You’re scrolling through your emails on a typical Tuesday morning when one catches your eye. It’s from your bank—or at least it looks like it is. The subject line reads, “Urgent: Your Account Is at Risk!” You click on the message and follow the instructions to “secure” your account. But wait—was it really from your bank?

Scams like this are all too common and falling for one can lead to serious problems. These schemes are becoming more sophisticated, targeting bank customers daily. The good news? With a little knowledge, you can protect yourself and your hard-earned money from scammers.

Today we’ll guide you through the essentials of recognizing phishing scams, common tactics used by scammers, and tips on how you can protect your personal information and finances.

What Is Phishing?

Phishing is a type of fraud where criminals disguise themselves as your bank, utility company, or even a government agency to trick you into sharing your account details, passwords, or Social Security number. These scams usually come via email, but they can also show up in text messages (referred to as “smishing”) or through phone calls (known as “vishing”).

Phishing scams are dangerous because they look incredibly convincing. Cybercriminals can replicate an official-looking email from your bank down to the logo and fonts. They might text or call you from a fake phone number that has the same area code as your bank. They craft messages that urge you to take immediate action—such as “confirm your account,” “reset your password,” or “verify your identity”—to panic you into clicking their malicious links.

How Phishing Scams Work

Phishing attacks follow a predictable pattern. First, the scammer sends a message, like an email or text, that appears to be from a legitimate source. They craft this message to create a sense of urgency. For example, “Your account has been compromised, click here to secure it.”

Once you click the provided link, you’re pushed to a fake website that mimics the real one. Here, you’re prompted to enter sensitive details like login credentials or account numbers. Then your info goes to the scammer, who can then use it to access accounts, transfer funds, or commit identity theft.

One recent phishing scam tricked thousands of customers by impersonating major banks, asking clients to “validate your account” to prevent suspension. The victims unknowingly handed over their login details to criminals, who then drained their accounts.  Another example happened during tax time, when “The IRS” contacted people about errors on their returns that would “cause fines or jail time” if they didn’t click a link to make changes.

Common Red Flags of Phishing Emails and Texts

Recognizing the signs of a phishing attempt can help you avoid falling victim. Here are the most common red flags to look out for:

  • Suspicious Sender Addresses: Phishing emails often come from email addresses that look similar to legitimate ones but have slight discrepancies, like an extra character or a misspelled word (e.g., “[email protected]” instead of ” [email protected] “).
  • Urgency or Fear Tactics: Phishing messages often create a sense of urgency or panic. Scammers might claim that your account has been compromised, or you’ll face penalties unless you take immediate action.
  • Generic Greetings: Scammers usually don’t know your name, so emails often start with “Dear Customer” instead of using your actual name. A legitimate bank email typically addresses you personally.
  • Suspicious Attachments or Links: Phishing emails often contain links or attachments. Hovering your mouse over the link (without clicking) will often show that the URL doesn’t match the bank’s legitimate website.
  • Grammar and Spelling Mistakes: While many phishing emails are sophisticated, some still contain glaring grammar or spelling errors—an immediate red flag.

How to Protect Yourself from Phishing Scams

Although phishing scams are common, there are several effective strategies you can use to protect yourself:

  • Verify the Source: Before clicking on any link or opening an attachment, always verify the email’s authenticity. Contact your bank directly through their official website or phone number, not through the contact details provided in the email or message. If you’re a 1st Source Bank customer, reach out to us here.
  • Avoid Sharing Personal Information: Banks will never ask for your password, PIN, or other sensitive information via email, text message, or phone call. If you’re asked for this, it’s likely a scam.
  • Use Two-Factor Authentication (2FA): Enable two-factor authentication on your banking accounts. This adds an extra layer of security by requiring a second form of verification (like a text message code) in addition to your password.
  • Update Your Security Software: Install and regularly update antivirus and anti-phishing software on your computer or phone. These programs can alert you to suspicious websites and help block malicious links.
  • Regularly Monitor Your Accounts: Check your bank account statements regularly for unauthorized transactions. Report anything suspicious to your bank immediately.
  • Enable Account Alerts: Most banks allow you to set up alerts for large transactions or any login attempts from unrecognized devices. These alerts can help you detect fraudulent activity early.

What to Do If You’ve Fallen Victim to a Phishing Scam

If you’ve mistakenly provided your details to a phishing scam, it’s critical to act fast to minimize the damage:

  • Contact Your Bank Immediately: Report the fraud and have your accounts locked or monitored for suspicious activity. Your bank can help you freeze your account and issue new account credentials.
  • Change Your Passwords: Update your online banking password and any other accounts that use the same or similar passwords.
  • Report the Scam: Forward phishing emails to the Anti-Phishing Working Group at [email protected]. You should also file a report with the Federal Trade Commission (FTC).
  • Monitor Your Credit: Keep an eye on your credit report to ensure no new fraudulent accounts are opened in your name.

How Banks Are Fighting Phishing Scams

Banks are taking extensive measures to combat phishing scams. They use advanced fraud detection systems that monitor account activity for suspicious behavior. Many institutions also provide educational resources on how to recognize phishing and other scams. Banks also encourage customers to report any suspicious messages immediately so they can take action to protect other customers.

Conclusion

Phishing scams may be sophisticated, but by staying alert and following these preventative measures, you can protect yourself from falling victim. Always verify the source of any request for your personal or financial information, enable security features like two-factor authentication, and report suspicious activity right away. Remember, your best defense against phishing is knowledge and caution.

Ensure your money and personal information remain secure. If something feels off, it’s better to be safe than sorry—reach out to your bank directly and avoid clicking on suspicious links or sharing sensitive information.  If you’re a 1st Source Bank client, contact us if you have any questions or concerns.  Or click here for more info on our security procedures and tips.