Scammers use small business names to send fake PayPal invoices

Scammers are using legitimate small business names to make fake PayPal invoices look convincing, leaving the business to deal with confused customers and reputational damage, according to Bitdefender. (ctinsider.com)

A Connecticut vintage furniture shop, Palomino Bazaar, discovered its name on over 200 fake PayPal invoices sent nationwide, even though the business was inactive, according to ctinsider.com.

The fake bills asked for roughly $1,000 and told recipients to call a specific number to resolve the issue, which belonged to the scammers, according to ctinsider.com.

How the scam works and who is affected

You might get an invoice or payment request for something you didn’t buy, often with urgent language like “Call now to cancel” or “Dispute within 24 hours,” according to Bitdefender.

That phone number is the trap. If you call, someone posing as PayPal may try to get your payment details, install remote-access software, or make you pay to cancel the transaction, according to Bitdefender.

Bitdefender says these scams hit you two ways: you receive a fake bill, or scammers use your business name to make their invoices look real.

If your account is compromised, you might see unfamiliar PayPal activity, unexpected login alerts, or password-reset messages, according to Bitdefender.

If you receive a suspicious invoice, open PayPal directly to check your account rather than calling the number or following instructions in the message.

Check your PayPal and connected email accounts for unauthorized access, unfamiliar logins, or suspicious changes.

Secure any affected accounts by changing passwords immediately, enabling two-factor authentication, and removing unfamiliar devices or sessions.

Report fraudulent invoices to PayPal through its official website and keep copies of suspicious emails and invoice IDs.

Warn customers through your official website or social media if the scam is widespread, reminding them not to call phone numbers included in suspicious invoices.

Bitdefender warns that even if no one pays, the scam can still hurt the trust you’ve built with your customers, according to the company.

Sources: Bitdefender.