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  • Navy Fed's Bold Strike: Scammer Crackdown Shuts Thousands Down⚡️

Navy Fed's Bold Strike: Scammer Crackdown Shuts Thousands Down⚡️

Author

Frank McKenna
December 05, 2023

Welcome to FrankonFraud 👋 

This week’s top stories in fraud are right here.

Let’s get to it. 🤘 

I freakin love when banks crack down on scammers in bold strikes.

Navy Fed is reportedly cracking down on members selling their access code to scammers opening accounts to commit fraud.

The member access codes, which sell for $180, are highly sought after by CPN users and synthetic identity fraudsters because they give them a backdoor into the credit union. After gaining entry, they use the Navy Fed accounts for all sorts of nefarious purposes - like racking up enormous debts and defaulting, muling, and other evil deeds.

And Navy Fed is cracking down, notifying bad actors their accounts are getting closed.

Navy Fed is not only shutting down massive numbers of folks who sold their access codes to scammers. They also target members working with tradeline companies who pay them for adding authorized users to their credit cards for profit.

Navy Fed Shuts Down 50,000 Accounts

Something big is happening at the most popular credit union in the country. Credit gurus like King Shaun say that Navy Fed has closed over 50,000 credit card accounts.

Jalisco Cartel Impersonated OFAC In Major Fraud Scheme

Mexican Cartels are seeing the massive influx of cash to Triad Gangs in Southeast Asia from scamming and want in on the game. So they are establishing scam centers of their own - focused on scamming people by taking money to get them out of Timeshare contracts.

And while the Triad Gangs are violent, the Mexican cartels are taking it to another level. Forty-five people linked to a cartel scam center in Zapopan, Mexico, were found dead and buried in a ditch earlier this year after they tried to resign from their jobs.

After the Treasury Department sanctioned cartel companies, the cartel began to impersonate OFAC officials claiming they could free up funds purportedly frozen by the U.S. agency.

Cartel Impersonates OFAC

Jalisco cartel members have scammed at least 600 Americans out of about $40 million, officials said.

The CFPB Proposal Is A Big Win For Fraudsters, Terrorists, and Scammers

Fraudsters, scammers, and terrorists are cheering from the sidelines that a new CFPB proposal passes.

If you’re a fraud fighter or in Law Enforcement, you probably take for granted many “GLBA Exceptions” you have while doing your job. But if the CFPB has its way, many will be gone.

The CFPB is proposing that credit header data - data used in almost every authentication solution out there- require permissible purpose or consent from the consumer.

The list of ways this is going to screw fraud fighters are plentiful but a few include:

  • Slowing down identity verification and introducing a mountain of new compliance. 🙄 

  • Making law enforcement subpoena information rather than get it from search tools like TLO. 🤨 

  • Tipping off fraudsters by sending adverse action notices to them on exactly how you discovered the fraud. 😲 

  • Giving fraudsters a way of disputing and “fraudwashing” their data off databases. 😨 

Good grief, CFPB 🤯.

Check out his letter from the CBA that outlines some of the crappy things you can expect. 👇️ 

JackieChan Telegram Group exploited Identity Data API

Bots on Telegram are giving hardened fraudsters access to the personal information of hundreds of millions of Americans.

Brian Krebs reported that the Jackie Chan Telegram group has been reselling services from US InfoSearch and they even provided a USIS report with all his information to demonstrate the level of data.

I looked at the channel and noticed they have switched from USIS to TLO. 👇️ 

Their API access was cut off after Krebs notified USIS of the breach. Looks like TLO might want to look into this as well!

ID Service Resold Access to USIS

US InfoSearch Credentials were exploited by Telegram fraudsters and resold to fraudsters and scammers

Scary Fast Progress - DeepFakes Are Leveling Up With Animation

Boo. 👻. Does all this deepfake AI scare you?

Well, it’s only getting better by the day 🚀 as companies are moving beyond facial deepfakes to full-body deepfakes. And most of it is coming out of China, where deepfakes are heavily used in marketing and social media.

Check out how GOOD this deepfake of Lionel Messi is using this new code launched by the scientists and developers at HumanAIGC. 

Australian and US Banks Launch Major ScamTech Concurrently

It's a big deal week for scam technology. And this is where banks are currently spending a good chunk of their investment dollars next year. 💰️💰️ 

New tech focused on checking payee names will be launched in both the US and Australia.

The American Bankers Association launched a new real-time exchange where banks can load known scammers’ names into a database so that other banks can compare payees to it before funds are sent.

And way over on the other side of the world, the Australian Bankers Association launched a new scam accord which plans to invest over $100M into a payee confirmation system to prevent APP fraud.

Scammers Forced To Sell Organs When They Don’t Scam Good Enough

It just gets worse for these enslaved scammers. A recent report suggests that trafficked scammers are having their organs extracted if they don’t work hard enough.

In August the charity rescued a 36-year-old Vietnamese man from Myanmar who had been forced to sell his kidney after being trafficked into a scam casino.

Scammers Forced To Sell Organs

Citizens from China, Vietnam and other countries are held against their will, forced to work in scamming operations.

CPN Fraudsters Hate eCBSV. It’s A Show Stopper

If you’ve considered using eCBSV in your loan process, this screenshot from a CPN user might be a good reason why you might want to start now.

CPN’er Delee appears to have gotten blocked by Carvana when they popped up an SSA verification form on her loan application.

eCBSV gets a big thumb down from fraudsters 👎️ 

California Switches From BofA to Fiserv After Fraud Snafu

One company’s loss is another’s gain. California State terminated their agreements with Bank Of America’s debit card program to Fiserv’s Money Network, citing the massive levels of fraud it experienced during the pandemic.

Fiserv will be paid through a revenue share but will also make an additional $32 million for a new direct deposit option for unemployment benefits.

Check Out Eric Huber’s Telegram Fraud Glossary

If you’ve ever browsed Telegram and have no idea what half the posts mean, you might want to check this out.

Eric Huber with TD Bank created this comprehensive glossary of every crazy fraud term the scammers use to communicate with each other.

Christina Ricci Is Zelle’s New Fraud Star

Zelle is going big on consumer education, hiring Cristina Ricci as the star in their new series - The Safe Squad.

Check it out here 🤩 

When You Take A Call From A Crappy Fraudster

Tik Toker, Noah Kerns is a fraud analyst whose channel is all about his daily trials and tribulations taking calls in a fraud center environment.

In this video, he re-enacts a call he took from a crappy fraudster while he is training a newbie fraud analyst that is doing a side-by-side with him.

Why does this take me back to my early days when I was in training? 😆💯 

His channel is well worth a follow if you’re a fraud fighter.

@livin.in.co

When they’re a crappy fraudster #greenscreen #fraud #debitcard #banking #callcenter #latenight

Thanks for staying informed with me on new trends in fraud.

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Thank you fraud fighting friends!