13 Popular Cash App Scams to Know and How to Avoid Them

Millions of US and UK consumers have found Cash App beneficial. Sending money to people online is so much easier with the platform.

Cash App has prospered in a post-Covid world where people are growing accustomed to cashless transactions. However, just like several peer-to-peer (P2P) payment applications, it can be a target for scammers.

As the use of the app increases, so does the frequency of Cash App fraud.

In this article, we will inform you of the many popular Cash App Scams that con artists might use to scam you in 2024. We will also share some tips to help you protect your data and secure your financial transactions online. Let’s get into it.

13 Common Cash App Scams – Quick List

If you’re short on time, read this quick list to understand how scammers approach people on Cash App. Once you read further, you’ll find a detailed explanation of how each scam works, and you will know exactly how to avoid them.

What is Cash App?

Cash App is a peer-to-peer (P2P) payment program that enables mobile money transfers between Cash App accounts. It is available only to users in the US and the UK. Users can also trade Bitcoin, buy stocks on the platform, and make payments at partner stores for products and services.

Cash App is similar to other peer-to-peer payment platforms such as Zelle and Venmo. These applications are also referred to as cash transfers or money apps. Apps like this were majorly developed to make it easy and quick for people to send money to each other because paying someone back their money can be a pain sometimes. With more financial transactions completed online, Cash App’s popularity continues to extend even to other financial services.

How Does Cash App Work?

Sending and receiving money on Cash App is very straightforward. To send Cash app money, just enter how much you wish to send, find and choose a recipient, and then click ‘Pay’ to complete the transaction. The funds will appear in the receiver’s Cash App balance, where they can either transfer it to their bank account or keep it on the Cash App. Following the same procedure, you may ask someone for money by clicking ‘Receive’ rather than ‘Pay.’

To get started, you can download Cash App from the Apple Store or Google Play Store, just like any other money transfer app. Next, create a unique tag (a Cash tag) and connect your bank account to the Cash App account. This tag is unique and allows you to request or send Cash app money without disclosing your account details.

Like regular bank account deposits, receiving and sending money is free on Cash App and takes only one to three business days to process. However, if you notice deductions from the Cash App you didn’t authorize, it’s likely due to service charges. These charges range from 0.5% to 1.75% for immediate deposits, and small businesses incur a fee of 2.75% on received payments.

How Secure is the Cash App Platform?

Cash App is secure for transactions involving people you know and can personally verify. However, it’s not intended to be something other than replace debit cards. Unlike credit or debit cards, Cash App doesn’t have many protective features against fraudulent activities.

Receiving money from strangers on Cash App is generally safe, especially when anticipating it, as it doesn’t expose sensitive information. The same goes for sending money.

You can also decide to get a Cash App Card that’s connected to your account balance. This card allows you to buy whatever you need anywhere. Visa is accepted without needing your phone.

Cash App is safe for small transactions with people you know personally, and it has some safety features that include:

• Encryption: All information sent using Cash App is end-to-end encrypted. It doesn’t matter whether you’re using public or private Wi-Fi or even a cellular data service like 4G.
• Card block: If you ever lose your Cash Card or it gets stolen, you can remotely deactivate it to prevent scammers from using it.
• Fraud monitoring: Thankfully, Cash App monitors suspicious transactions and occasionally cancels them. However, its fraud protection capabilities are somewhat limited.
• Notifications: Cash App informs you about unusual activity by sending push notifications, emails, or text messages.
• Biometric settings: Within Cash App’s Privacy & Security settings, a “Security Lock” feature allows you to enable biometric authentication methods like facial recognition or Touch ID to transfer money.
• Security locks: Whenever you log in to Cash App, you receive a unique one-time passcode (OTP). You can also activate a PIN requirement for every transaction.

Can Someone Swipe Your Cash App Account?

Ordinarily, no. Only if the scammer can get their hands on your smartphone. If you suspect signs of phone hacking, just refrain from using the platform and other payment apps immediately. While Cash App is generally secure, its convenience in accessing money has made it a target for various online scams.

