Check Fraud: What You Need to Know to Stay Safe

In our digital age of payment apps and mobile banking, it is easy to overlook that some criminals still use old-fashioned methods to steal your money—specifically, through phony check scams.

Fortunately, with a little knowledge, you can protect yourself from falling victim to check fraud.

 

Five Common Check Scams

1. The Bad Check Scam: In this scam, the fraudster provides you with a counterfeit check for a service or item you are selling. The person appears trustworthy, and the check seems genuine, so you accept and deposit it. By the time you discover the check is fake, the scammer is long gone. Not only will you lose money, but you might also incur overdraft fees.

2. The “Overpayment” Scam: This is a variation of the bad check scam. The scammer pays you with a check for more than the amount due for an item you are selling. They then convince you to refund the excess amount in cash, claiming it is more convenient than issuing a new check. A few days later, the check bounces, leaving you without the cash and responsible for any overdraft fees.

3. Phony Job Offer Check Scam: In this scam, you receive a job offer to work as a Personal Shopper or Personal Assistant from home. The scammer sends you a check and instructs you to purchase gift cards, money orders, or pay third-party vendors as part of your job duties. However, the check is fake, and by the time you realize it, the scammer has disappeared with the goods you bought with your own money.

4. Prizes and Lotteries Check Fraud: Winning a prize seems great, right? Not always. In this scam, you receive a check claiming you have won a prize. To claim your winnings, you must first pay a processing fee or taxes upfront. You comply, but the check bounces a few days later, leaving you with nothing but a bad experience.

5. Stolen and Altered Check Fraud: In this prevalent scam, thieves steal checks directly from your mailbox. They target checks you have left for pickup by the mail carrier. The thieves then alter these checks, sometimes changing them to large amounts, and cash them, draining your bank account.

How to Protect Yourself

1. Verify Funds Availability: Federal law requires banks to make funds available quickly, but just because a check appears to have “cleared” does not guarantee it is genuine. Wait until you are certain the check is valid before withdrawing any funds.

2. Confirm the Check Amount: Ensure that any check you receive is for the correct amount. If not, ask the payer to issue a new check. Never provide cash "change" for a check.

3. Look for Counterfeit Signs: Be on the lookout for signs of counterfeit checks, such as poor-quality or thin paper, missing information, typos, and suspicious bank names or logos.

4. Be Wary of Pressure Tactics: Scammers often use intimidation to get their way, threatening costly tax implications, arrest, or deportation to force victims into compliance.

5. Secure Your Mail: Avoid leaving bill payments in an unlocked mailbox for pickup. Instead, mail them from the post office or use online Bill Pay services.

6. Store Checks Securely: Keep your checks in a secure place and shred any old or unused checks to prevent misuse.

7. Monitor Check Orders: If you reorder checks and they do not arrive within 15 business days, contact your financial institution or check printer to check the status of your order.

8. Use Online and Mobile Banking: Regularly monitor your account using online and mobile banking tools to keep track of any unauthorized transactions.

 

Do Not Fall for These Tax Season Scams

This tax season is a great opportunity to stay vigilant against scams such as phishing, charity, IRS impersonators, and ghost preparers. By being aware and cautious, we can ensure a safe and enjoyable tax season experience.  

Who would have guessed that a ghost tax return preparer would exist? Welcome to the 21st Century, where scammers are continually inventing new ways to steal your personal and financial information and perfecting their tried-and-true methods. Fortunately, you can avoid getting scammed with a bit of knowledge and effort. 

The first step is to stay up to date on your bank account balances and transactions to take immediate action if you discover a questionable withdrawal or are taken advantage of. Fortunately, IDB Global Federal Credit Union tools are here to help. We encourage all members to use online banking, enable email and text alerts, and sign up for e-statements. E-statements ensure that you get your account statements fast, and you can set alerts for balance limits, withdrawals, and more. Our Online Banking and mobile app also allow you to check your balances anytime, anywhere, so you know as soon as possible if something is off.  

Of course, in addition to monitoring your accounts, it is vital to know what to watch for during this critical and busy time of year. Below are five scams targeting unsuspecting taxpayers, and how to avoid becoming a victim. 

Phishing Fraud 

Phishing is a now common fraud where scammers use email, text messages, or social media to trick you into giving them your sensitive information, such as usernames, passwords, or bank account details. The IRS says that there has been a recent surge in these attacks, so be prepared. During tax season, scammers often use the IRS logo or name to make their claims seem more real. In some cases, the texts or emails contain links to sites that say something to the effect of “you are to update your IRS e-file immediately.” The IRS says these are fake. Scammers can also impersonate tax industry professionals or tax preparation software companies. 

