Terrifying new Zelle scam drains your bank account in seconds. Here’s how they’re targeting YOU.

Zelle is meant for easy and fast money transfers between friends and family who trust each other. However, it does not offer fraud protection or a way to get your money back once you send it. Scammers quickly saw this as an opportunity. They figured out ways to trick people into sending money—even to themselves.

How does the Zelle scam work?

A scammer might contact you by text, phone, or email. They often pretend to be from your bank and ask, “Did you approve this $500 purchase?” Since there’s no real transaction, most people reply, “No” (which you shouldn’t do). The scammer then says your money is being stolen and tells you to protect it by sending it to “yourself” using Zelle.

Here’s how the scam works: The scammer sets up a fake account with your name but links it to their phone number. When you send money, it looks like you’re sending it to yourself, but it actually goes to the scammer. The name on the account doesn’t matter—what matters is the phone number or email linked to it.

For example, you can rename your dad’s contact as “Barack Obama,” but when you call, it’s still your dad. The scammer uses this trick to make you think your money is safe, but it’s not.

How to avoid scams like these

If someone claiming to be your bank contacts you and says money is being taken from your account, don’t reply to the text, call the number they give, or respond to the email. Instead, call your bank’s official customer service number to check if the claim is real.

Also, never send money through Zelle to people you don’t know. If you send money and it turns out to be a scam, your bank probably won’t be able to help you. It’s your responsibility to stay alert and learn about new scams so you can protect yourself.

What to do if you’ve been scammed

If you send money through Zelle and get scammed, your bank usually can’t get your money back. However, some banks, like Wells Fargo, have refunded money to a few victims. It’s always worth telling your bank about the situation.

You should also report the scam to the authorities. If the scam happened online, file a complaint with the Internet Crime Complaint Center. If it didn’t happen online, report the fraud to the Federal Trade Commission.