MoneyDon't Waste Your Money


DWYM: Beware cash givebacks on apps like Venmo, Zelle

DWYM: Beware cash givebacks on apps like Venmo, Zelle
Posted at 6:56 AM, Sep 27, 2021
and last updated 2021-09-27 07:59:22-04

We have a warning to anyone who uses Venmo or similar apps.

Thousands of people are getting notices that someone "accidentally" sent them cash.

Do you use money transfer apps like Venmo, Zelle, or Cash App?

If so, the Better Business Bureau has an important alert about a slick new scam you need to know about.

Venmo and Zelle are a popular way to transfer money to friends.

"I used Venmo all the time, I do like it and its very convenient.," one user says, adding they enjoy using it.

But the Better Business Bureau says beware unexpected transfers of cash into your account.

Shelbi Felbinger found a stranger offering her $2,000.

Follow back and DM, and get $2,000.

It was scary, she says.

"I'm not entirely sure how he found me, which is a little nervewracking," she said

The BBB says a more common version of the scam sends money to your Venmo account and then asks for it back, claiming it was a mistake.

"They say oops, so sorry, I didn't mean to send you that...can you please send it back to me."

It's not easy getting into someone's bank account. So how does a Venmo scammer manage to get into your phone?

Sara Kemerer of the BBB says the scammers target numbers randomly, or find you on social media. The money is usually sent from a stolen credit card.

When you return the money -- to be nice -- your are really sending your own cash.

The money they sent disappears, since it came from a now invalid credit card.

“You're actually out the money, when you thought you were just sending the money back to them...from an honest mistake," Kemerer said.

So if you receive money from a stranger? Don't send it back or you could lose hundreds of dollars.

And finally, know that with money transfer apps anything you send is gone forever: you can't pull it back.

So be careful so you don't waste your money.