FBI issues warning over app scam wiping entire bank accounts in the US

The US's intelligence-driven national security organization has renewed a warning to Americans about an app that could scam victims into losing their entire banking, savings, retirement or investment accounts. There has been a recent increase of so-called 'Phantom Hacker' scams, with senior citizens most often targeted. The FBI describes it as 'an evolution of more general tech support scams, layering imposter tech support, financial institution, and government personas to enhance the trust victims place in the scammers and identify the most lucrative accounts to target'. (Picture: Getty Images)

The FBI first issued a public service announcement on the Phantom Hacker scam in September 2023. But on July 15, FBI Los Angeles warned of the scam with a post on X (formerly Twitter). 'The FBI reminds the public to beware of Phantom Hacker Scams where cyber criminals use a 3 prong attack against victims using tech support, financial institution, & government impersonation scams simultaneously,' stated the agency. (Picture: Getty Images)

The three-prong attack starts with a tech support imposter contacting a victim by text, email, phone call or a computer pop-up window, and pretending to be a customer support representative from a real company, according to the FBI notice. The message tells the victim to call a number for 'assistance' and the imposter instructs the victim to download a software program that gives the scammer access to the device. Next, the scammer tells the victim to open their financial accounts to see if there are unauthorized charges, and in the process sees which account has the most money, then tells the victim they will get a phone call from their financial institution's fraud department. (Picture: Getty Images)

In phase two of the scam, an imposter posing as the financial institution representative calls the victim and claims that their accounts and device have been breached by a foreign hacker and that they need to move the funds to a 'safe' Federal Reserve or US government agency account. The scammer tells the victim to move the money using a wire transfer, cryptocurrency or cash, to what are really overseas recipients. The imposter also tells the victim not to tell anyone why they are transferring the funds. (Picture: Getty Images)

The third and final phase of the scam involves the victim hearing from a fake Federal Reserve or government agency worker. The imposter stresses again that the victim's money is 'unsafe' and needs to be transferred to an 'alias' account. 'If the victim becomes suspicious of the government imposter, the scammer may send an email or a letter on what appears to be official US Government letterhead to legitimize the scam,' according to the FBI notice. (Picture: Getty Images)

The FBI advises people not to click on unsolicited text messages, email links and pop-ups, and not to call any number in them. People should not download any software because it is meant to allow scammers to control their devices. The US government never requests Americans to send funds through wire transfers to foreign accounts or through cryptocurrency or gift cards. (Picture: Getty Images)

From January to June 2023, victims' losses exceeded $542million and the FBI Internet Crime Complaint Center (IC3) received 19,000 complaints, with nearly half of victims over age 60. 'Victims often suffer the loss of entire banking, savings, retirement, or investment accounts under the guise of "protecting" their assets,' the agency stated. Anyone who encounters a suspected Phantom Hacker scam should report it to their local FBI field office and the FBI IC3. (Picture: Getty Images)