Cash App is a decent way to receive instant payments. It’s fast and convenient, and there’s an option to open a legitimate business account and report taxes. But like any payment platform, it attracts scammers looking to take advantage of unsuspecting users.
Scammers use deceptive tactics to trick you into sending them money or handing over your Cash App account details. Once they get access, they can drain your linked credit card or bank account before you realize what’s happening.
Moonlock, the cybersecurity division of MacPaw, is here to help. We’ll break down the most common Cash App scams, how to recognize them, and how to protect your money.
Why use Cash App for freelancing?
Cash App has business accounts, meaning you can use it to receive instant payments in exchange for goods and services. It could be anyone, even people you don’t know, like first-time clients.
When you sign up, you get a unique $Cashtag, such as $yourbusinessname, which you can share with clients for easy payments. In return, CashApp will take a 2.75% fee for every payment you receive.
By default, you can send up to $250 per week and receive up to $1,000 per month. To increase these limits, Cash App requires identity verification, including your full legal name, date of birth, and the last four digits of your Social Security Number (SSN). In some cases, Cash App may also request your full SSN, residential address, government-issued ID, and proof of income.
Now, imagine if a scammer posed as Cash App and tricked you into providing that sensitive information. Not great, right? That’s why Moonlock is here to help you spot these scams before they happen.
How Cash App scams work
Scammers typically use one of two tactics: they either trick you into sharing personal information to take over your account, or they convince you to send them money under false pretenses.
Cash App glitch scam
Scammers send messages claiming a “glitch” in Cash App requires users to download an updated version. Instead of linking to the App Store or Google Play, they direct users to a fraudulent website where login credentials are stolen. The safest way to download Cash App is to download it from official sources like the App Store or Google Play.
Money flipping scam
A scammer promises to triple your money if you send them some cash upfront. They might claim they’ve helped others make thousands and show you fake testimonials.
Crypto variations of this scam exist, too. Scammers claim they can help you invest in Bitcoin or other cryptocurrencies. Once you send money, it’s gone. And Cash App can’t reverse the transaction.
Accidental transactions
Someone messages you, claiming they sent you money by mistake, and asks for a refund.
What’s really happening? The money likely came from a stolen credit card. Once the bank detects fraud, the transaction is reversed. If you already refunded the scammer, you’re the one who loses money.
Fake screenshots
Scammers might send you a screenshot, proof they sent money to your Cash App account by mistake. Then, they’ll ask you to send their money back. Don’t let them fool you! Screenshots are fake, and that money never came to your account.
Refund scams
After you’ve made an online purchase, scammers offer your money back. They ask you for a small fee in advance, and you don’t even have to return the item! Sounds like a deal, right? But if you pay, you’ll lose the fee and never see a refund.
Fake customer support
This one’s a classic. Scammers pose as Cash App support and contact you via email, text, or phone. They claim there’s an issue with your account and ask for your $Cashtag, password, or other personal details.
If you experience one of these scams, report it to Cash App immediately. The best way to do this is directly through your app or at the phone number 1 (800) 969-1940.
How to contact Cash Support through the app:
- Tap the profile icon on your Cash App home screen
- Select Support
- Select Start a Chat and send a message
How to protect yourself from scams on Cash App
Reading about scams can be stressful, but the good news? It’s easier than you think to stay safe. A few simple steps can protect your money.
Start by enabling Security Lock on your Cash App account. Even if scammers trick you into giving away your credentials, it would be harder for them to enter the app and make payments.
Here’s how to enable Security Lock via the app:
- Go to your profile icon on your Cash App home screen
- Select Privacy & Security
- Turn on Security Lock
- Confirm your choice with PIN, Touch ID, or Face ID
And don’t touch unexpected money! If a stranger ever sends you the money you never asked for, don’t ever spend it or cash it out. We know that it might be tempting. Everybody could use a spare buck. But your own money will be more secure if you report the sudden transaction to Cash Support instead.**
