Peer-to-peer (P2P) payment platforms like Zelle are popular for their convenience and speed. With just a few taps, you can send or receive money directly from or to your bank account. This makes it easier than ever to pay for goods and services or split bills with friends.
However, this convenience also comes with risks. Scammers exploit the quick transfers and the lack of built-in protections to steal money from unsuspecting users.
In this article, we’ll discuss the different types of Zelle business account scams, the steps you can take to recover your funds if you fall victim, and scam prevention methods to be aware of.
Can Someone Scam You Through Zelle?
Yes, you can get scammed through Zelle. In 2021, a U.S. Senate report found that Zelle business account users lost around $440 million to fraudulent transactions.
Unlike other payment platforms like Cash App, PayPal, or Venmo, Zelle doesn’t have a wallet feature. Instead, it transfers money directly between bank accounts without any transaction fees.
Because it’s linked with major banks, Zelle is secure from direct account hacks—but due to its fast and direct nature, scams still happen.
Types of Zelle Business Scams
Fraudsters use Zelle to trick victims into sending money or sharing sensitive information via several types of scams.
The main types of Zelle business scams include:
- Zelle upgrade to business account scam/Zelle buyer scam
- Zelle fake payment scam
- Zelle refund scam
- Zelle overpayment scam
- Zelle phishing scam
The following sections will provide more details about each scam type.
Zelle Upgrade to Business Account Scam/Zelle Buyer Scam
When selling on Facebook Marketplace, watch out for Zelle marketplace scams that require you to upgrade to a business account. These scams involve a buyer who seems interested in your item and wants to pay using Zelle.
Here’s how it happens:
- The scammer poses as a buyer on Facebook Marketplace
- They ask for your phone number or email address to send the payment through Zelle
- You receive a phishing email that appears to be from Zelle, asking you to upgrade your account for a fee to access the funds
The scammer may even claim to have already paid for the item and ask you to reimburse them. However, no payment has been made, and if you pay the so-called upgrade fee, the money goes straight to the scammer.
Zelle Fake Payment Scam
A Zelle fake payment scam is also common on platforms like Facebook Marketplace. It involves the scammers making you pay for a product that they never intended to send.
They list a fake or non-existent product, and if you want to buy it, they insist that you pay through Zelle.
Once you send the money, the seller vanishes without delivering the item. Because Zelle transfers are instant and irreversible, you can’t get your money back.
Zelle Refund Scam
Scammers sometimes trick people into thinking they lost money and offer to help them get it back for a price. This is called a refund scam.
For example, the scammer calls you or sends a Zelle scam refund email pretending to be from your bank and informing you that there’s been a fraudulent Zelle transaction from your account.
They then walk you through a fake refund process, convincing you to make a payment or provide information to recover lost money.
In reality, the money you send is going straight to the scammer, not to recover any lost funds.
Zelle Overpayment Scam
In a Zelle overpayment scam, scammers target listings on Craigslist or other marketplaces to send you more money than needed, often using a stolen credit card or a fake check.
They contact you, claiming they mistakenly overpaid, and request a refund via Zelle. Because Zelle transfers money instantly, it’s easy for scammers to get their hands on the refund quickly.
Unfortunately, Zelle doesn’t offer fraud protection or chargebacks, so once you send the money back, it’s gone.
Zelle Phishing Scam
In a Zelle phishing scam, scammers trick people into giving away their personal information by sending fake emails or texts that look like they come from Zelle or their bank.
The messages might claim there’s an issue with your account or that you need to confirm a transaction. They may include a link asking you to provide personal details or make a payment.
Sometimes, the scam includes a follow-up phone call where the caller pretends to be from Zelle or your bank to prompt you to act quickly. They might ask for money to “upgrade” your account or recover supposedly lost funds.
What To Do if You’re a Victim of a Business Zelle Scam
Zelle won’t help you recover your losses if someone tricked you into sending them money.
However, if the payment was made without your authorization, there’s a good chance you can recover the funds. Take the following steps:
- Report the scam to Zelle’s customer care
- Inform the participating bank
- Report the scam to the FBI’s Internet Crime Complaint Center (IC3)
- Submit a complaint to the Consumer Financial Protection Bureau (CFPB)
Report the Scam to Zelle’s Customer Care
Although Zelle itself doesn’t offer fraud protection, reporting the scam can prevent further losses and assist in investigations.
You can reach Zelle by phone or through an online form:
| Contact Channel | Details | Response Time |
| Website contact form | Contact Zelle Customer Support | Two business days |
| Phone number | 1-844-428-8542 | 10 a.m. to 10 p.m. ET, seven days a week |
When reporting a Zelle business account scam, share specific details about the transaction, such as the date, time, and amount. You should also include any information about the scammer, such as their email address or phone number.
Inform the Participating Bank
Call your bank’s customer service line as soon as you realize you’ve been scammed. Explain the situation and provide all relevant details, such as the transaction amount, recipient information, and any communication you had with the scammer.
You may also reach out to your bank and dispute the charge under Regulation E of the Electronic Fund Transfer Act (EFTA). However, there’s no assurance that your claim will lead to a refund.
Regulation E covers only “unauthorized” transactions, meaning the payment wasn’t approved by you, the account holder.
Report the Scam to the IC3
The FBI’s Internet Crime Complaint Center (IC3) is responsible for tracking online crimes and helping law enforcement agencies catch and prosecute scammers.
You can go to the IC3 website to file your complaint. The website is user-friendly and guides you through the process of submitting a report.
Complete the online complaint form with as much detail as possible. Be honest and thorough—a detailed report will make the investigation easier and improve the chances of law enforcement catching the scammers.
Submit a Complaint to the CFPB
If your financial institution or credit union denies your request for a refund after a Zelle business account scam, you can file a complaint with the Consumer Financial Protection Bureau (CFPB).
The CFPB is a government agency that helps protect consumers by ensuring financial institutions treat them fairly.
To file a complaint with the CFPB, follow these steps:
- Go to the complaint page to start the process
- Clearly explain what happened, including scam details, the amount of money lost, and the financial institution’s response to your request for a refund
- Submit the complaint after reviewing the information. The CFPB will forward it to your financial institution and work to resolve the issue
You can monitor the status of your complaint through the CFPB’s website. The agency will keep you updated on any progress made.
How To Prevent Zelle Scams
To minimize your chances of being scammed on Zelle, stick to the following best practices when using the app:
- Only send money to people you trust—Avoid using Zelle for transactions with strangers, especially in online marketplaces
- Beware of payment scams—Zelle doesn’t offer purchase protection. If you pay someone for a product or service and it turns out to be a scam, you won’t get your money back
- Double-check recipient details—Before sending money, verify the recipient’s mobile number or email address. A small mistake can result in sending your money to the wrong person
- Stay alert for phishing attempts—A Zelle scammer may send fake emails or texts pretending to be from Zelle, so never click on links or share personal information without verifying the source
You should also consider moving a part of your cash reserves or savings to a high-security banking platform like FortKnox by Austin Capital Bank. FortKnox focuses exclusively on account security and fraud protection.
FortKnox protects your funds by disabling transactions to and from instant payment apps like Zelle, Google Pay, and Apple Pay. This means that even if your banking information gets compromised during a Zelle scam, hackers can’t access funds in your FortKnox account.
