February 25, 2009 - Special Alert:

Phishing Scams

The most recent tactic employed by criminals is the use of e-mails, text messages and automated phone calls . In each scenario, the criminal’s goal is to lure customers of financial institutions to provide private account information, such as account numbers, bank card numbers, PINs and/or passwords.

Individuals receive a text message or automated phone call notifying them that their account or bank card has been deactivated/expired due to suspected fraud or third party use. In order to reactivate the account/card the customer is directed to call a specific phone number or press a specified number. It is during this process that account/card information is requested.

If you get e-mails, text messages or phone calls from any bank asking you to call a number and give them account information, don’t. Any message of this nature should be ignored and no response should be given. Immediately contact your local branch or call your bank’s customer service line instead. To get this number, look on the back of your bank card or find it on their website.

Remember; never give out account/debit card numbers, PINs or other personal information over the phone, through a text message or an e-mail unless you initiated the communication.

March 7, 2008 - Fraudulent VISA Debit Card E-mail

A customer reports that she received an e-mail from the VISA Debit Card Security Department (notice@visa.com) stating that her account has been temporarily suspended due to fraud attempts. The e-mail goes on to state that she must complete an account update in order to unlock her account and provides a contact phone number. Of course, according to the e-mail, failure to provide information about the account will result in automatic deletion from their database.

This e-mail is fraudulent. Customers should not respond via e-mail or by calling the telephone number provided.

The e-mail itself has several grammatical errors and refers to the telephone number as “total free number”, which should be an obvious indicator of fraud to its recipients.

As always, it is important for customers to remember that Financial Institutions and Credit Card Companies do not communicate potential fraud against an account via e-mail; they will contact the customer directly if such a situation arises.

Special Alert From the FDIC

The Federal Deposit Insurance Corporation (FDIC) has received numerous notifications from consumers of an e-mail that gives the appearance of being sent from the FDIC. The "From" line of the e-mail displays the name "Federal Deposit Insurance Corporation" and the subject includes the words "Consumer Protection."

Current versions of the fraudulent e-mail state:

"Who is FDIC?

The Federal Deposit Insurance Corporation (FDIC) preserves and promotes public confidence in the U.S. financial system by insuring deposits in banks.

What can FDIC do for you?

Despite the efforts of law enforcement, Identity theft is becoming more sophisticated and the number of new victims is growing. In general, consumers are protected against liability for unauthorized accounts or transactions under federal and state law and by financial industry practices. Identity Theft can affect consumers in many ways, thats [sic] why FDIC is presenting a new card insurance which can restore you up to $500 if you are a victim of internet fraud.

Learn more about Consumer Protection > Card Insurance:
Clicking here will redirect you to a online signup page for this program."

The e-mail requests that recipients click on a hyperlink that is provided. This directs the recipient to a "spoofed" Web page requesting the user to enter personal information to receive $500 of "card insurance." The requested information (name, phone number, Social Security number, address, card number, bank name, card expiration date, card verification code, and electronic signature/ATM PIN) could be used to perpetrate identity theft and gain unauthorized access to bank accounts. Be aware that the appearance of the fraudulent e-mails can be modified and that additional variations are possible. Consumers should NOT access the link provided within the body of the e-mail and should NOT, under any circumstances, provide any personal financial information through this media. The FDIC has shut down the fraudulent Web site and is investigating the source of the e-mails. Consumers are asked to report any similar attempts to obtain this information to the FDIC by sending information to alert@fdic.gov. Information about counterfeit items, cyber-fraud incidents and other fraudulent activity may be forwarded to the FDIC's Cyber-Fraud and Financial Crimes Section, 550 17th Street, N.W., Room F-4004, Washington, D.C. 20429, or transmitted electronically to alert@fdic.gov. Questions related to federal deposit insurance or consumer issues should be submitted to the FDIC using an online form that can be accessed at http://www2.fdic.gov/starsmail/index.asp.

For your reference, FDIC Special Alerts may be accessed from the FDIC's website at www.fdic.gov/news/news/SpecialAlert/2008/index.html. To learn how to automatically receive FDIC Special Alerts through e-mail, please visit www.fdic.gov/about/subscriptions/index.html.

Distribution: FDIC-Supervised Banks (Commercial and Savings)

Note: Paper copies of FDIC Special Alerts may be obtained through the FDIC's Public Information Center, 1-877-275-3342 or 703-562-2200.

February 16, 2007 - Federal Reserve Board Alerts Public to Questionable Solicitations Directed at Homeowners

The Federal Reserve Board on Friday alerted the public to instances of questionable solicitations directed at homeowners. The Federal Reserve has received inquiries and complaints from recipients of direct mail solicitations that suggest there is a "Community Reinvestment Act (CRA) program" that entitles certain homeowners to cash grants or equity disbursements. Some of these solicitations may be read to indicate that the Federal Reserve endorses or supports the offers they contain. These solicitations appear to be a deceptive effort to encourage consumers to apply for a mortgage loan secured by the consumer's home. The Federal Reserve cautions the public about loan solicitations or other offers from lenders or mortgage brokers that offer consumers cash grants or equity disbursements as part of a "CRA Program." No such federal programs exist, and these programs are not required by the CRA.

http://www.frbatlanta.org/bank_info/circ_router.cfm

January 5, 2007 - Bank Issues Fraud Alert

Mount Olive , NC -- Citing numerous reports from its customers of fraudulent phone calls soliciting personal, account, and otherwise confidential information, Southern Bank & Trust of Mount Olive has issued a special fraud alert to all citizens in Eastern North Carolina who either have a current or previous relationship with the Bank.

According to the bank, the caller fraudulently identifies themselves as a representative from Southern Bank Securities. The caller continues that the bank’s computer system is down, or there is a glitch in the computer system, then proceeds to attempt to obtain information from bank customers in regards to account numbers and check numbers.

The bank reports the calls are false – there is no such entity as Southern Bank Securities - and anyone receiving such a call should hang up and report it to their local Southern Bank representative.

“These phone calls are false and an attempt to commit fraud on our customers’ accounts,” said Drew Covert, Executive Vice President and Chief Operating Officer for the Bank. “No legitimate call from any Southern Bank representative will ever solicit personal or confidential information over the phone. We warn anyone who may receive such a call to not comply with the request and, if possible, use caller ID service to report the incident and related phone number to their local Southern Bank office.”