Prevent ID Theft
& Fraud

Fraud Trends and Prevention 

Fraud schemes continue to evolve. Criminals increasingly combine phone calls, text messages, emails, social media, fraudulent websites, and artificial intelligence to make scams appear legitimate. 

Common warning signs include: 

• An unexpected request for money or confidential information. 
• A demand for immediate action. 
• A request for your password, security code, or one-time passcode. 
• Instructions to transfer money to a “safe,” “secure,” or “protected” account. 
• A request to pay through cryptocurrency, gift cards, a payment application, wire transfer, or cash. 
• A change to payment instructions that cannot be independently verified. 
• A caller who discourages you from contacting your bank, family, accountant, or law enforcement. 

If something feels unusual, stop the interaction and independently contact the organization using a trusted phone number or website. 

Bank Impersonation and Account Takeover Scams 

Fraudsters may impersonate a bank employee, fraud investigator, technology-support representative, or law-enforcement officer. They may claim that: 

• Suspicious activity has occurred on your account. 
• Your online banking access has been compromised. 
• A large purchase or transfer must be stopped. 
• Your money must be moved to a “safe account.” 
• You must provide a security code to verify your identity. 
• You must download an application or allow remote access to your device. 

These contacts may appear to come from a legitimate bank phone number because caller ID information can be manipulated. 

The FBI reports that criminals use phone calls, texts, emails, fraudulent websites, and search advertisements to obtain online banking credentials and multifactor-authentication codes. Once access is obtained, criminals may change the password, lock the legitimate owner out, and quickly transfer funds to other accounts or cryptocurrency wallets.  

Protect yourself 

• Never provide your online banking password, PIN, security code, or one-time passcode to an unexpected caller. 
• Never approve an authentication request you did not initiate. 
• Do not trust caller ID as proof of who is calling. 
• Hang up and contact Cogent Bank using a telephone number you independently know to be correct. 
• Access online banking through a saved bookmark or the Bank’s official website rather than a search advertisement. 
• Do not allow an unknown person to remotely access your computer or mobile device. 
• Review your accounts and security alerts regularly. 

Cogent Bank will not ask you to provide your password or multifactor-authentication code so that an employee can access your account. Cogent Bank’s internal guidance also directs personnel to document reported impersonation attempts and determine whether personal information was disclosed or unauthorized online banking, ACH, wire, or debit-card activity occurred.  

Business Email Compromise and Payment-Instructions Fraud 

Business email compromise occurs when a criminal impersonates an executive, employee, vendor, attorney, title company, accountant, or other trusted party to redirect a legitimate payment. 

The fraudster may: 

• Send new wire or ACH instructions. 
• Change the beneficiary account for an invoice. 
• Create an urgent or confidential payment request. 
• Compromise a legitimate email account and insert instructions into an existing conversation. 
• Use a look-alike email address or website with a minor spelling difference. 
• Impersonate a company executive and pressure an employee to bypass normal controls. 
• Redirect real-estate closing funds, loan payoffs, payroll, or vendor payments. 

These scenarios are included in Cogent Bank’s current fraud-risk work, particularly compromised vendor mailboxes, executive impersonation, look-alike domains, altered payroll instructions, fraudulent real-estate settlement instructions, and hijacked email conversations.  

Protect your business 

• Independently verify all new or changed payment instructions. 
• Call the recipient using a known telephone number, not a number contained in the payment-change request. 
• Do not rely exclusively on email to confirm financial instructions. 
• Require dual control for wires, ACH files, new payees, and changes to payment templates. 
• Separate payment initiation from payment approval. 
• Review email addresses and domain names carefully. 
• Establish written procedures for vendor and beneficiary changes. 
• Reconcile accounts and review transaction alerts daily. 
• Limit users to the access and transaction limits required for their job duties. 
• Promptly disable access for separated employees and inactive users. 
• Do not use shared online banking credentials. 
• Consider positive-pay, ACH filtering, transaction alerts, and other available fraud-management services. 

Cogent Bank’s payment guidance emphasizes contacting the intended recipient at an independently verified telephone number and verbally confirming instructions before sending an electronic payment or wire.  

Investment and Cryptocurrency Scams 

Investment scams frequently begin through social media, online advertising, text messaging, messaging applications, or an apparent friendship or romantic relationship. 

Fraudsters may: 

• Promise guaranteed returns with little or no risk. 
• Show a fraudulent website or application displaying fictitious profits. 
• Offer investment “coaching.” 
• Encourage cryptocurrency, foreign-exchange, precious-metal, or stock investments. 
• Allow a small withdrawal before requesting a larger investment. 
• Demand taxes, fees, or additional deposits before funds can be withdrawn. 
• Direct you to a cryptocurrency kiosk or instruct you to transfer funds to a digital wallet. 

The Federal Trade Commission reported more than $7.9 billion in consumer-reported investment-scam losses during 2025. It recommends checking the reputation, licensing, and registration of both the investment firm and the person promoting the investment.  

Protect yourself 

• Be skeptical of guaranteed or unusually high returns. 
• Do not invest based solely on a social-media contact, online relationship, or unsolicited message. 
• Independently verify the individual and company offering the investment. 
• Do not give remote access to anyone offering investment assistance. 
• Do not send additional money to recover a prior loss. 
• Discuss significant investments with a trusted financial, legal, or tax professional. 

Government, Business, and Family Impersonation Scams 

Scammers may pretend to represent a government agency, law-enforcement department, utility provider, technology company, delivery company, family member, or known business. 

They may claim that: 

• You owe taxes, fines, tolls, or legal penalties. 
• Your Social Security number has been suspended. 
• A family member has been arrested or injured. 
• Your computer or financial account has been compromised. 
• A refund, prize, or benefit is waiting. 
• You must keep the matter confidential. 
• Immediate payment is required. 

