Interac e-Transfer^® Fraud

Fraudsters exploit vulnerabilities in the Interac e-Transfer service in various ways to intercept funds and scam money from people and businesses.

As with any digital payment system, fraudsters are always looking for ways to exploit vulnerabilities. These vulnerabilities could be within the system itself, or the people who use the service. Understanding how these scams work and how to protect your business is essential for maintaining financial security.

While not extensive, this article contains some of the more common fraud tactics used today in relation to the Interac e-Transfer^® service.

Common Fraud Tactics

• Phishing Scams - Fraudsters may send fake emails or text messages that mimic legitimate Interac e-Transfer notifications. These messages often include links to fraudulent websites designed to capture login credentials or security question answers. Always verify the sender’s information and avoid clicking on suspicious links.
• Social Engineering - Some scammers attempt to trick individuals into revealing the answers to their security questions. For example, a fraudster might pose as a trusted contact or even a bank representative, urging the victim to disclose sensitive information. Remember, never share your security question answer via email or text message.
• Guessable Security Questions - If the security question and answer are based on publicly available or easily guessable information (such as a pet’s name or hometown), fraudsters can sometimes crack the code. It’s advisable to choose a question with an answer that is both memorable for you and obscure to others.
• Fake Invoices and Payment Requests - Fraudsters sometimes send counterfeit invoices or Interac e-Transfer money requests that appear to be from a legitimate business or service provider. The victim, believing they are paying for a genuine expense, sends the money before realizing the invoice was fraudulent.