Can I Fall Victim to Scams Using Cash App?

Unfortunately, yes. Some fraudulent schemes specifically target Cash App users. The platform’s open structure allows anyone to send or request payments. It is both a strength and a weakness because it makes it easier for scammers to operate. If you receive unsolicited money or payment requests from unfamiliar people on Cash App, it’s a scam.

How to Spot Cash App Scammers

Given the nature of cash transfer apps, identifying these scammers is usually more challenging because they target their users on a larger scale than any other industry. Of course, these financial apps offer the latest security tools to protect you. However, even these cybersecurity measures won’t work if you fall for a well-executed scam.

Don’t fret, though. We’ll guide you on spotting scams so you can wisely avoid common and obvious traps. Scammers use social engineering tactics to make fake services or websites seem legit. Once they deceive you, they’ll steal your credentials and cut off communication by blocking you everywhere.

Regarding scams, some clear signs should instantly tip you off that something is wrong somewhere. Here are a few red flags to watch out for:

• Be cautious if you receive a message regarding your account from someone claiming to be a Cash App employee. Apps typically don’t reach out to users personally for account issues. Cash App understands that direct contact from their support team could increase the risk of their customers getting scammed. So, if someone claiming to be from Cash App insists on contacting you, it’s best to ignore the message and delete it immediately.
• Is a deal looking too good to be true? It probably is. Cash App scammers use various tactics to make their targets believe the deals are real. They might even offer upfront money. If you see unbelievably low prices for usually expensive items, take a moment to reconsider before proceeding to buy them.
• Are they asking you to make a deposit? Another noticeable sign of a scan is if a seller tries to make you pay to reserve an item. They’ll most likely disappear after you pay the deposit, so don’t be shocked if it’s suddenly impossible for you to reach the seller.

13 Common Cash App Scams 2024 – Detailed List

Most of these scams involve social engineering. If you study their patterns, you’ll notice that scammers try to get their victims to give up sensitive information about themselves or do unsafe things like open suspicious links.

1. Cash App Friday Scams

At some point, Cash App ran a #CashAppFriday promotion on Instagram and X (formerly Twitter) that went viral. Users could participate by following and dropping their $Cashtag to win cash giveaways. However, scammers took advantage of that opportunity to create fake Cash App Friday adverts. Victims who enter the supposed “contest” are told they’ve won but must pay some money or provide their banking details to claim the prize.

While Cash App has stopped Cash App Fridays for years, the company still hosts similar promotions with Bitcoin, gift cards, and other rewards. If you want to verify whether a Cash App giveaway is legit, check for two simple things. First, ensure the post is from a verified Cash App account, and second, never pay anyone a fee to receive the “prize money.” Cash App will not ask you to pay anything to win a giveaway.

2. Cash Flipping Schemes

Money circle scams, sometimes called cash flipping scams, are cybercrime’s version of traditional pyramid schemes. The scam might promise a double or quadruple return by investing your money in the stock market through a friend or business contact. However, like pyramid schemes, they are only intended to con people out of their money.

Anyone can fall victim to this scam directly on Cash App, SMS, or even social media. What’s more, the con artists advertise the specifics of these scams on social media, waiting for unsuspecting victims to fall for their bait. Then, they request that they use the Cash App to send money.

Casb flipping scams mainly target desperate people. For example, the scammers can ask you to send any amount from $100 to $1,000 and offer to double or triple your money. They will even try to convince targets by showing them all the other users making money from the scheme. Don’t fall for it.

3. Cryptocurrency Scams

Another viral target for scams is Cryptocurrency. Why? You may wonder. It’s mainly because money transfers are anonymous and almost impossible to recover. Cash App has allowed users to buy and sell crypto on the platform since 2018. While this move helps the company stay relevant in the online fintech space, it paved another way for scammers.

