Email Fraud: Fighting Fire with Fire

By Ray Parenteau, Founder, ClickRSVP

It used to be that email fraud scams were limited to the big national banks and credit card issuers. Scammers were working the numbers, and reaching for the low-hanging fruit. But, like everything else on the Internet, news spreads fast – good and bad alike.

So, it’s no surprise that scammers are now attacking smaller institutions. Worse yet, they’re getting better at “spoofing” their target’s web sites. In a new variation, the “phishing” email actually takes the recipient to the institution’s real web site, but overlays a bogus pop-up request for account information.

It’s not going to get easier. Now most financial web sites prominently display anti-fraud tips and resources. That makes sense, just as statement stuffers and other informational tools spread the word that “we will never ask you for …”

So, where does that leave email as a contact point for bank customers and credit union members? You can (and should) alert your online banking customers and members, if you have their email address. But that’s a partial solution. Your customers and members don’t all use online banking, and they likely have two or more email addresses.

The sad reality is that financial institutions have not emailed their audience enough. Our research suggests that fewer than 10% of financial institutions have an active email marketing program. So, when a scammer poses as you, how does the recipient know what your emails are supposed to look like?

At the risk of sounding too self-promotional, I say: “Fight fire with fire.” Start an email marketing program, and begin with an informational piece about email fraud. Let your audience know what your emails look and sound like. Right now, all they have seen are operational account messages and scam attempts.

This is not going away soon. The Internet community is slow at adopting technology solutions, and the bad guys catch on real quick. Just remember: if you’re not emailing your members and customers, who is?

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