There are always unscrupulous individuals who would love to separate you from your hard-earned money. Not only that, they are always developing new ways to do so, as well as new twists on old scams.
You can keep yourself from falling victim to these criminals by educating yourself about these schemes and using a little common sense. Always approach unsolicited phone calls, emails, or texts with skepticism. If something feels off, trust your instincts and take a step back to assess the situation.
Pig Butchering Scams
A pig butchering scam is an elaborate con in which scammers build up your trust over an extended period, often through social media, dating apps, or text messages, before convincing you to invest in cryptocurrency.
“The ‘pig butchering’ scheme is a complex fraud that borrows elements from other existing scams,” said R. Persichitte, Affiliate Professor at the Metropolitan State University of Denver. “It typically begins with a romantic or a wrong number scheme to initiate contact. A seemingly attractive individual will establish a casual relationship and then persuade you to make a small deposit into their phony investment, often using a legitimate site like Coinbase. They will then lure you into investing more by presenting fake statements of high returns. However, these returns are fictitious, and your money is lost when you transfer it.
To protect yourself from pig butchering, be skeptical of any unsolicited investment advice, especially from people you’ve only met online, or any texts from a “wrong number.”
Impersonating Your Bank or Another Service
Another common scam involves scammers posing as representatives from well-known banks or companies. These fraudsters can use sophisticated techniques to make their communications appear legitimate, such as spoofing official phone numbers or creating convincing email addresses.
“Scammers will pretend to be from a reputable company, bank, or delivery service to warn you about issues with your account or order,” said Darius Kingsley, head of consumer banking practices at Chase Bank. “They will request the victim to verify their information to resolve the issue, tricking them into sharing their personal or financial information. Always ignore and block calls and messages from numbers you don’t recognize and don’t trust caller ID alone. When in doubt, hang up and get in touch with the company or bank directly to ask if there is a problem.”
The scammer may try to persuade you to provide sensitive information like login credentials, Social Security numbers, or credit card details. In some cases, these impersonators may direct you to a fake website that looks identical to your bank’s official site. Once you enter your login information, the scammers can access your real account and drain your funds.
Don’t click on links in emails or text messages. Always go directly to the official website by typing the URL into your browser. If you’re unsure about a call or message, hang up and contact the company directly using a verified phone number from their official website or the back of your credit card.
Impersonating Law Enforcement or the IRS
Scammers sometimes pose as police, FBI, or IRS agents. They’ll try to exploit your fear of legal trouble to get you to make payments or give away your personal information.
“Fraudsters will pose as representatives from the IRS or Social Security Administration and demand immediate payments,” said Kingsley. “They will threaten law enforcement action of suspension of benefits if the payment isn’t made. The government will not call you to demand urgent action or threaten you. In most instances, they communicate via mail.”
The scammer may even use caller ID spoofing to make the call appear to come from a legitimate law enforcement agency or government office. They will probably try to keep you on the phone to keep you from checking the information with real authorities or family members. They might demand payment in forms that are difficult to trace or recover, such as gift cards, wire transfers, or cryptocurrency.
Remember that real law enforcement and the IRS will never demand immediate payment over the phone or threaten you with arrest for unpaid debts. If you receive such a call, remain calm and hang up. Contact the relevant agency directly on their official phone number to verify if the claims are real.
Tech Support Scams
Tech support scams target individuals who aren’t particularly tech-savvy. They exploit the fear of computer viruses or security breaches. These scams often begin with an unsolicited phone call claiming to be from a well-known tech company like Microsoft or Apple.
“Scammers will pose as a computer technician from a well-known tech company, calling to say they’ve found a problem with your computer,” said Kingsley. “They will try to trick you into clicking on a pop-up window to grant them remote access to fix the problem. Never give anyone access to your computer.”
The scammer will claim that your computer is infected with a virus or that your personal information is at risk. They may use technical jargon to confuse and intimidate you. They’ll insist that immediate action is necessary to protect yourself.
To “fix” the nonexistent problem, the fraudster will typically request remote access to your computer. Once you give them access, they can install actual malware, steal sensitive information, or even lock you out of your own device.
Remember that legitimate tech companies won’t contact you unsolicited about viruses or security issues. If you see a pop-up message claiming your computer is infected, don’t click on it or call any numbers provided. Instead, run a scan with your own antivirus software. If you’re concerned about your computer’s security, contact a reputable local tech support service or the official support for your device.