How do these scams work? A scammer typically messages you and asks you to invest a small amount of cryptocurrency to gain huge returns. But there are usually no returns.

Crypto scammers may also hack into people’s social media accounts to send scams to their friend lists. They often hope to cash in before anyone notices and blocks the account.

4. Accidental Deposits

As a Cash App user, you might get some free money from a random person one day. Don’t be too happy yet. Chances are it’s another form of Cash App Scam. Once you receive the money, the scammer will try to explain that it’s all a huge misunderstanding. They “accidentally” transferred the money and want to return it to them. As a decent person you are, you can decide to give it back.

How the scam works is when you send that money, they’ll call their bank and dispute that payment on their end. Their bank refunds them, and they also disappear with your money. So, if any random person sends you money on the Cash App, wait to reply to any messages asking you to return it. Instead, report the possible scam directly to Cash App.

5. Selling Expensive Products

Cash App supports business accounts for small business owners to market their products and services. Fraudsters can use this opportunity to create a fake account and trick you into paying for an amazing “deal” on a sought-after item like concert tickets or rare collectibles.

Then, as usual, they stop replying to you once you pay. If you want to avoid getting scammed this way, only buy from established retailers on Cash App or those you know on a personal level.

6. Giveaways and Discounts

Giveaway scams are everywhere, not only on Cash App. Scammers know people love good bargains, so they’ll say anything and offer massive discounts to dupe people. But as the saying goes, free cheese only exists in a mouse trap. The giveaways are just bait for the fraudsters to get their targets.

Another thing worth mentioning is that many Cash App users sometimes need help understanding what the platform does. If you buy an iPhone at a discounted price from a seller and pay them through Cash App, they might not refund you if the deal goes south.

While it offers accounts for small businesses, it’s not a market platform, just a means to send and receive money.

7. Social Security Number (SSN) Scam

Your social security number is personal information that should be private. However, you may need to disclose it to your employer or financial institutions like a bank.

The main point here is that you have to use a service for them to request your SSN. If anyone asks for your social security number through your Cash App DM or email, it’s a scam. Either ignore the message or report the scam to Cash app support.

8. Posing as Customer Support

Like tech support scams, scammers can contact you through your Cash App DM, text messages, phone calls, or emails and pretend they work for Cash App. They’ll try to get you to reveal your OTP and Cash App Passcode to access your account.

We admit that some of these customer support scams can be pretty convincing because they often spoof the Cash App name or number. But you need to be wise! Never share sensitive information like this with anyone claiming to work for Cash App.

If you need clarification, communicate by using the official Cash App support site, through the app itself, or just call the number listed on their official website to access customer support.

9. Government Scams

Another popular group of Cash App scammers is those who pretend to be with the government. They typically say they want to send you some sort of government stipend, like a tax refund or relief funds. But to get the money, they may ask for your Cash app credentials or social security number. Some might even say you must pay tax using the Cash App before they release the promised amount and later walk away with your money.

Government agencies will never contact you through Cash App or demand that you send money through any payment app. If you need to communicate with a government agency, do so only through their official channels.

10. Screenshot Scams

As the name suggests, a cash app screenshot scam is where scammers send their targets fake screenshots of balances. The screenshot might be to “prove” that you won a prize, an investment has yielded huge returns, or a payment is pending. Regardless of the screenshot content, it’s likely a scam if it’s from a random stranger.

You can tell because they’ll then ask you to send some money back to them for one reason or another. They might claim they sent an incorrect total and ask you to refund the extra.

Some might even ask to pay them back using gift cards rather than Cash App. When asking for money, these Cash App fraudsters sometimes ask for your payment screenshot to use as “proof of payment” to send to others they’re scamming.

11. Romance Scams

While these scams can take different formats, the premise is usually the same. The scammers trick desperate or lonely people into sending them money to receive love that can never be. A romance scammer typically begins by scouting and studying a target before making moves on them.

Also called catfishers, romance scammers create fake online personas to pretend to be potential partners for their unsuspecting victims. They get excited about the possibility of meeting in person, but something always comes up that only payment or Cash App transfer can fix.

