Fraud and Scam FAQ

Fraud and Scam Tools and Prevention Tips

Scammers are constantly finding new ways to steal your money. Learn about the warning signs of common fraud and scams to protect yourself and your loved ones.

What is a scam and what is fraud?

Fraud generally refers to the act of deceiving or misrepresenting information for personal gain. This can include things like identity theft, insurance fraud, or securities fraud.

Scams happen when a thief poses as someone else or makes up a story that sounds real to get money from you. Because the victim performs the transactions through legitimate transfers and sources, it is harder to recover the money once it is sent to the thief. Scams can take the forms of fake lotteries, phishing emails, romance scams, payment scams, or impersonation schemes.

How can I tell if I'm dealing with a scammer?

Always verify the identity of the person or organization before giving out any information. Watch for these warning signs and trust your instincts. Don't make any financial commitments if you have any doubts or notice these red flags. For more on how to recognize a scam, go to ftc.gov/scams.

• Scammers usually pressure you to act quickly.  They don't want you to have time to check what they're saying. If you're on the phone, scammers won't let you hang up to check out their story. If something feels off, you should end the communication and seek a second opinion or research to confirm authenticity before continuing.
• Scammers tell you to pay in a specific way. They want it to be hard to get your money back, so they'll say to pay by gift card, by wire transfer, or with cryptocurrency. Anyone who pressures you to pay or give them your personal information is a scammer. 
• Scammers ask for money or personal information. They want access to your Social Security number, credit and debit card information, or bank accounts. 

What can I do after I recognize a scam or fraud? 

If you believe you are dealing with a scam, it's essential to report it and take steps to prevent further fraudulent activity and protect others.

1. Act quickly! Contact your local law enforcement agency, financial institutions, and other agencies to report the incident.
2. Gather all relevant information. Watch your bank account, bills, statements, and your credit report. 
3. Update your security measures. Change your passwords, PINs, and security questions for all your online accounts. You can close credit and debit cards or open new account numbers to prevent further unauthorized access.
4. File a report at ftc.gov/scams. The quicker you act, the better your chance of getting your money back.  There will be steps to help you try to get your money back, depending on how you paid. Freeze your credit and place alerts to reduce your chance of identity theft. Placing a fraud alert is free and lasts for one year. A credit freeze restricts access to your credit until you decide to unfreeze it. Contact each of the national credit bureaus to request fraud alerts and credit freezes. 

Contact the Credit Bureaus

• Equifax: 800-349-9960  
• Experian: 888-397-3742  
• TransUnion: 800-916-8800