How can you tell if something is fraudulent or a scam?
Criminals will use many scams to target unsuspecting people. This can happen over the phone, through mail, email or over the internet. It is good practice to identify the warning signs to help keep you and your money safe.
Warning Signs:
- Claiming to be from the government, a bank, a business, or a family member, and asking you to pay money.
- Asking you to pay money or taxes upfront to receive a prize or a gift.
- Asking you to wire them money, send cryptocurrency, send money by courier, send money over a payment app, or put money on a prepaid card or gift card and send it to them or give them the numbers on the card.
- Asking for access to your money-such as your ATM cards, bank accounts, credit cards, cryptocurrency wallet keys or access codes, or investment accounts.
- Pressuring you to “act now” or else the deal will go away or trying hard to give you a “great deal” without time to answer your questions.
- Creating a sense of urgency or emergency to play on your emotions.
Cryptocurrency Scams:
- Newer scams involve cryptocurrency. Cryptocurrency is a type of digital currency that only exists electronically. Typically, you would be able to purchase this type of currency from an app, website, or cryptocurrency ATM. Cryptocurrency is not protected legally, like a debit or credit card are. If you are scammed, and cryptocurrency is used, you may not be able to recover your money.
- Only scammers will demand payment in cryptocurrency – legitimate businesses will not demand this as a method of payment.
What can you do to protect yourself?
- Don’t share private data with someone, this includes any passwords, credit cards, or full social security numbers.
- The government and banks do not call people, all their correspondence happens via mail.
- The adage, if it sounds too good to be true… it probably is.
- If you receive a call from someone you know asking for money or gift cards in an urgent situation. Call them back before providing any information to make sure it is real.
- Know what you are clicking. Many scammers will use email or websites to gather your information. If you do not know where the link goes, or an unknown QR code – contact the business directly instead of clicking on the links.
What to do if you think you or someone you know has been the victim of fraud?
- Contact your local police
- Contact your bank to let them know what happened
- If you are 60 or older – contact protective services, 1-800-922-2275 and file a report.
For more information, please visit:
- Consumer Financial Protection Bureau: www.consumerfinance.gov
- Federal Trade Commission: https://consumer.ftc.gov
- FBI: https://www.fbi.gov/how-we-can-help-you/scams-and-safety/common-frauds-and-scams
- Massachusetts Attorney General: https://www.mass.gov/info-details/preventing-the-financial-exploitation-of-elders