There’s a new type of business scam, and it’s much more believable than those that came prior. It is a form of business impersonation. Business impersonation scams are growing as a whole. The FTC reports that the number of scams involving business impostors has skyrocketed in 2021, jumping up to 94,874 reports this year already – eclipsing government impersonation scams as the most prevalent type of fraud today. But this particular con is especially nefarious. So, what’s the new post-COVID big scary business impersonation scam?
The Fake Fraud Scam
Let me take you on a journey. Say you get a phone call saying your account had a suspicious charge. The ring is from a reputable company that you do business with – PayPal, your bank, your credit card provider, Social Security. When you call back the number to dispute the charges, they ask for your information to look up your account. They say they need access to your computer to confirm, so you give them log-in details. You resolve the charge and hang up the phone. The following day, all of your accounts are wiped.
Sound too freaky to be true? It’s happening every day. Check out this poor man’s song of sorrow. Modern scammers are impersonating businesses to gain access to your data. The phone calls come from a reasonable number, with someone who sounds like a company agent on the line. The fake fraud scam is one of the most believable ones they’ve come up with yet. So how do you know if the fraud alert email or phone call is real or if it’s a masquerade intended to forcibly separate you from your hard-earned cash?
How to Sniff Out Illegit Fraud Claims
Part of the challenge in identifying a fake fraud charge is that banks, third-party payment providers, credit card companies, and government organizations do need some personal information to access your account. However, no legit organization will ask for a full social security number or your password to your computer. Different phishing scammers need different levels of information to hack into your financial accounts, so even information such as your birthday, the last four digits of your soc, and more can leave you in a position to be scammed.
If you have even an inkling of a feeling that a fraud charge call or fraud alert email might be fallacious, your best bet is to immediately call the number on the back of your credit card. Or get the number of the company calling you from your statement or web search. Bottom line? Never call the number left to you in an email or voicemail and then give them your personal info.
Curtail Fraud Alert Scams at the Start
The people that are the most likely to be frauded are those that spend the second least time online. The demographic reporting the most fraud is age 60-69, comprising 19% of all reported fraud thus far in 2021. As fraud-alert scammers get smarter and their phishing grift gets more convincing, it’s important to reach out to your older family members to give them a heads up. Information is the best method of prevention when it comes to strategies scammers use to separate us and our loved ones from our money.
Have you experienced a strange form of fraud that our readers should know about? Spread the word! Reach out to us in the comments, and we may be in touch to interview you for an upcoming article for Rocket Yard Blog.