Date: January 8th, 2009 - Author: OFCU

Credit union information received within the last week suggests an increase in phishing activity.  The fraud appears to be widespread geographically and fraudsters are utilizing a variety of ways to obtain personal member information.  Examples of recent reported phishing activity includes the following: 

• Text messages were sent to members indicating they should call a specific number and provide credit card information based on a freeze on their account.

• Computerized calls to members indicated possible tampering of their check cards and asked them to enter their 16-digit check card number. The phone number shown on Caller ID appears to be a legitimate number, possibly hijacked by the fraudsters.

• Members were blanketed with phone and text messages stating their cards had been suspended and directed them to call a number to reactivate. When members call back, they are instructed to input their card numbers and PIN. It is our understanding that counterfeit cards were then created and ATM/Debit card PIN-based transactions took place in Romania.  For this to happen, we believe that most likely CVV/CVC counterfeit protection encoded in the mag stripe was not validated. 
• Fraudulent e-mail and text messages are being sent to appear as if they are from the credit union. The credit union’s Web site has been re-created by the scammer, who then asks members to enter their card numbers, expiration date, PIN andCVV2/CVC2 numbers. Members are also being called in the middle of the night stating their cards are experiencing fraud, and they are then asked to provide personal information.

Credit cardholders received a telephone message from an unknown party who left a telephone number for the member to call.  The caller ID read ‘economic relief.’  When members returned the call, they were prompted to press 1 to lower rates, a person then came on and asked for social security number, credit card number, etc.

Unfortunately, the threat of fraud due to phishing attempts continues to be very active.  Fraudsters are increasing in sophistication and this type of activity shows no sign of slowing down.  In these economic times, it is even more critical to continue educating members on the various ways fraudsters try to obtain their personal information for financial gain.

• NEVER to respond to requests for information unless they initiated the request -  this includes requests via e-mail, phone, text messaging or through the mail.
• Work with your internet provider or telephone carrier to shut down fraudulent sites or phone numbers.
• Additional resources on phishing, smishing, and vishing scams and detailed loss prevention recommendations are available in our August 2008 Risk Alert on Loss  Prevention Recommendations:Phishing, Smishing and Vishing.

OFCU will NEVER solicit personal or financial information.