update Your Password
It's important to update your password regularly. Changing your password every couple of months decreases the chances of it being stolen. When choosing a password, try to make it longer with a good mix of upper- and lower-case letters, and include numbers and special characters. The more complicated it is, the harder it will be to decode. Also, never choose the option to save or remember your login credentials on a site or app, as doing so will also increase the chances of being hacked. If you have trouble remembering your passwords, write them down in a book or use a stand-alone password manager.
Turn on Alerts
After creating your bank account, one of the first things you should sign up for is alerts. With alerts turned on, your bank will send you a text message or email when any suspicious activity occurs with your account. Some of the activities that would trigger an alert include failed login attempts, password changes, purchases that don't align with your typical spending activity, and low or high balances. By receiving these alerts, you'll often know right away when someone has access to your account, allowing you to get a jump on it. If someone does have access your account, the first thing you should do is call your financial institution to report the fraud and they will be able to walk you through what to do next.
Online banking is not going away anytime soon. By following these tips, you'll be able to feel comfortable knowing your personal information is protected while you manage your finances digitally.
Erin Ellis
Accredited Financial Counselor ®
Philadelphia Federal Credit Union
eellis@PFCU.COM