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FINRA flags growing threat of customer account transfer fraud

FINRA HQ from street
Photo: Getty Images

Bad actors targeting newer providers of online account opening services.

FINRA has warned of a rising trend in fraudulent transfer of customer accounts through the Automated Customer Account Transfer Service (ACATS), an automated system administered by the National Securities Clearing Corporation (NSCC). The system helps transfer customer account assets between firms.

Stolen identity

ACATS fraud often happens when a bad

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