With the release of a list of the top scams of 2017, residents are warned to be even more diligent during 2018.
According to the Better Business Bureau, many are new twists on existing scams, but scammers become more sophisticated every year in how they spoof trusted brands and how they fool consumers, according to a statement provided by the East Brunswick Police Department.
1. Internal Revenue Service (IRS) – Scammers posing as IRS agents claim a person owes back taxes and threaten lawsuits and arrest if payment is not sent immediately. The IRS does not make threatening phone calls, nor should a payment be sent via unconventional methods such as gift cards or wire transfer.
2. Sweepstakes/Lottery/Prizes – Unexpected prize and lottery scams rely on excitement to lure a person into paying fees for the prize and/or typically require personal information with the intent of compromising identity. There should never be a fee for winning a prize. People will also never win a lottery he/she never entered.
3. Government Grant – Victims receive a phone call, email or letter stating he/she qualified for a government grant, but to receive the grant he/she must pay the processing and/or delivery fee via wire transfer or prepaid debit card. Never send money by wire transfer or prepaid debit card to somebody you don’t know or haven’t met in person.
4. Auto Warranty – A person receives a letter in the mail that his/her auto warranty has expired, but he/she has a limited amount of time to extend the warranty for a low cost. Oftentimes there will be more than one letter that extends the time to get that low price. Check bbb.org before purchasing another warranty from a company.
5. Tech Support – Consumers are targeted by fraudsters pretending to be well-known tech support companies. Victims are contacted with a message on his/her computer that a virus has been detected and to “fix” the problem, a phone number or website is given to purchase an anti-virus computer via debit or credit card. Computer manufacturers will not contact owners to let them know if there is a problem with the computer.
6. Phishing/Smishing- A person receives an email or text stating that he/she has won a contest and that a business or someone posing as an official at the place of employment needs to verify personal information, such as a Social Security number. Never click on links or open attachments from unsolicited emails and never provide personal information without first verifying the source.
7. Employment – Scammers advertise a job opening or guarantee job placement if a job seeker pays a fee to cover the cost it takes to place him/her in a job. However, after payment, there is no job. If a potential employer asks for payment to the company to cover the costs of testing, training or background checks, consider it a red flag.
8. Advance Fee Loan – Advance fee lenders charge an upfront fee and will “guarantee” a loan despite a person’s credit history. Legitimate financial organizations will always check credit history. A lender who isn’t interested in credit history is an immediate red flag.
9. Bogus Online Retailers – Always use caution when dealing with unfamiliar online retailers. Read reviews at bbb.org to make sure it is a trustworthy business.
10. Medicaid/Medicare Scam – A person is contacted by a government authority who claims he/she wants to send a free gift for updating account information. The victims soon discovers he/she never received the gift and his/her identity has been compromised. Never provide personally identifiable information to an unsolicited phone call or email without first verifying the source.
11. Travel/Vacation Scams – Con artists post listings for properties that either aren’t for rent, don’t exist, or are significantly different than pictured. They then lure in vacationers with the promise of low fees and great amenities. Another common travel scam is the timeshare resale con. A timeshare owner who is looking to sell gets a call from someone claiming to be a real estate broker or agent. These scammers claim to specialize in timeshare resales and promise they have buyers ready to purchase. To secure this service, the scammer pressures the target into paying an upfront fee. The timeshare owner pays up, but the reselling agent never delivers. Never pay for a vacation rental by prepaid debit card or wire transfer. These payments are the same as sending cash.
12. Identity Theft – These scams are designed to either steal money now, or steal a person’s identity now in order to steal his/her money later. Once scammers have identity information, they can effectively become a person, using his/her identity to open accounts, file taxes or obtain medical coverage. Look for unexplained withdrawals, charges and accounts. Also, check credit reports regularly for unauthorized inquiries and accounts.
13. Phony Debt Collection – The scammer calls and tells a person that he/she workw for a loan company, law firm or government agency, and claims to be collecting an overdue payment. The “debt collector” makes threats to sue, have the victim’s wages garnished, arrest or court appearances thousands of miles from home. Despite the threats, these “debt collectors” don’t have any legal power. In most cases, the alleged overdue loan doesn’t exist. Don’t give in and pay money you don’t owe.
14. “Can You Hear Me?” – A person receives a call from someone who almost immediately asks, “Can you hear me?” His/her goal is to get the victim to answer “Yes,” which most people would do instinctively in that situation. There may be some fumbling around; the person may even say something like “I’m having trouble with my headset.” But in fact, the “person” may just be a robocall recording your conversation … and that “Yes” answer can later be edited to make it sound like the victim authorized a major purchase. Use Caller ID to screen calls, and consider not even answering unfamiliar numbers. If it is important, he/she will leave a message and the victim can call back. If someone calls and asks “Can you hear me?” do not answer “yes.” Just hang up.
For more information regarding scams, prevention and tips, visit www.bbb.org/scamtips or www.