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Tips for Preventing Fraud

While cybercrime and fraud are serious threats, you can take practical steps to protect your identity and assets. To reduce your exposure to fraud and reinforce your efforts, Schwab also has mechanisms in place to help safeguard your data and accounts. You can also have an impact on safeguarding your information and assets by following the guidelines below and applying caution when sharing information and executing transactions. This checklist summarizes common cyber fraud tactics, along with tips, best practices, and actions to take if you suspect a breach.

Ways to protect your assets

Safe practices for working with your advisor

• Talk with your advisor to understand how he or she protects your information and assets.
• Keep your advisor informed regarding changes to your personal information.
• Expect your advisor or their office to call you to confirm email requests to move money, trade, or change account information.
• Establish a verbal password with your advisor’s firm to confirm your identity, or request a video chat.

How we protect your accounts

Schwab leverages protocols and policies to help protect your financial assets. Below are actions you can take to reinforce our efforts:

• Confirm your identity using Schwab’s voice ID service when calling the Schwab Alliance team for support.
• Use two-factor authentication, which requires a unique code each time you access your Schwab accounts.
• Review the Schwab Security Guarantee (Schwab.com/Schwabsafe), which covers 100% of losses in any of your Schwab accounts due to unauthorized activity.

To learn more, visit Schwab’s Client Learning Center (Content.Schwab.com/LearningCenter).

Follow general best practices

• Be suspicious of unexpected or unsolicited phone calls, emails, and texts asking you to send money or disclose personal information. If you receive a suspicious call, do not accept it, hang up, and call back using a known contact number.
• Be cautious when sharing sensitive information and conducting personal or confidential business via email, since it can be compromised and used to facilitate identity theft.
• Do not disclose personal or sensitive information on social media sites, such as your birthdate, contact information, and mother’s maiden name.
• Be cautious when receiving money movement instructions via email. Call the sender at their known number (not a number provided in the email) to validate all instruction details verbally before following instructions or providing your approval.
• Protect yourself from phishing attempts and malicious links (see glossary for additional information).
• Check your email and account statements regularly for suspicious activity.
• Do not verbally disclose or enter confidential information on a laptop or mobile device in public areas where someone could potentially see, hear, or access your information.
• Verify payment requests you receive by phone or email. Requests for you to make payments using prepaid debit cards, gift cards, or digital currency are frequently associated with fraud or scams.

Keep your technology up to date

• Keep your web browser and operating system up to date, and be sure you’re using appropriate security settings. Old software, operating systems, and browsers can be susceptible to attack.
• Install anti-virus and anti-spyware software on all computers and mobile devices.
• Enable the security settings on your applications and web browser.
• Do not use free or found USB thumb drives—they could be infected with viruses or malware.
• Turn off Bluetooth when it’s not needed, to protect against individuals gaining access to your devices using Bluetooth connections.
• Safely and securely dispose of old hardware.

Be cautious with public networks

• Avoid using public computers. If you must use one, go to the browser settings and clear the browser history (cache) and cookies when you’re finished.
• Only use wireless networks you trust or that are protected with a secure password.
• Use your personal Wi-Fi hotspot instead of public Wi-Fi.
• Do not accept software updates if you are connected to public Wi-Fi.

Be strategic with your login credentials and passwords

• Do not use personal information such as your Social Security number or birthday as part of your login ID.
• Create a unique password for each financial institution you do business that are long and contain a combination of characters, numbers, and symbols. Consider using a password manager to create, manage, and store passwords that are unique and secure.
• Do not share your passwords.
• Use two-step verification whenever possible.

Be sure you’re on a secure website

• Check the URL to see if it’s a secure connection. Secure sites begin with https rather than http, and are generally considered safer.
• Check the address bar for site validity indicators whenever you log in to a Schwab website. Some browsers use green text or security symbols to indicate a secure and verified site.
• Download apps only from the Google Play Store or the Apple App Store®.
• Do not visit websites you don’t know—for example, websites advertised on pop-up ads and banners.

Beware of phishing

• Do not click on links or attachments in emails and text messages if you question the validity of the sender.
• Instead, type the real web address, for example https://www.schwaballiance.com, in your browser.
• Hover over questionable links to reveal the site’s full URL and see where the link really goes. Do not click on links that don’t match the sender or don’t match what you expect to see.
• Be suspicious of emails that have grayed-out Cc: and To: lines—they may have been sent to a mass distribution list.
• Check the sender’s domain name in the email address (john.doe@schwab.com) to see if it matches what you would expect to see.
• Activate the spam filters in your email settings tab. This will help prevent unsolicited emails from coming to your inbox.
• If you suspect an email that appears to be from Schwab is a phishing email, forward it to phishing@schwab.com.
• If you have questions about an email from Schwab or personal information you entered about your Schwab account after clicking an email link, call your advisor or the Schwab Alliance team immediately at 800-515-2157.

What to do if you suspect a breach or fraud

• Call your advisor or the Schwab Alliance team immediately at 800-515-2157.
• Ask your advisor if they have used our “How to Respond to a Data Breach” flyer or have additional recommendations.

Learn more

• StaySafeOnline.org: Review the STOP. THINK. CONNECT cybersecurity educational campaign.
• OnguardOnline.gov: Focused on the online security for kids, it includes a blog on current cyber trends.
• FDIC Consumer Assistance & Information: https://www.fdic.gov/resources/consumers/consumer-assistance-topics/index.html
• FBI Scams and Safety provides additional tips: https://www.fbi.gov/how-we-can-help-you/safety-resources/scams-and-safety

Updated July 14, 2022