Imposter scams were the most frequently reported fraud category in 2025. The FTC reported $3.5 billion in losses to imposter scams that year, including particularly costly bank-impersonation schemes initiated through false account-security alerts.  

Protect yourself 

• Do not send money or provide personal information in response to unexpected contact. 
• Contact the person, business, or agency through independently verified information. 
• Do not trust caller ID. 
• Do not click links in unexpected emails, texts, or social-media messages. 
• Verify family emergencies directly with another trusted family member. 
• Remember that legitimate organizations will not demand payment through gift cards or cryptocurrency. 

Artificial Intelligence, Deepfakes, and Voice Impersonation 

Artificial intelligence can be used to create realistic emails, documents, images, voices, or videos. A familiar voice or convincing video should not be treated as proof of identity. 

Cogent Bank’s current fraud-risk materials recognize deepfake presenters, AI-generated identity documents, executive impersonation, and AI-assisted social engineering as emerging risks.  

Protect yourself and your business 

• Independently verify unusual requests through a second communication channel. 
• Establish a private verification phrase with close family members. 
• Require callbacks for high-risk financial requests. 
• Do not rely solely on voice recognition or a video call. 
• Follow established approval procedures even when a request appears to come from senior management. 
• Request additional documentation when an identity document or financial request contains inconsistencies. 

Check, ACH, Wire, and Instant-Payment Fraud 

Fraud involving checks and electronic payments may include: 

• Altered or counterfeit checks. 
• Stolen checks. 
• Fraudulent mobile deposits. 
• Unauthorized ACH debits. 
• Payroll diversion. 
• Fraudulent wire instructions. 
• Payment-app and instant-payment scams. 
• Requests to return an alleged overpayment. 
• Checks deposited with instructions to send part of the funds elsewhere. 

A deposited check may initially appear in an account before it is later returned unpaid. Availability of funds does not necessarily mean that a check is valid. 

Protect yourself or your business 

• Know who is paying you and why. 
• Do not send money back to an unknown person because of an alleged overpayment. 
• Keep checks securely stored and promptly review check activity. 
• Use dual approval for business payments. 
• Review new payees and beneficiary changes carefully. 
• Reconcile activity daily. 
• Use transaction alerts and available positive-pay services. 
• Report unauthorized or suspicious transactions immediately. 

Debit Card, ATM, and Point-of-Sale Security 

Card fraud may involve skimming devices, card trapping, stolen card information, counterfeit cards, compromised merchants, account takeover, or unauthorized online purchases. 

Protect your card 

• Use ATMs in secure, well-lit locations. 
• Inspect the card reader and keypad before use. 
• Do not use a machine that appears damaged, loose, altered, or obstructed. 
• Shield the keypad when entering your PIN. 
• Never write your PIN on your card or keep it with the card. 
• Do not share your PIN, card number, expiration date, or security code in response to unexpected contact. 
• Enable available transaction alerts and card controls. 
• Review your account frequently. 
• Secure your card and cash before leaving the ATM. 
• Report a missing card or unauthorized transaction immediately. 

Identity Theft and New-Account Fraud 

Identity theft occurs when someone uses another person’s identifying information without authorization. Criminals may use stolen or fabricated information to open accounts, obtain credit, access existing accounts, redirect mail, obtain replacement cards, or conduct fraudulent transactions. 

Identity-theft warning signs may include: 

• Accounts or inquiries you do not recognize. 
• Unexpected password-reset notices or security codes. 
• Changes to your address, telephone number, or email address. 
• Missing financial statements. 
• New cards, checks, or account documents you did not request. 
• Unfamiliar transactions or transfers. 
• Notices concerning accounts you did not open. 

Cogent Bank’s Identity Theft Prevention Program is designed to detect, prevent, mitigate, and appropriately respond to identity theft associated with consumer and business accounts.  

If you suspect identity theft 

1. Contact Cogent Bank and any affected financial institutions immediately. 
2. Change affected passwords from a trusted device. 
3. Review your recent account activity. 
4. Contact the nationwide credit-reporting agencies to request a fraud alert or security freeze. 
5. Obtain and review your credit reports. 
6. Report identity theft through the Federal Trade Commission’s identity-theft reporting resources. 
7. File a police report when appropriate. 
8. Keep copies of reports, correspondence, reference numbers, and supporting documentation. 

What to Do if You Suspect Fraud 

Act quickly. The possibility of recovering funds may decrease as time passes. 

1. Stop communicating with the suspected fraudster. 
2. Do not send additional funds. 
3. Contact Cogent Bank using a trusted telephone number. 
4. Report any affected card, check, ACH, wire, online-banking, or payment-app activity. 
5. Change compromised credentials from a trusted device. 
6. Contact your mobile carrier if your telephone number may have been transferred or compromised. 
7. Preserve emails, text messages, phone numbers, websites, receipts, transaction details, and screenshots. 
8. Report cyber-enabled fraud to the FBI Internet Crime Complaint Center. 
9. Report consumer scams and identity theft to the Federal Trade Commission. 
10. Contact local law enforcement when appropriate. 

The FBI specifically recommends contacting the financial institution as soon as account-takeover fraud is recognized, resetting exposed credentials, preserving detailed information about the perpetrators and transactions, and filing an IC3 report.   

Contact Cogent Bank 

If you receive a suspicious communication or identify unauthorized activity, contact Cogent Bank directly at 1-888-577-0404 or use another verified contact method provided by the Bank. 

Do not use a telephone number, link, QR code, or email address contained in a suspicious communication. 

Important Notice 

This information is provided for fraud-awareness and educational purposes. Fraud methods change frequently, and this guidance is not an exhaustive list of threats or protective measures. It is not intended to provide legal, cybersecurity, tax, or investment advice.