For instance, they might need money to buy plane tickets to visit. Romance scammers typically gather as much money as possible from their dupes before finally cutting them loose.

12. Phishing, Smishing, and Vishing Scams

Phishing is a scam that involves getting you to disclose your personal information or click on dangerous links in a fake email. Smishing works through SMS. Vishing, also known as voice phishing scams, occurs through voice calls. The scammers use software to augment their voices to sound like your family, friends, or colleagues to get money or sensitive information out of you.

Some scams target users of specific platforms, like Apple ID phishing scams. Fraudsters impersonate businesses, authority figures, and the like to get users to click on fraudulent links. Their goal is to obtain login credentials or other personal data.

While these scammers usually pursue money, they may also try to scam people connected to you by impersonating you. You can protect yourself from phishing attacks by learning how to recognize fake messages and refrain from sharing your personal information with anyone.

13. Apartment or Home Rental Deposit Scam

It’s not uncommon for scammers to promise a product or service without providing any evidence that it is real. In the same vein, they can promise to help you find a cheap apartment or offer an apartment at a ridiculously lower rate than usual. The scam sign is that they ask you to deposit before you can tour the rental.

This is probably common knowledge, but don’t ever send money to someone untrustworthy. Suspect them even more if they propose to deliver you something like an apartment rental later, in this case. If you cannot verify who someone is or how legit what they’re offering is, it’s likely a scam.

How to Avoid Cash App Scams

We’ve already covered popular Cash App scams. Now, let’s look into how to avoid these scams. The best way to protect yourself from scammers today is by staying alert and knowing precisely what to find.

However, even with the best intentions, criminal hackers can still download malware on your smartphone through one Cash App fraud. Ensure you have at least one quality antivirus installed on your devices to stay safe. You can also connect to a reliable VPN to complete your online activities anonymously.

ExtremeVPN outranks other VPN providers because of its super-fast servers, AES 256-bit encryption, and strict no-log policy. These security features help keep your sensitive information from prying eyes.

Use Strong Passwords

You should stop immediately if you’re the type to use the same password for your multiple online accounts. Always use strong and unique passwords across all your accounts to protect yourself. If you’re using just one password, and a scammer somehow gets to know it, they can use it to scam you on Cash App, Venmo, or any of your other financial apps.

Any password containing anything people can find about you online, like your name or birthday, is generally considered weak. ExtremeVPN has a free password generator tool that you can use to get unique ideas for all your different online accounts. If you need help remembering your passwords, you can use a secure password manager to keep track of all your passwords.

Set Up Two-factor Authentication (2FA)

Besides using a strong password, you can use 2FA as an extra verification step before accessing your account. If you still need to set it up on Cash App, ensure you do so from now on. It helps keep your account secure by sending an OTP you must enter each time you want to sign in to your Cash App account.

You can also set up biometric data, such as fingerprints or facial recognition, on your smartphone to secure your accounts and phone. Reliable verification apps like Google Authenticator can also enhance security.

Avoid Clicking on Suspicious Links

Many scams involve asking you to click links prepared to seem legit. However, the links often lead to unsecured websites containing malware that steal or spy on your data.

Opening suspicious links may not only affect your Cash App balance but also compromise the security of your device. Our website safety check guide can help you recognize warning signs and avoid falling for such scams.

Check Your Bank Statements Regularly

We recommend frequently reviewing your account statements and transactions involving Cash App to quickly determine if there have been any suspicious activities on your account. Also, try checking your credit report once in a while for discrepancies.

If you notice anything strange or suspect that someone online is stealing your identity, set up a fraud alert immediately on your credit report to notify the relevant authorities. You can also check with your password manager to see if any data breach has caused any of your passwords to be exposed.

If a password is already known, the account it’s meant to secure will be compromised, so quickly change your passwords to prevent further damage.

