This has nothing to do with using Fidelity. Most banks or credit unions have online billpay functions. A Fidelity brokerage account does as well (you don't have to have a CMA account).Could you please explain how Fidelity CMA pays the bill and why it is safer? Does it mail checks to payees or via ACH?
Online billpay will use ACH for payees that support it, and mail a check for others. But in most or all cases, neither will be drawn on your account. Your assets will be moved to a separate account at the bank, and paid from that account, so your account number is not exposed either way. I assume this applies to Fidelity's billpay functionality.
If the billpay check is cashed fraudulently, you still will have the problem of your bank account having been debited, but the payee not credited on your behalf.
The main benefit of online billpay for fraud prevention is that your account number is not exposed in the process. I assume the OP has asked the credit union for a new account/number? The fraudster had the opportunity to harvest your account number.
Statistics: Posted by Northern Flicker — Mon Sep 16, 2024 12:56 am — Replies 69 — Views 3555