May I borrow your bank account?
Would you lend your account to a friend? It may seem like a small favor, but our kindness can sometimes come back to harm us. Recently, a university student in Udon Thani province revealed that their bank account was frozen after lending it to a foreign friend.
The student explained that the foreign friend said they needed to borrow the bank account number for online sales. After money was transferred in, the student withdrew cash to give to the friend. Later, the student’s account was frozen and financial transactions were blocked.
What started as a small issue turned into multiple problems. The student said they had no money to pay for dormitory fees or tuition. The student loan from the Student Loan Fund (SLF) was also in the frozen account. When dealing with the police, they were told it was a 'mule account' case.
If anyone encounters this situation, it is serious because being a mule account carries risks of both civil and criminal penalties. We may have to endure hardship and financial loss to resolve the matter.
Three key things to know before becoming a 'mule account'.
An old saying goes, 'Showing kindness to others can cost you dearly.' This remains true today as a warning: sometimes goodwill extended to others can bring trouble upon ourselves.
Thairath Money will share lessons everyone should know from this student's case as follows.
1. Be careful not to lend your bank account to others.
You never know what someone might do with your bank account or personal information. Your bank account could be used as a 'mule account' by criminals for illegal activities such as money laundering or fraud. You could be wrongfully accused, have your account frozen, or even face arrest.
If illegal transactions occur in your bank account, the account owner is the first person police will investigate, which may lead to account freezes like the case described above.
2. What to do if you suspect your account is being used as a mule account (before the account is frozen).
If a friend borrows your bank account and you realize it may be used as a mule account, follow these two steps to freeze the account and prove your innocence:
2.1 Contact the bank immediately: Call your bank’s financial crime reporting center to suspend your account right away.
2.2 Gather all evidence: Collect all communications with the suspected criminals via any platform such as LINE or Facebook. Then file a police report immediately, either in person at a police station or online at www.thaipoliceonline.go.th.