Cash App Scams: The Top Scams and How to Avoid Them

Cash App has seen a rise in popularity, but so have Cash App Scams. Peer-to-peer mobile payments allow users to transfer money to each other using an app on their mobile phones. Weekly cash giveaways like #CashAppFriday have fueled the app’s popularity. Users can win cash prizes by replying to or retweeting posts that include their $cashtag (the unique ID used for sending and receiving money) by engaging with the app via social media platforms.

Scammers are targeting cash app users and their $cashtags via social media platforms such as Instagram, YouTube, and Twitter. The Better Business Bureau reports that these scammers have replaced scams involving wire transfers and prepaid debit cards. Victims are blocked as soon as the scammer sends the funds.

This article will tell you everything you need to know about Cash App scams to protect your hard-earned cash.

Common Cash App Scams: How They Work

Although Cash App is a money transfer website, it has risks that users need to be aware of. Knowing the top scams, fraudsters use to extort you is the first step in protecting your money and yourself. These are the most common Cash App scams.

Cash App Flipping

Scammers monitor comments during Cash App giveaways to find commenters to target. They send users messages to convince them that they are Cash App “flippers” who can convert a small amount of cash into more. They disappear once they convince users to pay a certain amount to turn the coin. Participants might be called “money circles” by those involved in this scam.

Fraudulent Payment Claims

Payout claim scams are similar to cash flipping. Fraudsters convince Cash App users they have a right to payment. To claim it, they need first to send less cash. Cash App claims it will not request funds from customers and that it is impossible to claim payment by sending cash to Cash App.

Pet Sale Scams

The BBB reported that con artists are charging pet owners to purchase an animal that does not exist due to the increased demand for pets. Fake puppy-sale listings have been popping up all over the internet, from online marketplaces to websites that feature puppies in desperate need of homes to social media.

AARP reported that con artists offer pets for sale at low prices and demand that they be shipped rather than picked up in person. They also insist on payment by cash transfer. The pet doesn’t arrive, and the victim is left with no recourse as Cash App does not guarantee refunds.

Rental scams

Cash App warns its users to be aware of scams involving apartment and home rental deposits. The fraudster claims to have a low-priced rental, but you must transfer money to cover a deposit to see it.

Fraudulent #CashAppFriday and #SuperCashAppFriday Giveaways

Clever fraudsters use comments on giveaways to create fraudulent giveaways with similar themes. The fake campaign can be shared by asking Cash App users for retweets. Scammers ask victims to reply to and send them a message with their $cashtags to “award” them.

Fake Referral Bonuses

Scammers offer a small referral fee for users signing up for services like Dosh. After the user signs up, the tricksters receive the $10 per-person incentive from the company, but they don’t pay out the referral bonus.

Cash App Impersonation and Phishing Scams

Cash App warns against impersonators committing phishing scams. The fraudster pretends to be a cash App representative and tries to get financial or personal information from the user via email, social media or phone. In their phishing scams, they may even direct victims to fake websites or con them into giving their phones. Any information entered by the victim is then illegally taken by the impersonator.

Gift card scams

The Cash App scammers attempt to con people into buying gift cards before they “pay” the cash app giveaway money. To gain the trust of the scammer, they reach out to victims and ask them to purchase prepaid gift certificates from local retailers or well-known websites. To prove that they have made the purchase, the victims give the scammer their card information. The scammer then uses the card information to steal the cash app money.

Customer Service Impersonator

The fraudster poses as a customer service representative and tries to contact the user to inquire about their account balance or any other issue. After the user gives their information to the rep, they quickly discover that their account is empty.

How to Avoid Money Transfer Scams

You can do some things to avoid falling for the scam and other online money-transfer scams.

Tips to Protect Yourself

  • Your personally identifiable information should not be disclosed online, via social media, or by telephone. Scammers lurk on social media platforms such as Instagram and Twitter.
  • Cash App is not recommended for purchasing tickets, pets, or other items from strangers.
  • Avoid direct messaging strangers promising a cash reward.
  • If you receive an email or text message informing you that you have won a prize, reward or other information but need to send money before clicking on any links, do not click on them.
  • Never offer to pay someone or make a purchase for a reward or payment.
  • Prices that seem too good to be true should be avoided. These are often false.
  • Don’t let too much cash accumulate in the account. You could lose everything if you are scammed.
  • Never give out your account information or personal data to anyone claiming to represent Cash App customer service or another employee. You can contact customer service directly via the app or web to verify everything is OK with your account.
  • Double-check your cash before you send it to someone.

Keep your sign-in code secret. Cash App does not ask for sign-in codes over the phone, via social media or any other means. Cash App warns users that you should immediately change their Cash App PIN and report it to the company if they suspect they are being phished.

What to do if you’re a victim of a scam?

Report any fraud to the Cash App team or to the FTC. This will help build a case against the scammers. Please contact your financial institution if you suspect that your bank account number or any other financial information has been compromised. You should replace your debit or credit cards and keep an eye on unusual activity in your accounts.

Cash App Scams: Beware if it sounds too good to be true.

Fraudsters will always find a way to steal your money. You have to be aware of the scammers and stay alert.

While Cash App’s giveaways may be legitimate, beware of scammers who will contact users via phone calls or direct messages looking for cash. It’s rare for money to come with strings attached. If someone calls you promising fast cash, it’s most likely a scam.

Justin `Smith

Justin `Smith

Cash App Payment Pending - Visit the "Activity" section in Cash App to accept a pending payment. Right You can view every pending transaction by selecting the "Pending" tab.

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