Be on the lookout for: In addition to requests for social security numbers, birth dates and bank account credentials, be wary of any entity seeking information relating to your tax refunds, filing status, personal information confirmation, or PIN information. 

 

Ghost Tax Return Preparers Fraud 

If the term “ghost preparer” scares you, good. That is healthy. A ghost preparer is a scammer who poses as a tax professional, such as an accountant, who prepares your tax return but avoids signing it. They often promise a big return without first knowing your financial details, claim that your return must be routed through a different account (theirs), or require cash only and do not provide a receipt. Remember, however, that ultimately, you are responsible for any claims made on your tax return. 

Be on the lookout for: Warning signs are clear here. According to law, anyone who is paid to prepare or help prepare a tax return must sign it and include a valid Preparer Tax Identification Number (PTIN). Red flags include requiring cash payment, inflating or inventing income and/or deductions to boost your return, or claiming that your return must go through another’s bank account. 

 

IRS Impersonation Phone Scam 

This scam targets taxpayers, including recent immigrants, with aggressive phone calls by fraudsters claiming to be IRS agents. They use fake names and IRS badge numbers, have caller IDs that mimic the IRS, and sometimes seem to know much about you. They make different claims, but usually, they try to scare their target by insisting that they owe money to the IRS that needs to be paid immediately by wire transfer or gift card (these cannot be traced or refunded). Often, the caller becomes hostile, threatening arrest, suspension of business or driver’s licenses, or deportation. Robocalls are also used, with phony return call numbers. 

Be on the lookout for: Aggressive tactics and requests for payments in forms such as wire transfers or gift cards are major red flags. The IRS will never ask for these types of payments, and they will never threaten jail, deportation, or other forms of punishment. If you have any doubts, call the IRS directly to ask about your return or refund status. 

 

Unclaimed Refund Scam 

This scam can come in any form—email, text message, phone—but the IRS reports that a relatively new and more convincing form popped up last year. Scammers send targets a cardboard envelope from a delivery service. The enclosed letter includes the IRS masthead and claims to be related to “your unclaimed refund.” The letter provides a phone number that does not belong to the IRS and asks you to upload a photo of your driver’s license and other sensitive personal and financial information, such as bank routing information, bank account type, and Social Security number. 

Be on the lookout: Fortunately, this letter, and scams like it, usually involve many telltale signs of a scam. The IRS says that warning signs include odd punctuation, poorly worded sentences, a mixture of fonts, and factual inaccuracies like wrong tax return filing deadlines.  

 

Fake Charity Scam 

Giving to those less fortunate or disaster victims is a noble act. But sometimes, the old saying about no good deed going unpunished comes true, especially at tax time. Many scammers solicit donations from well-meaning taxpayers using fake charities that do not exist and have no tax-exempt status. This means that not only does your donation not go to those you are trying to help, but you are not allowed to claim it as a charitable deduction. Too often you learn this when the IRS informs you that you owe more money than you believed. 

Be on the lookout for: When considering giving to a charity, research them to ensure that they are legitimate, and an acceptable portion of your money will go to the intended recipients—rather than administration or marketing costs. A good way to do this is at CharityWatch.org. To verify that your donation is tax deductible, the IRS has a Tax-Exempt Organization Search (TEOS) tool. 

 

We at IDB Global Federal Credit Union hope that your tax season is as low stress as it can be. If you have any questions about how to sign up for Online Banking, E-statements or account alerts, do not hesitate to contact us. 

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How to Keep Your Holidays Fraud-Free

‘Tis that time of year… when scammers try to steal your money, information, and holiday cheer.

The holidays are a festive and fun time for family and friends and reflecting on our good fortune. Unfortunately, it is also the time of year when scammers are most active in trying to steal your fortune. Reports by companies such as Visa and Amazon warn consumers to be particularly alert this holiday season after scams rose during the last holiday season. Amazon alone has shut down more than 45,000 phishing sites and more than 50,000 scammer phone numbers this year and expects that trend to continue during the holidays.

Fortunately, with some knowledge and vigilance, thwarting scammers is easy. Because your security is important to us, we have identified ten holiday scams with simple ways to avoid them.

