The FBI is warning Americans against using cryptocurrency money transmitting services that are not registered as Money Services Businesses (MSB). Services not registered as a MSB do not adhere to anti-money laundering requirements, increasing the chance of fraud.
Thankfully, with some education and a few simple steps, you can prevent unintentionally using a non-complaint money service!
The FBI has recently conducted law enforcement operations against cryptocurrency services which were not licensed in accordance with federal law. People who use unlicensed cryptocurrency money transmitting services may encounter financial disruptions during law enforcement actions, especially if their cryptocurrency is intermingled with funds obtained through illegal means.
Cryptocurrency money transmitting services that purposely break the law or knowingly facilitate illegal transactions will be investigated by law enforcement. Using a service that does not comply with its legal obligations may put you at risk of losing access to funds after law enforcement operations target those businesses.
According to the Federal Trade Commission, criminals stole a reported $10 billion from Americans last year.
While scammers continue to target victims, we’re here to make sure you stay up to date on their tactics and how to avoid them.
Informed Delivery is a free service from the U.S. Postal Service. The agency emails photos of letter-size mail expected to be delivered to you that day or shortly after. This is a great way to be sure nothing is stolen from your mailbox by thieves. You can sign up for this service online. You should also pick up mail as quickly as possible after it’s delivered, and always take your outgoing mail directly to the post office. A common scam we see is criminals stealing checks from mailboxes, erasing the ink and using them to steal from bank accounts.
Card skimming, where a criminal places a credit card reader on top of a legitimate card reader at a store or gas station, is estimated to cause up to $1 billion in losses annually. When you are paying at a gas station or other locations, inspect the device for loose or broken machinery to make sure someone hasn’t tampered with it. If you are unsure if the device has been modified, let the cashier know and pay using an alternative method.
Routinely check your credit report and watch for unusual activity. If you see any, report it to the appropriate financial institution immediately. You may also consider freezing your credit report. This prevents scammers from opening new credit cards or making big purchases in your name. You can unfreeze it as needed for upcoming transactions. Visit IdentityTheft.gov for more information on how to stay safe.
Be sure to create online accounts with each of your financial institutions. As you sign up make sure to come up with a unique password for each login, and every few months, revise the passwords. From there, get in the habit of reviewing the transaction lists on a weekly or biweekly basis. Be sure you can account for every listed transaction. Remember to Immediately report any odd or incorrect transactions. CorTrust Bank customers can set up an online account in minutes.
Set your profile so that only your friends can see your Facebook page. To do that, click the downward arrow button in the upper-right corner of your Facebook page, then click on Settings & Privacy and Privacy Checkup. This easy-to-use feature will guide you through the settings to help ensure your account is secure. As a reminder, never accept friend requests from people you don’t know or respond to random messages from strangers.
To avoid online shopping scams, double-check the spelling of a website URL to ensure you are on the legitimate page. Criminals often create a URL with one letter off from the authentic one in hopes you won’t catch it. Remember to remove your credit card number and information from restaurant delivery and retail store sites to avoid the potential of having information included in a data breach.