If an online offer seems too good to be true and needs managing money, it is a possible mule recruitment scam.
RBI and NPCI warn users
The National Payments Corporation of India (NPCI) and RBI regulations advise not using Indian payment systems for banned or blacklisted website categories such as porn sites, gambling, Chinese laundering/loan apps, Forex trading sites, or other shadowy websites.
To escape this restriction, scammers use Mule accounts to receive money through Indian payment ways like bank accounts, credit cards, UPI, debit cards, and VPA.
What is a Mule account?
A Mule account is a famous term in cybercrime that looks for any account used for moving money illegally received through illegal activities. These accounts mostly belong to those who, intentionally or unintentionally, have been tricked into playing the illegal money laundering act.
Not aware of being part of a bigger scam, these individuals or “money Mules” are tricked into letting unknown scammers use their accounts to hide the source of laundered money. Scammers make these payments look legit through sly schemes and baits, hiding the money’s shadowy inheritance before it goes to the final destination.
“We detect 18 to 20 thousand cases every single day for a National Bank. These mule accounts are usually owned by regular people who are either tricked into opening them or knowingly use them at the behest of some monetary payments. We advise people not to share their account details or give access to anyone. Fraudsters can use your credentials for such illegal activity” said Amit Relan, Co-founder and CEO of mFilterit.
Tricking of customers
Money Mules fall into two categories: willing participants and duped participants. The scammers approach the Mule account customer online via emails, social media, websites, etc. Customers are fooled into believing they will get money in their bank account through commissions or incentives. After that, the scammer transfers laundered money into the Mule account.
Scammers attack vulnerable and naive individuals, using lucrative job scams or fake online relationships to scam people. The victims are fooled through false promises of easy money for not-so-harmful activities like transferring goods or money. If an online job opening seems too good to be true or needs managing money or services, it is most likely a Mule recruitment scam.
“Fraudsters might pose as authentic organizations like banks or government agencies to deceive victims into divulging personal or financial details. Phishing emails frequently include hyperlinks or attachments that, once clicked or opened, can deploy malware or direct users to fake websites crafted to steal sensitive information” said Dhiren. V. Dhedia, Head- Enterprise Solutions, CrossFraud.
How to be safe?
Be cautious, if someone else controls your bank account, you are risking your savings and facing possible criminal charges. You should stay updated and informed to not fall for the mule scam.
Sharing your personal banking details with people you don’t trust is a big no, even if they have a believable story or offer.