By Ryan Kaiser, CFE, Assistant Vice President, Fraud Risk Officer, Canandaigua National Bank & Trust
Many Americans are utilizing investment
accounts to build wealth. In fact, sums
held in investments often exceed what
would typically be held in a checking or
savings account. Additionally, the average
consumer likely does not check in on
their investment account activity as often
as they review their checking account
balance. What does this all add up to?
Vast opportunities for fraudsters to target
unsuspecting consumers. Read on to learn
how can protect your accounts.
- Unauthorized account access:
fraudsters source valuable personal
information from an account profile,
for the purpose of conducting identity
theft schemes later. Alternatively,
a bad actor may conduct account
reconnaissance to identify an
opportune time to conduct financial
fraud.
- Unauthorized transaction attempts:
within the context of a 401(k) account,
this could be a loan or distribution
request, or in the case of a brokerage
account, a sale of stock or fraudulent
withdrawal.
- Use strong, unique, lengthy passwords
which are updated regularly.
- Safely dispose of documents containing
sensitive information.
- Use multifactor authentication on your
investment account(s), if available.
- Utilize account alert features. These
notifications trigger when certain
conditions occur, such as failed login
attempts, password changes, or
transaction attempts.
- Beware of phishing, SMShing, and
other social engineering attempts – do
not click on suspicious links or engage
with individuals you are unsure about.
- Safeguard devices with biometric
mechanisms (fingerprint or facial
recognition).
- Keep devices up to date, including
system updates and anti-virus/malware
software.
- Do not use public computers or
unsecured WiFi connections to conduct
financial transactions.
- Regularly check account statements
for errors or unauthorized activity.
- Notify your financial services provider
of the event immediately.
- Close compromised accounts and
open new ones.
- Continue monitoring for additional
suspicious activity.
- Consider placing a credit freeze or
fraud alert.
- Monitor your credit report for potential
signs of identity theft.
- Consider having impacted personal
devices checked by an IT professional.
- Notify law enforcement, particularly if a
loss occurred.
Our team is ready to answer any fraud
prevention questions you may have. For
current articles and additional resources,
visit CNBank.com/Security.
©2023 Broadridge Investor Communication Solutions, Inc. All rights reserved. This material provided by Ryan Kaiser.