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What Your Bank Will Never Ask You: A Holiday Scam & Fraud Survival Guide
Few things in life can match the warmth and joy we all feel during the holidays. While celebrating with family and friends brings plenty of cheer, it can also distract from staying vigilant against scams and fraud.
In fact, according to the AARP Fraud Watch Network, 89% of U.S. adults report being targeted by scams during the holidays, with one in three falling victim. While scams and fraud usually surge this time of year, an FTC report cited U.S. consumers lost a record-high $12.5 billion in 2024, proving how important it is to stay alert.
Knowing how to spot these threats and understanding the key differences between a scam and fraud can help keep you and your accounts safe as you enjoy the holidays with your loved ones.
Fraud vs. Scams: Know the Difference
While the terms "scam" and "fraud" are often used interchangeably, financial institutions and law enforcement treat them very differently. Knowing the distinction is vitally important because it directly impacts your chances of recovering lost funds.
Quick Tip: Be Extra Cautious After Opening a Loan
Applying for a new loan or credit card, like a Home Equity Line of Credit or Personal Loan, often puts you on scammers’ radars. Stay alert and remember, only your official lender will ever contact you about your account details.
What is Fraud?
Fraud occurs when a criminal gains access to your financial accounts or personal information without your permission or knowledge to steal money or your identity. In this case, you did not authorize the illegal transaction or willingly give permission for the criminal to access your account.
Common Ways Fraud Can Happen:
A hacker steals your debit card number through a skimming device, gains access to your online banking portal via a data breach, or creates a counterfeit check using your account numbers.
The Key Characteristic:
Unauthorized access. You did not know about or approve the transfer or purchase.
Consumer Protection:
Because the transaction was unauthorized, federal regulations generally protect consumers, and banks are typically required to reimburse stolen funds after an investigation.
What is a Scam?
A scam occurs when a criminal misleads, manipulates, or tricks a consumer into willingly sending money or sharing personal information about themselves.
Common Ways a Scam Happens:
You receive a fake phone call claiming your utility bill is past due, buy a gift online from a fake website that never ships the item, or receive a fake “urgent message” from your financial institution asking for your one-time passcode or bank account number to stop fraud.
Key Characteristic:
Authorized transfer. Even though you were tricked, you actively pressed "send," approved the wire, or handed over the cash.
No Guaranteed Consumer Protection:
Because you technically authorized the transaction, banks and financial institutions are often unable or legally not obligated to reimburse the loss. Once the funds leave your account in a scam, they are very difficult or sometimes impossible to recover.
What Your Financial Institution Will NEVER Ask You For
Scammers need info from you to gain access to your account and will often pose as representatives from your bank or credit union to trick you into willingly handing over control to them. Financial institutions, like Citadel, have strict security standards to protect your information.
If someone claiming to be from your bank or from Citadel asks for any of the following information, it is a scam:
One-Time Passcodes or Verification Codes:
No legitimate financial institution will ever call, text, or email asking you to share a One-Time Passcode (OTP) or multi-factor authentication code. These are meant for your eyes only.
Your Online/Mobile Banking Password or PIN number:
Bank representatives will never ask you to disclose your online banking password, ATM PIN, or card security code (CVV).
Demands to Transfer Funds via Wire, Zelle®, or Gift Cards:
Your bank will never contact you demanding that you move money to "protect your account," "reverse a fraudulent charge," or "fix a compromised profile" using Zelle, peer-to-peer apps, wire transfers, or gift cards.
Immediate Action Under Threat of Account Freeze or Arrest:
Reputable institutions will not pressure or threaten you with immediate account suspension, law enforcement action, or legal fines if you don't act instantly on the phone.
Remote Access to Your Phone or Computer:
A real representative will never ask you to download remote desktop apps or software (like AnyDesk or TeamViewer) to fix an account issue.
Quick Tip: Your Financial Institution Already Has Your Info
If you are still unsure if you’re speaking or corresponding with a legitimate representative from your bank or credit union, just remember your financial institution already has your account information on file and will never contact you asking you to verify or supply it.
Enjoy a Safe and Secure Holiday Season
When it comes to scams, fraudsters rely on panic, urgency, and seasonal distraction to trick even the most cautious consumers.
The best defense is simple: if something doesn’t feel right, stop and verify.
When it comes to fraud, you can rest easy knowing that we are working round-the-clock to monitor and protect your accounts against unauthorized access.
By working together, we can stop scams and fraud in their tracks so everyone can enjoy a bright, worry-free holiday season.
And always remember: if you ever receive an urgent alert, text, or phone call regarding your Citadel account that feels suspicious, contact us directly at 800-666-0191. Taking a quick moment to verify can make all the difference in keeping your hard-earned money right where it belongs.
