Even the most careful people are eventually taken in by online scams. APP scams are when you are tricked into sending money to a scammer for a product or service that never arrives. Here’s how to spot and avoid them.

What Is an APP Scam?

APP (Authorize Push Payment) scams, or APP fraud, are any scam where you’re fooled into sending money to someone. It’s an umbrella term for a number of classic scam techniques that are enabled by the convenience of online payment systems.

APP scams can happen any number of ways. Naturally, these usually involve some form of impersonation, because nobody is going to transfer money to someone who identifies themselves as a fraudster (theoretically).

APP scams often use impersonation and intimidation methods such as the following.

False E-Commerce Transactions

You may be tricked into buying something from a fake online store that doesn’t actually exist. You could also receive an email claiming to be from a business that you have actually purchased from, impersonating them and trying to trick you into paying them instead of the real seller. Often they’ll have details of a real transaction from a recent data breach to accomplish this subterfuge.

Fake Emails From the Tax Department or Government Authority

You owe the IRS a million dollars! Or maybe not. If someone purporting to be from a government organization contacts you asking for urgent payment, contact that department directly using a known phone number to confirm that you actually owe money, and have the correct payment details.

Romance and Friendship

Not every romance scam is as dramatic as arriving at the airport to find your long-distance love interest wasn’t on the plane. If you’re getting to know someone online, and they start asking for even small amounts of money, you’re probably one of many others who were asked. Don’t be the one who answers.

Promises of Fortune

It’s easy to let hope get in the way of clear thinking. Investment and loan scams prey on those of us who need a little extra cash to get by.>

APP fraudsters don’t just push their scams online—while just 16% of APP fraud is done over the phone, according to UK Finance, that accounts for a huge 43% of losses. By calling you with an urgent payment (risking fines or punishment), the scammer adds urgency. This is a common way to get people to give up their payment details in a panic.

You should also watch out if your friends or family start asking for money through online communication: if they haven’t been practicing good online security practices, their accounts could have been taken over by a scammer who is now impersonating them.

How to Protect Yourself From APP Scams

Finance and e-commerce scams are easy to carry out, and thankfully some are easy to avoid. Simply discontinue engagement with online profiles that request or promise money, and confirm with your friends and family in person if they request assistance.

Some scams are more difficult to identify and avoid. Spotting a fake email from an online store, payment platform, or the government can be challenging. AI tools are also making it easier to impersonate anything from artisanal individual sellers to big e-commerce platforms and government agencies.

To protect against this, you should never follow payment links from emails (that can be easily faked), and instead look up the official website for the organization you need to make payment to, and use the payment function or details provided there. If you’re receiving phone calls from a bank or government asking you to pay, look up their published support phone number and call them back to make sure you’re not talking to a scammer.

You should also avoid sharing your details online, as they may be used to initiate a fraudulent payment, or later leveraged to trick you into another scam. Cybersecurity tools can help prevent information leaks, so make sure you’re keeping your devices updated, and are using anti-malware software, securing your accounts with two-factor authentication, and utilizing other security tools.

Malwarebytes Premium

Malwarebytes Premium is easy-to-use and effective virus and malware protection, which works well alongside Windows Security tools or as a stand-alone solution.

Most importantly, don’t let anyone rush into making a payment. No matter how urgent, put down your phone, and take a moment to assess the situation. If you’re still unsure, get a second opinion from a tech-savvy family member.

When It’s Gone, It’s Usually Gone

Generally, once you’ve transferred money to someone, it’s gone. Though there are rare cases where banks are able to claw back funds transferred in an APP scam, usually the money is quickly re-routed somewhere out-of-reach of anyone trying to recover it.

Prevention is the only foolproof cure, and the best protection is to stay vigilant against the growing number of online scams. The proliferation of AI tools is making it easier to automate a variety of fraudulent schemes, allowing attackers to cast a wide net in the hope of catching naive users, or someone who’s just having a bad day.