By Al Vermeer, Peoples Bank CEO
Updated 5/19/2024
YOU HAVE JUST BEEN CHOSEN AS THE SOUL WINNER OF THE DUTCH BANKERS’ LOTTERY!! PLEASE CLICK ON THE LINK BELOW IMMEDIATELY TO CLAIM YOUR PRIZE!!
This sounds pretty silly coming from a bank’s website, correct? But, every day there are thousands of people who get drawn in by this or some other type of scam. We all know Spring has sprung, but unfortunately, so has a new wave of scammers trying to separate you from your money!!
What to Watch Out For
Whether it be the work-at-home scheme, the grandchild-locked-up-in-Mexico fraud, the secret shopper swindle, or the boyfriend/girlfriend scam, they all have a few things in common that you need to watch out for:
Unreasonable Requests
Scammers often rely on creating scenarios that sound too good to be true or play on people's emotions to trick them into sending money or personal information. Understanding and recognizing these unreasonable requests can help you avoid falling victim to their schemes. Here are some examples:
Winning Without Entering
If you never entered a lottery or sweepstakes, it isn't reasonable to expect to win. Scammers often send messages claiming that you have won a prize from a contest you never participated in. This tactic is designed to create excitement and lower your defenses, making you more likely to follow their instructions without questioning the legitimacy of the claim. Always remember, legitimate lotteries and sweepstakes require you to enter and follow specific rules.
Receiving Money for No Reason
It isn’t normal for someone to send you money before you do anything for them. If you receive a check or money order unexpectedly, it’s often a ploy to get you to deposit it and then wire a portion back. By the time the check bounces, the scammer is long gone, and you are left to cover the fraudulent amount. Legitimate businesses or individuals will never send money without a prior arrangement or reason.
Questioning the Plausibility
Has your grandchild ever even been to Mexico? Scammers often use emotional manipulation, such as the "grandparent scam," where they pretend to be a relative in distress. They might claim your grandchild is in trouble in a foreign country and needs money urgently. Always verify such claims by contacting other family members or the grandchild directly using a known phone number. Never send money based on a phone call or email without verification.
Sending Money to Strangers
Is it reasonable to send someone money before you have even met in person or talked on the phone? Scammers exploit online relationships and dating sites to build trust and then ask for money. They might concoct stories about needing funds for travel, medical emergencies, or other urgent expenses. Legitimate individuals will not request money from someone they have never met in person or spoken to directly.
- When it comes time they ask for money, they will demand immediate action. The money needs to be sent now to avoid losing the prize, to get a person out of jail, to pay a fine that is past due, to allow them to buy a special ticket to travel to see you, etc. They will warn you not to talk to family members, authorities, or your banker, but that is exactly what you need to do!
Always be cautious and skeptical of such requests.
By understanding these unreasonable requests, you can better protect yourself from falling victim to scams. For more detailed information and tips on how to avoid scams, consider reviewing resources from reputable organizations like the Federal Trade Commission (FTC) and the Better Business Bureau (BBB).
Helpful Articles
Here are a couple of helpful articles that detail different types of scams. There are even some with a modern twist.
- 5 Financial Scams To Avoid in 2024 as Expert Warns Fraud Has Reached ‘Crisis Level’
- AARP - Beware: 8 Red-Hot Frauds
Scams to Avoid in 2024
- Experian's Guide on Latest Scams:
- AI-Powered Scams: Scammers are using artificial intelligence to create deepfakes and impersonate friends or relatives to request money. They may also create convincing phishing emails and fake applications for student loan forgiveness.
- Student Loan Forgiveness Scams: With changes in student loan policies, scammers exploit this by creating fake application sites to steal personal information.
- Phone Scams: These include robocalls and impersonation calls pretending to be from the IRS or other authorities, aiming to steal personal information (Experian).
- Aura’s List of Scams to Avoid:
- P2P Payment Scams: Fraudulent activities on apps like Zelle, Venmo, and Cash App are on the rise. Scammers might send phishing texts or emails to steal login credentials or create fake fraud alerts.
- Job Scams: Fake job postings lure victims into providing sensitive information or paying for “training” materials.
- Amazon Impostor Scams: Scammers impersonate Amazon through emails or messages to steal account information (Aura Family).
- ExpressVPN's Scam Survival Guide:
- Deepfake and AI Scams: Scammers use generative AI to create realistic videos or audio recordings that impersonate bank officials or loved ones to steal personal information.
- Government Agency Scams: Phishing emails pretending to be from government agencies ask for sensitive information. Always verify the authenticity by contacting the agency directly through their official channels (ExpressVPN).
- Kiplinger’s Biggest Frauds in 2024:
- AI Scams: Fraudsters use AI to create synthetic identities and deepfakes, making scams more sophisticated and harder to detect.
- Increased Retail Fraud: Scammers exploit online shopping by making fake returns or claiming items were lost in the mail.
- Fake Charity Scams: Fraudulent GoFundMe campaigns and fake charity fundraising schemes are used to dupe people out of their money (Kiplinger.com).
Peoples Bank is here to help!
If you see anything that resembles a scam, please destroy it. If you have questions, call a trusted loved one. If you believe you are currently caught in a scam, contact your local Peoples Bank location. Please don’t feel afraid or embarrassed! We deal with several of these cases each month and have been able to help many of them get out of the scam or even get some of their money back. We are here to help YOU!
