Do you tap to pay? 'Ghost tapping' scams could target your money

A dramatic rise in what's known as "ghost tapping" scams is putting people who use tap-to-pay features on alert. The concerning part of this scam is that victims may not realize they've been scammed until they check their credit card or bank statements.

How the ghost tapping scam works

Tap-to-pay technology is designed to make transactions fast and convenient. But cybersecurity experts say that the same convenience can make it easier for scammers to steal money.

"The ease of use means the ease of stealing," said Jean-Paul Bergeaux with GuidePoint Security, a cybersecurity consulting company. Bergeaux said scammers exploit the same NFC technology used in tap-to-pay systems on phones and credit cards.

"There are pieces of software and devices that are doing exactly the same thing that a point of sale does and it's transacting on your phone or on your credit card and if you don't have a thumbprint or a biometric on your phone, they can walk up and if you're not paying attention in a crowded area, they get close enough and they touch your phone they can do a transaction," Bergeaux said.

Scams rising rapidly

Fraud analysts say claims tied to ghost tapping have surged by 150% during the past year. Experts warn that scammers often target crowded places where people may be distracted, including malls and airports.

"If you have a credit card with a chip, which all of us do, make sure that you protect that chip. Don't leave the card out. Don't have it in the back pocket without any protection. Where someone could walk up and tap it," Bergeaux said.

How to protect yourself

Cybersecurity experts recommend taking a few simple steps to reduce your risk:

• Turn on transaction alerts from your bank or credit card company
• Keep your cards secure and avoid leaving them exposed
• Use biometric security, like fingerprint or facial recognition, on your phone
• Monitor your statements regularly for suspicious charges

Watch for small charges

With ghost tapping scams, the first sign may be a small unauthorized charge, sometimes just $5 to $10.

Experts say scammers often start small to see if the charge goes unnoticed. If it isn't reported as fraud, they may attempt a larger purchase later. That's why it's critical to report any suspicious charge immediately.