Which of the following is a common red flag for new bank account fraud?

The identification of red flags in new bank account fraud is crucial for preventing financial losses and fraudulent activities. The immediate cash withdrawal after account opening is a significant red flag because it may indicate that the account was not opened for legitimate reasons. Fraudsters often want to obtain cash quickly to reduce the chances of detection. This practice can also imply that the account may have been opened with the intent to commit fraud, as legitimate customers generally do not withdraw full amounts immediately, especially if they intend to use the funds for transactions or savings.

In contrast, consistent information on the application, previous relationships with the bank, and multiple accounts at the same bank are indicators that may signal normal banking behavior rather than suspicious activity. For instance, consistent information suggests that the applicant has provided reliable data, a previous relationship indicates trust and familiarity with the bank, and multiple accounts may simply reflect the customer's personal or business needs without any fraudulent intent.