If you believe that no bank account is completely secure from scams and fraud nowadays, you’re not just being overly cautious.

According to J.D. Power’s inaugural bank fraud study, which focuses on consumer analytics, 30% of bank customers reported experiencing fraudulent activity on their accounts last year.

Some people were tricked into sending money to scammers through payment applications, while others noticed unauthorized transactions on their accounts or had funds siphoned from them.

J.D. Power analysts highlighted that fraud is becoming more pervasive in an age where peer-to-peer (P2P) payment applications and less personal transactions are common.

“As a consumer, you would never hand $100 to someone you don’t know. However, that’s essentially what P2P services involve,” explained Jennifer White, senior director of banking and payment intelligence at J.D. Power.

Data breaches, like the substantial National Public Data breach, provide scammers with access to billions of Social Security numbers and other sensitive information. This allows malicious actors to impersonate banks when calling customers, appearing legitimate by leveraging the personal details they possess.

“It’s simple to get caught in this trap because they possess a wealth of your personal information,” noted Paul Benda, executive vice president for risk, fraud, and cybersecurity at the American Bankers Association.

‘It’s happening more than once’

The report published on November 7 indicated that 29% of bank customers faced fraudulent incidents in the past year. Among those affected, 45% experienced multiple fraud cases.

“This isn’t a one-time occurrence,” remarked White.

Customers under 40 years old are statistically more susceptible to bank fraud.

This might seem surprising, White noted, since younger Americans have grown up with technology. However, their frequent use of payment applications renders them more vulnerable as well.

The study uncovered two other interesting insights regarding American bank customers: they appreciate it immensely when their bank resolves fraudulent activity, and on the whole, they aren’t as diligent in protecting their accounts as they could be.

An impressive 92% of bank customers expressed being highly likely to continue banking with an institution after it successfully addressed a case of fraud.

Most individuals who fell victim to fraud still held a positive view of their bank, with only 17% reporting a negative impression following their experience.

Customers show particular appreciation, according to White, when banks proactively identify and rectify instances of fraud.

Bank representatives agreed with this sentiment.

“When we proactively identify and thwart fraudulent actions or recover money for our clients, they express significant satisfaction,” stated Jennifer Ehresman, head of consumer client protection at Bank of America.

The study analyzed responses from over 20,000 bank and credit card users.

Bank customers often neglect their account security

The findings suggest that banks may be more proactive about preventing fraud than their customers.

Benda remarked, “Banks invest billions of dollars each year to protect your accounts from fraud.”

According to the J.D. Power report, almost half of bank customers (46%) stated that their bank encouraged them to adopt fraud-prevention measures within the last 90 days.

However, many customers did not take adequate steps. A quarter of them admitted to not engaging in any account security activities in the last three months. For those who did take action, merely reviewing recent transactions for unusual activity was the most common measure.

Checking transactions is definitely better than doing nothing, according to financial experts, but it still represents a reactive approach rather than being proactive, meaning it doesn’t truly safeguard your account.

As scammers seem to thrive more than ever, here are some practical tips that bank customers can follow to secure their accounts.

Check your security center

The security center is a feature within the app that allows you to view all your security settings in one convenient location, according to White.

Most major banks provide security centers, and some even offer guidance on how to protect your account.

Password Management

Use strong and unique passwords that aren’t easy to guess—avoid using personal information like your birthday or pet’s name. Refrain from reusing passwords across different accounts and change them regularly.

Many people opt for password managers that create secure passwords and store them safely.

If you receive a notification indicating your password has been compromised in a data breach, change it immediately.

Set Up Notifications

Your bank likely has a notification page where you can select to receive alerts via text or email if there are any changes to your password or contact information.

Account alerts can also inform you about withdrawals, declined transactions, or any activity exceeding a specified dollar amount.

Beyond Just Passwords

Many banks utilize two-factor authentication for added security to verify your identity.

A common form of this is the numeric code sent to your cellphone when you attempt to log in, in case your password has been stolen.

Increasingly, institutions are adopting biometric methods, such as facial recognition and fingerprint scanning, to confirm your identity with higher certainty.

Though these steps may take a bit more time, J.D. Power indicates that the protection they offer is well worth the extra effort.

Keep Your App Updated

Ensure that you have the latest version of your banking app installed on your smartphone. The app typically notifies you when an update is available.

Go Digital

Switching to paperless communication can save you both time and hassle. Security experts also recommend this because it eliminates any physical documents that could be misused by criminals.

Guard Your Smartphone

Ashwin Raghu, director and head of innovation and scam policy at Citi, advises being cautious with your phone: “It’s essentially the key to your personal information.”

Do not share your device or leave it unattended and unlocked where others can access it.

If you’re making a purchase through a payment app, conduct the transaction on your own rather than passing your phone to the seller.

Stay Vigilant

Be cautious when responding to any emails, calls, or texts that claim to be from your bank. The American Bankers Association identifies five warning signs:

• A message containing an unexpected link
• Urgent or alarming language
• An attachment
• A request for personal details, like your PIN or password
• Pressure to send money via an app

If you didn’t expect the message, Ehresman advises, “Don’t click on it.”