Don’t Share Personal Information Online

Be mindful of what you choose to put out there, especially if your account is not private. These days, scammers only need a few details to send you a fake convincing DM, email, or SMS. After saying a little, they move to the Cash App to complete the scam.

Criminal hackers can gather your details online to execute an elaborate scam, or they may even sell your information to data brokers.

Never share the PIN of your Cash App or any other accounts online, even if you get an official-looking message or email asking you to. It’s usually a scam because Cash App will never request that you send them your sign-in code or pin in a message.

Use Cash App Wisely

If you use Cash App, it’s best to only send money to people you know and trust. While the platform is suitable for paying for one-time services or splitting bills with friends, it’s risky for transactions involving large payments.

Any Cash App transaction with people you don’t know can put you at risk of manipulation. If you’re dealing with businesses, ensure you proofread contracts well and check thoroughly for typos, letter-swapping tricks, or alternate spellings. For example, scammers might use a lowercase ‘L’ instead of an uppercase ‘i’ to manipulate you.

Turn on Cash App Notifications

From your Cash App settings, you can turn on alert notifications and receive messages about all transactions happening on your account from wherever you are. This way, you’ll know instantly if someone is trying to remove money from your account balance.

I Got Scammed on the Cash App. What Do I Do?

Even after taking all necessary precautions, it’s possible to still fall for scams. If you realize you’ve been scammed, the first thing to do is ensure your account is safe. If a stranger sends you money, don’t engage with them. Simply follow these steps.

Report the Scammer and Block the Account

To report a Cash App scam, start a chat within the app to inform their customer support or call their line at 1-800-969-1940.

To block the account, follow these simple steps:

1. Click the Activity tab on the home screen.
2. Select the scammer’s name.
3. Click Block under their profile.

Change Your Account Details

After a scam, keeping your Cash App account safe should be your priority. If the scammer has any of your login details, change them immediately. Also, add 2FA if you still need to do so. Consider sending your Cash App balance to your main bank account for now.

Reach Out to Your Bank

Sometimes, if you can prove that the Cash App scam happened, the bank can recover your money. But don’t get your hopes up—this rarely happens. Most bank policies do not cover losses from Cash App or similar money transfer apps, so they might be unable to help.

Contact the Federal Trade Commission (FTC)

If you believe you’ve been scammed through a payment app, you can report it to the FTC. You should also learn to report any online scams to help prevent others from falling victim.

If I’m Duped, Will Cash App Reimburse Me for My Money?

Unfortunately, there’s no refund assurance if you fall victim to a scam on the Cash App. Banks do reverse charges under certain circumstances, as credit card users have chargeback rights for fraudulent transactions, but this does not apply to Cash App scams.

If you immediately let Cash App know, they can cancel a transaction. But once you’ve sent the payment and it reaches the scammer’s account, the chances of recovering it are slim.

When sending money to your family and friends, we advise using secure payment channels with advanced safety features. Also, try to make a habit of only using top secure browsers to protect your privacy online, whether you’re transferring sensitive information, buying online, or using the Cash App.

Conclusion

Knowledge is power, especially when it comes to online security. Knowing how to spot every sign of a scam will enable you to avoid them. If you sense something is a little odd, just trust in your intuition. It can be worth it.

When buying anything expensive, always verify whether the product is real first. Wait to send the money over. Give it some thought and do some research before sending the money. Remember that it’s up to you to be cautious and not fall for their tricks.

Because Cash App is popular now, don’t be shocked when these scams appear on many platforms. Cash App scams on Facebook Messenger and Instagram are common. Since 2020, the Cash App has been accessible to users between 13 and 18 years old. Young teenagers who spend considerable time on social media can be exposed to these scams. If you have youngsters close to you, try to educate them about the risks so they don’t fall for these scams.

If you fall victim to a scam, document every detail of the incident and report it to Cash App’s customer service, Cash Support. While you may not recover the lost funds, you may prevent future scams. Make sure you always use ExtremeVPN for your protection.

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