See how to steer clear of scams that target tap-to-pay systems.

There’s a new scam that targets tap-to-pay cards and mobile wallets called ghost tapping. It takes advantage of the Near Field Communication technology that allows devices—like point-of-sale terminals and smartphones—to exchange information when they are in close proximity. Here’s how ghost tapping works and what you need to know to protect against this type of fraud.

When might ghost tapping happen?

Ghost tapping happens in several ways.

Sometimes scammers bump into card and mobile wallet holders in crowded places. Charges are made without the account holder’s awareness.

Other times, scammers pose as a charity asking for a small amount using tap-to-pay and charge a higher amount. A variation on higher charges is used by fraudulent vendors at events who charge more than the posted or agreed-upon price. In both of these scenarios, the perpetrators of ghost tapping rely on speed. They rush through the transaction without the cardholder being able to see the screens that show the business name and transaction amount.

How to stay safe

To protect yourself from ghost-tapping, take these precautions:

• Keep cards in an RFID-blocking wallet or sleeve so scammers can’t access your account info just by being close to you.
• Turn on credit card alerts so you’re notified anytime a charge is made on your account. If you see charges you didn’t make, notify the card issuer immediately.
• When using tap-to-pay, verify the business name and total on the screen before completing the transaction.

Stay ahead of scammers

At Consumers, we have a dedicated team to help protect you from financial fraud and learn how to avoid scams. Check out the latest fraud articles and podcasts on our security page.

 

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