Protect Yourself from Scary Financial Scams
| Posted in Fraud Prevention, Bank Blogs
From fake calls from the Internal Revenue Service to fraudulent tech support calls about your computer, scams are on the rise. According to the Federal Trade Commission, consumers lost more than $10 billion to fraud in 2023 and $12.5 billion in 2024.
So, what can you do to protect yourself from falling victim to a financial scam?
Here are some tips to help you:
Know how to spot scams.
Scammers continually devise new methods to defraud unsuspecting victims. But many use some of the same techniques and traps, such as:
- Creating a sense of urgency. You may receive emails, texts, or calls instructing you to act immediately. It could be, for example, a text from the IRS telling you that there is a problem with your return and that “urgent action is required.”
- Asking for money. You may be informed that you won a prize, have a package delivery that requires additional money, or receive a fake job offer that requires you to pay money up front for training.
- Playing on your emotions. Some scammers will try to scare you by pretending to be a loved one who needs you to send money immediately to help get them out of trouble, such as an arrest or a broken-down car in need of repair.
- Offering too-good-to-be-true opportunities. If something sounds too good to be true, such as free money/prizes or guaranteed high returns on an investment, it’s very likely a scam.
- Requesting personal information. Scammers often use phishing techniques where they pretend to be a legitimate company you do business with, such as your bank or delivery service. They will ask you to click on a link that will allow them to download malware or gain remote access to your computer.
- Spoofing legitimate cell numbers. Scammers are also using technology to fake or disguise their phone number on Caller ID to mirror the numbers of your bank, the IRS, or other entities.
Tips to protect yourself.
- Safeguard your personal information. Never give out your Social Security number, driver’s license number, or passwords to someone who solicits you.
- Verify the sources of all communications. If you receive a text, email, or phone call from a company, do your homework by verifying the source. For example, if you are notified that a package is being delivered from a company, contact the legitimate delivery service for verification.
- Use strong and unique passwords. Create different passwords for all online services using a combination of upper and lowercase letters, numbers, and symbols. Change your passwords every few weeks.
- Frequently monitor your accounts. With online and mobile banking, you can set account and transaction alerts to help you stay on top of all account activity and balances.
- Review your credit. You can request a free credit report from each of the credit bureaus at annualcreditreport.com. You can also use credit monitoring services to stay on top of your credit all year long.
- Lock down your technology. Ensure all your devices are secure by downloading software updates and trusted antivirus software. Also, never log in to your financial accounts using public WiFi.
- Trust yourself. If something feels off or sounds too good to be true, go with your instincts.
Your security is our priority.
Protecting your account and personal information is one of our most important priorities. Remember, we will never call, email, or text you to request personal or financial information.