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How To Spot And Avoid Paypal Scams Like a Pro

PayPal is widely considered to be a safe way for making online payments since it employs both end-to-end encryption and two-factor authentication. 

There is a large potential victim base for frauds given that there are over 400 million active users and that the platform is used in over 200 countries and territories. Scammers target anybody and everyone, including those with money and people without jobs.

Paypal App

They also target businesses of all sorts, including very small ones operated by families. Due to the fact that it is one of the most widely used online payment systems, PayPal has earned the well-deserved reputation of being a money transfer service that is both safe and easy to use.

However, there is no method of payment that is completely resistant to fraud. Continue reading to get knowledge about fraudulent activity on PayPal and how to protect yourself from it.

PayPal Scams to Watch Out For

Con artists may be brilliant and convincing, but their plans typically include telltale signs. These are common ones.

Order Confirmation Scam

The majority of PayPal thefts use phishing emails. What gives? Criminals create a fake PayPal email address. They’ll send you a fake purchase confirmation email. You may verify the status of your purchase by clicking a link in the message.

“What remains the same every time is what the criminal is ultimately after,” says Karim Hijazi, CEO of cybersecurity company Prevailion and former CIA contractor. “They use a bogus website to get your PayPal login details.” Once a con artist has your login information, they may access your account and withdraw money, make purchases, and doxx you.

Fraud Warning Rip-Off

Beware unsolicited PayPal alert messages. These false fraud alerts, or “smishing” attacks, are hard to spot since no two are the same. Others may notify you to suspicious profile activity or account access attempts.

Hijazi said scammers would deploy distinct false alarms. Receiving a PayPal alert abruptly indicates fraud, even whether PayPal sends texts or emails for one-time login credentials or two-factor verification.

Even though the SMS looks to be from a real PayPal number, clicking on the link may bring you to a fake login page that steals your account information, including your password. Delete any fraudulent SMS as soon as you receive them since clicking on the link might download malware that spies on your iPhone.

Unauthorized Payment/Transfer Scam

Peer to Peer

Before accepting a PayPal transfer or payment, check the statement. Some scam artists create fake accounts to impersonate real people or corporations.

If you pay the scammer, report it to PayPal. PayPal cannot guarantee refunds. Never accept an unsolicited PayPal payment or transfer request; instead, initiate transactions.

Password-reset scam

PayPal password reset? Hamerstone recommends against clicking text or email links. If your account is hacked, log in using PayPal’s app or website. Reset your password.

Scammers fake PayPal password reset mails. Opening a text message or email link or downloading malware might give hackers your login credentials. Increasing iPhone security and reviewing privacy settings may protect you from hackers.

Charitable fraud

Another PayPal fraud involves bogus organizations. Scammers establish bogus charity websites and ask for PayPal donations. They may give fake confirmation emails or receipts to make the transaction seem legitimate, but they’ve already stolen your money.

Even while fake charity websites appear impressive, there are ways to spot them and avoid becoming a victim.

False advertising

This scam uses a bogus email or phone number to seem to be from PayPal, sending fraudulent fraud alerts or purchase confirmation emails. The notification informs users that their accounts have been rewarded after meeting a promotion’s conditions.

The con artist wants the client to click on a malware-infected file or enter their PayPal login details on a phony website.

If you have been scammed through online, then contact us to get your money back!

Fake refunds

payment refund

Not all PayPal transfers are mistakes. Con artists utilize this to get you to pay them money. The fraudster may send several hundred dollars to your account using PayPal credentials, then tell you saying something went wrong.

Please return it. Your payment is transmitted to the criminal’s card, connected to the false account, and debited from your account with the stolen money.

Shocking Paypal Facebook Marketplace Scam

When making large transactions on Facebook, please learn from this scam so you do not make a mistake and end up losing all your money. The scam begins when you list an expensive item on Facebook Marketplace and a customer asks to pay using a P2P app such as Paypal. 

After receiving the money, you get an email from the app saying the buyer used a “business account” and you must upgrade your account to accept the payment. BBB says if you return the money, the scam artist will offer to upgrade your account for $300.

Victims say they got emails from [email protected] persuading them to upgrade to a business account. Also, victims have received images showing the app’s payment. Con artists push victims to repay the money they gave them to upgrade to a business account.

If you return the money, you’ll learn the scam artist never sent it. The scam artist usually takes a few hundred bucks and disappears.

FAQs about Paypal Scams

How to get a refund on Paypal if Scammed?

What you need to do is log in to your Paypal account, from there go to the resolution center, and click the report a problem option. Then select the transaction you would like to dispute and ask for a refund.

How can you report a Paypal scam?

Now you can report scams to Paypal by forwarding the entire scam email to there website.

Received a Bitcoin invoice from PayPal - what to do?

Surprised to receive an invoice from PayPal? Sending money will only lead to fraudulent activity. The subject line will be something like “Invoice from Bitcoin Exchange (####),” or anything similarly descriptive. Even though PayPal was the one to send the email and invoice, the person who made them is dishonest and should be avoided.

Key Takeaways!

Paypal scams are becoming increasingly common these days so steer clear of them by spotting them beforehand. If you were not lucky enough to spot them before, then reach out to the Funds Trace team of handy asset recovery agents and we will help you get your money back.

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