Scammers may try to take advantage of you. They might get in touch by phone, email, postal mail, text, or social media. Banking scams involve attempts to access your bank account. Protect your money and your identity. Don't share personal information like your bank account number, Social Security number, or date of birth.
Common Scams Include:
Banking
- Overpayment scams- Someone sends you a check, instructs you to deposit it in your bank account, and wire part of the money back to them. But the check was fake, so you’ll have to pay your bank the amount of the check, plus you’ll lose any money you wired.
- Unsolicited check fraud- A scammer sends you a check for no reason. If you cash it, you may be authorizing the purchase of items or signing up for a loan you didn’t ask for.
- Automatic withdrawals- A scam company sets up automatic withdrawals from your bank account to qualify for a free trial or to collect a prize.
- Phishing- You receive an email message that asks you to verify your bank account or debit card number.
- Scam Text Messages- It looks like a text alert from your bank, asking you to confirm information or 'reactivate your debit card' by following a link on your smart phone. But it is just a way to steal personal information.
Fake Prizes, Sweepstakes, Free Gifts, Lottery
You receive an email claiming you won a prize, lottery, or gift, and you only have to pay a "small fee" to claim it or cover "handling costs". These include scams which can go under the name of genuine lotteries like the UK National Lottery and the El Gordo Spanish lottery. Unsolicited email or telephone calls tell people they are being entered or have already been entered into a prize draw. Later, they receive a call congratulating them on winning a substantial prize in a national lottery. But before they can claim their prize, they are told they must send money to pay for administration fees and taxes. The prize, of course, does not exist. No genuine lottery asks for money to pay fees or notifies its winners via email.
Phishing/Spoofing Emails
Emails that pretend to be from a company, organization or government agency but ask you to enter or confirm your personal information.
Fake Check Payments
You sell something online or through Craig's List Consumers and you're paid with phony checks and instructed to wire money back to buyer. The check looks real... but after you try to cash it, you find out it is a fake.
Computer Performance, Equipment and Software
Scammers claim to offer "technical support" for computer problems and charge a fee to fix nonexistent problems.
Online Dating
Fake profiles of scammers posing as attractive men and women, then claiming they need money to help in an emergency, typically when they claim to be out of the country on a business trip.
Social Media Fake Friend
Did you ever get a Friend Request on Facebook from someone you already thought was your Friend? If you hit Accept, you may have just friended a scammer. Con artist nurtures an online relationship, builds trust, and convinces victim to send money.
Invisible Home Improvements
In addition to email, mail and phone, scammers now just show up at your door. Scammers posing as home improvement contractors come door-to-door sale and target seniors, those who live alone, and victims of weather-related disasters are common targets.
Work at Home
Work-at-home and business opportunity scams are often advertised as paid work from home. After the would-be worker applies, they are asked for money up-front to pay for materials and, after paying, they hear nothing back. A variation of this is people are asked to invest in a business that has little chance of success.
Credit Repair Services with Advance Fees
Consumers with bad credit ratings are particularly vulnerable to this scam. Everything a credit-repair operation offers an individual can do personally at little or no cost. Credit repair operations cannot ask for money in advance, and they cannot automatically remove legitimate negative reports from your credit history.
Tickets
Ticket selling scams happen when a scammer uses tickets as bait to steal your money. The scammer usually sells fake tickets, or you pay for a ticket, but never receive it. They are common when tickets for popular concerts, plays, and sporting events sell out.
Telephone
Telephone scammers try to steal your money or personal information. Scams may come through phone calls from real people, robocalls, or text messages. Callers often make false promises, such as opportunities to buy products, invest your money, or receive free product trials. They may also offer you money through free grants and lotteries. Some scammers may call with threats of jail or lawsuits if you don’t pay them.
IRS Tax Scam
Below are some important tips and advice from the IRS regarding tax season scams. It’s crucial to remember that the IRS does not reach out to taxpayers via email, text, or social media. This includes any requests for personal identification numbers, passwords, or account details related to credit cards, banks, or other financial accounts.
The IRS will never:
- Demand immediate payment using specific methods like prepaid debit cards, gift cards, or wire transfers. Typically, the IRS will send a bill via mail first if you owe taxes.
- Threaten to involve local police or other law enforcement to arrest you for non-payment.
- Require payment without allowing you the chance to question or appeal the amount you owe.
- Call unexpectedly regarding a tax refund.
If you receive one of these phone calls, follow these steps:
- Record the phone number and hang up immediately.
- Report the call to TIGTA via their IRS Impersonation Scam Reporting form or by calling 800-366-4484.
- Send the phone number to [email protected] with "IRS Phone Scam" in the subject line.
What to do if you get a suspicious IRS-related email: If you receive an email that appears to be from the IRS and asks for personal information, taxes related to an investment, inheritance, or lottery:
- Do not reply to the email.
- Do not open any attachments, as they may contain harmful code that could infect your device.
- Avoid clicking on any links. If you’ve clicked on a link in a suspicious email or website and entered confidential information, visit our identity protection page.
- Forward the email—ideally with full email headers—to [email protected]. Do not forward scanned images, as they remove essential information.
- Delete the original email.
Natural Disaster
After major natural disasters, fraudulent emails and social media messages—often containing harmful links or attachments—are common. It's essential to exercise caution with any emails that mention hurricanes, especially those with attachments or hyperlinks. Be skeptical of social media appeals, texts, or door-to-door requests related to severe weather events. Scammers often take advantage of the vulnerability and charitable intentions that arise during such crises.
Recognizing Red Flags
- Official Communication: Government disaster assistance agencies DO NOT call or text requesting financial information. No fees are associated with applying for disaster assistance from FEMA or the Small Business Administration. Any request for money from someone claiming to be a federal official is likely a scam.
- Caller ID Spoofing: Be aware that phone scams may use caller ID spoofing to hide their true identity. If you receive a suspicious call, hang up and contact the agency directly using the number on their official website. Never share personal information unless you've confirmed the caller's identity.
- Door-to-Door Agents: Workers or agents from government agencies should carry official identification and show it upon request. They will not ask for or accept money.