Micro-deposits of a few cents are a normal part of banking. When you link a bank account to a payment app, a payroll system, or a new savings account, you will typically receive one or two of these minuscule deposits within a few days and are usually nothing to worry about. Scammers know that too, and they've found out how to turn this process into a way to steal your account information. Here’s what you need to know.
How the Scam Works
A micro-deposit is a small transfer, usually less than a dollar and sometimes just a penny or two, that a bank or payment platform sends to verify that an account belongs to the person linking it. Legitimately, these typically arrive in pairs within a few days of setting up a new connection.
Scammers may exploit this process in a few ways:
- They get hold of your bank account and routing numbers, usually via a data breach or other stolen information, and try to link your account to a payment platform themselves. That triggers a real micro-deposit into your account. Then they may contact you, posing as your bank, a payment app, or even a government agency, and ask you to read back the exact amounts of those deposits under the guise of "verifying your identity" or "protecting your account."
- They may send micro-deposits to strings of random account numbers, hoping to land on a real, active account. Once they confirm they've found one, they may use other personal information they have about you to attempt fraudulent withdrawals.
- They may use stolen credit card numbers to make a few deposits. If these go unnoticed, they may then follow up with larger unauthorized withdrawals.
In each version of these scams, the deposit itself is just a test. The larger goal is what you do next: confirm an amount, click a link, or treat an unsolicited "verification" request as legitimate.
Red Flags to Watch For
- A call, text, or email about a micro-deposit you didn't initiate.
- A request to confirm the exact deposit amount by phone, text, or email, rather than entering it directly into your bank's app or website.
- Pressure to act quickly to avoid a supposed problem with your account.
- An unusually high number of very small deposits or withdrawals in your account in a short period.
- A caller who already seems to have some of your personal or account information.
How to Protect Yourself
- Never share a micro-deposit amount with someone who contacts you first. Legitimate verification happens by entering the amount yourself in the app or website where you initiated the connection.
- Never click any links or download attachments if you receive a message about a micro-deposit you didn’t request.
- Check your account activity regularly for small deposits or transfers you don't recognize.
- If you spot an unauthorized micro-deposit, contact your bank directly using the number on your card, statement, or their official website.
- After reporting it to your bank, you can also file a report with the FTC at reportfraud.ftc.gov.
This scam works because it copies behavior you’ve probably done before while connecting financial accounts. And transactions of only a few cents don’t seem like a big deal and can be easy to overlook. By combining these behaviors, scammers know that it may be easy for targets to hand over information they’d usually never give to a stranger.
For Families
If you help a parent or loved one manage their financial accounts, it's worth mentioning this one specifically since it doesn't sound like a scam on the surface. Let them know that no bank or payment app will ever call, text, or email asking them to read back a deposit amount, and that it's always safe to hang up and call the bank directly using the number on their card. And remember to always lead with care in these situations. These scams are built to fool people by masquerading as routine bank business.
Carefull helps families spot unusual account activity and financial red flags before they turn into real losses. Get started with Carefull today.
