8 Smart Safety Tips for Online Money Transfer Apps

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Until recently, splitting the bill at a restaurant was a cumbersome process, one that required multiple credit card transactions and late-night trips to the ATM. These days settling up with friends after dinner is as simple as transferring funds through a handy online money transfer app.

The proliferation of online money transfer apps has made lives easier, but that convenience can come at a cost. These apps are simple to use, but they are also easy to misuse, and it is important to establish some smart safety practices to keep your bank account secure. Here are eight smart safety tips for your online money transfer apps.

1. Check your account balance before and after every transfer.

It is easy for an online payment to go awry, and a simple mistake could leave your account overdrawn. It is important to check the balance in your account before and after every online transfer, reconciling your balance and ensuring the dollar amounts all match.

2. Contact your bank right away if there are any issues.

The window to report mistakes with online money transfers is limited, and it is important to contact the bank right away if you notice anything strange. The sooner you act, the sooner you can get your money back.

3. Keep a running tally of transfers and amounts.

Online payment services make it easy to pay friends for dinner, share the cost of travel, and complete other daily financial tasks, but it is easy to lose track of how much all that is costing you. If you want to keep your money safe, it is important to keep a running tally of all your transfers and the associated dollar amounts.

4. Never respond to an unsolicited request for money.

Scammers are already using money transfer services to dupe their victims, and they are sending unsolicited text messages and emails to grab the money. You should never respond to any unsolicited message, especially if it comes with a request for money.

5. Verify the authenticity of every invoice.

Another money transfer scam making the rounds involves phony invoices, so it is important to verify the authenticity of each request for payment. If you receive a bill and a request to pay, contact the company to make sure it is real before you pay.

6. Make sure you have complete contact information for every person you pay.

There are rules in place that require senders and recipients to report certain payments, so make sure you have complete contact information for each and every online transaction.

7. Never share your login information with anyone.

When your money is on the line, you cannot afford to share too much, so keep your login credentials to yourself. It is important to set up a unique user ID and password just for online transfers.

8. Secure your mobile devices with a powerful password or advanced biometric security.

When you have online money transfer apps on your phone, that device could enable a thief to steal your money. Be sure to lock down your smartphone and other mobile devices with a robust password or the latest in biometric security protection.

Online money transfer apps can be incredibly useful when you eat out, travel, and live your daily life. With the touch of a button, you can pay back the money a friend loaned to you, split the lunch tab with your coworkers and settle up without a single hassle. Even so, it is important to keep yourself safe, and the eight tips listed above can help you do just that.

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The articles and content published on this blog are provided for informational purposes only. The information presented is not intended to be, and should not be taken as, legal, financial, or professional advice. Readers are advised to seek appropriate professional guidance and conduct their own due diligence before making any decisions based on the information provided.