- Nov 10, 2020
Cash is king
Yeah, there is some cause for concern about auto-deposit too. You definitely have to be careful when adding an email for e-transfer the first time. You do have to enter a pin, but, it could easily be made much safer. It would be better if at least the very first transaction to any new email address HAD to have a password and that subsequent deposits from that sender could be auto-deposited - but only IF auto-deposit is approved by both sides.Taps typically have a max limit of $250 per tap. After that it’s really dependent on your bank daily limits. Banks never protect you in anything. So it really doesn’t stop at just tapping your card. They never protect you when it comes to cash in your account. They don’t want to take the loss so they do everything they can to deflect and make it your fault.
This applies to interac transfers (EMT’s) as well. Send a transfer to the wrong email and it gets auto deposited. You’re out of luck.
Taps typically have a max limit of $250 per tap.
Yeah, there is some cause for concern about auto-deposit too.
The scariest change for me has been allowing regular Joe's to auto-deposit checks via a quick phone scan into a bank app.
I gave my daughter a check for University in August and she immediately whipped out her phone, then scanned and deposited it. Uuuuuhhhhh... I knew businesses had this option, but to give it to the average consumer? That can't be a good idea and it's rife with fraud possibilities.
A cheque is not like an e-transfer, it can come back out of your account for numerous reasons and I never consider a cheque permanent until at least two weeks have gone by. It's just like a credit card with the damn charge backs, numerous reasons the funds can come back out.
You should confirm this with your bank, as this is what that the guy who lost $35K thought, and he had a business account, but it had changed to 2 days for him.
I just found this on an OPP website:
"Do a daily account reconciliation and report any fraudulent cheque withdrawals to your branch immediately. Some banks will only give you a 72-hour window to report a fraud"
Apparently some have now dropped the timeline to 48-hours.
And here's the story (it was actually $38K) and it's been confirmed by various sources:
Ontario businessman loses $38K in cheque-cashing scam
"TD Bank is saying they are not going to give me any money because I didn't report it right within 48 hours. How would I report it if I don't have online banking?" John said.
I log in to my business accounts every single day and have my alerts set whenever funds over $1000 are released. Same with my credit/debit cards.
Yeah, there is some cause for concern about auto-deposit too. You definitely have to be careful when adding an email for e-transfer the first time.
The check deposit issue is a bit scary if true, as obviously that can be easily faked. I've been depositing checks for years using my bank phone app, and have never had an issue. I believe banks put holds on check deposits based on the depositor's credit history and balance, and I doubt that new accounts of scammers would have that quick of access to those funds.