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Fraudulent Paypal and Interac Payments - How do they do it?

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  • Nov 8th, 2020 7:03 pm
[OP]
Deal Expert
User avatar
Dec 23, 2003
15385 posts
3704 upvotes
Toronto

Fraudulent Paypal and Interac Payments - How do they do it?

We all have heard stories both on here and in the Media of Fake Paypal and Interac Payments. The question I have is how do people do this, and what protection does the seller (i.e. the person who is receiving the payment) have with regards to recourse, getting the funds without a clawback of sorts.

When I used these payments, it seems as simple as:

- log in to your account
- enter email address
- select fund account
- send to the seller.

What am I missing?
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4 replies
Deal Addict
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May 26, 2006
1270 posts
308 upvotes
Toronto
I won't share how to do it, but as the receiver of a payment - always verify by logging into your account and seeing the money has been deposited. Don't trust email notices saying $xxxxx has been deposited. Also don't login by following a link from an email - login separately.

If you're a seller and receive a fake etransfer or PayPal payment, and ship the item, you have zero recourse. You could go to the police and report it, but the reality is you're not getting your money back.

Main takeaway should be always verify the money has been deposited before shipping. Also, don't trust anything that says "there's a hold on the money until you ship/provide tracking" - red flag that something is off and is likely fraudulent.
Deal Addict
User avatar
Feb 1, 2006
3758 posts
1258 upvotes
Ontario
Gmas wrote: I won't share how to do it, but as the receiver of a payment - always verify by logging into your account and seeing the money has been deposited. Don't trust email notices saying $xxxxx has been deposited. Also don't login by following a link from an email - login separately.

If you're a seller and receive a fake etransfer or PayPal payment, and ship the item, you have zero recourse. You could go to the police and report it, but the reality is you're not getting your money back.

Main takeaway should be always verify the money has been deposited before shipping. Also, don't trust anything that says "there's a hold on the money until you ship/provide tracking" - red flag that something is off and is likely fraudulent.
Is there a way to log into your online banking and accept the e-transfer without clicking the email link?

My bank doesn't support autodeposit.
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Sr. Member
Dec 22, 2007
784 posts
409 upvotes
Mississauga
think what they mean is after you deposit login in the normal way to your bank to see funds deposited. Most browsers will show you the link if you click on the site url. see its your bank and not something different as well. you could also probably get a free account that supports auto deposit and use it just for this kind of stuff.
Deal Expert
Aug 2, 2001
16807 posts
7050 upvotes
From my understanding is that a concern with Interac Etransfer is when the transfer is fraudulent (hacked bank account).

Here is an example:
https://toronto.ctvnews.ca/ontario-man- ... -1.5080749

Yes, Interac quite clearly states they cannot be reverse. And that's the real kick in the ass with these cases because, as the seller, you are assuming they are being truthful when in fact they are not.

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