10 Holiday Scams and How to Avoid Them

1. Unusual Payment Method Scams

If an online retailer asks you to pay using gift cards, wire transfers, or cryptocurrency, it is very likely a scam. Legitimate businesses and organizations typically do not demand payment through these unconventional payment methods.

How to Avoid: The safest way to pay is by credit card. That way, if you do not receive your item or what you get is not what you were promised, you can contest the charg

 

2. Fake Gift Card Scams

Gift cards are a great way to give friends and family exactly what they want for the holidays. But they are often an easy way to steal your money. Scammers advertise discounted gift cards on phony websites or Craigslist. But after purchase, victims get a bogus or used card with no balance.

 How to Avoid: Only buy gift cards from legitimate, trusted retailers and always get a receipt so that you have proof of purchase if the card has been tampered with or is lost.

 

3.  Phony Website Scams

For good or bad, creating a splashy, professional-looking website is as inexpensive as it is easy these days. That means crooks often create fake websites that mimic legitimate online stores, enticing shoppers with too-good-to-be-true deals. The result is a lot of gift-givers falling for incredible deals, only to receive nothing in return. Worse, scammers use phony websites to steal your money or your credit card information.

How to Avoid: Double-check the website's URL for any misspellings or irregularities and check the website for missing “About Us” or “Customer Service” pages that legitimate sites always have. Look for secure payment options, such as "https://" and a padlock icon in the address bar. Read independent online reviews and, if possible, stick to well-established brands.

 

4. Bogus Charity Scams

One of the best aspects of the holidays is their ability to inspire the giving spirit. Unfortunately, scammers use this to take your money. In fact, 25% of charitable giving to nonprofits happens in December, making it especially attractive to crooks who use it to rake in donations to phony causes.

How to Avoid: Research any charity you are considering donating to. A good place to start is Charity Navigator or Charity Watch, respected online sites that review charities. If you are ever in doubt, stick to well-known and respected charities that have become household names. Legitimate charities have a transparent mission, clear financial information, and a history of positive impact. 

 

5. Porch Pirates

No, we are not talking about Halloween characters giving away Snickers on the porch while wearing Captain Jack Sparrow gear. These pirates snatch mail-delivered packages left on your porch. And with the increase in online shopping, porch pirates have become a prevalent issue during the holidays over the past few years.

How to Avoid: Request a signature for your delivery, at a time when you know you’ll be home, or use your work address. You can also request store pickup or give special instructions to the delivery person to leave the package out of sight. Other options are using package tracking, secure delivery lockers, or coordinating with neighbors to keep an eye on each other's deliveries.

 

6. Delivery Update Scams

This has become a popular method by scammers. It involves sending a text or email message alerting you that there is a problem with the delivery of a package. When you respond, you are tricked into clicking on malicious links or giving up personal or financial information.

How to Avoid: Verify the legitimacy of such notifications by checking the tracking number directly on the official website of the shipping company. Avoid clicking on links or downloading attachments from unexpected delivery notifications.

 

7. Social Media Scams

Social media is a great way to stay in touch with distant family and friends during the holidays. But it is also an attractive tool for scammers. They use it to send unsolicited friend requests, messages, or ads offering exclusive deals on popular or hard-to-get brands and items.

How to Avoid: Never share sensitive information on social media, and verify the legitimacy of people, promotions or contests before participating.

 

8. Amazon Impersonation Scams

For millions, Amazon is a vital source of gift buying for the holidays, so it is no wonder that scammers spoof the online retail giant. According to Amazon, there are two major scams targeting their customers. The first is an email scam in which you are told that your account will be suspended or put on hold unless you click a link and provide either your login credentials or payment information. The second scam targets Amazon Prime members. Members receive calls, texts or emails demanding your credit card or bank information to reinstate your Prime membership.

How to Avoid: First, always go through the official Amazon mobile app or website for any customer service or payment issues. Beware of “false urgency,” or calls for immediate action. Never pay Amazon over the phone and make sure that emails contain @amazon.com in the address.

 

9. Family Emergency Scams

This scam usually targets the elderly, such as grandparents. Scammers send urgent emails or texts, posing as grandchildren or family members in trouble. They claim they need money to avoid catastrophe, usually asking for gift cards or wire transfers (these cannot be refunded or challenged).

How to Avoid: If the email or text in question asks you not to tell anyone, especially other family members, that is the first thing you should do: verify the identity of the supposed family member with relatives. Again, be suspicious of urgency and unusual payment methods.

 

10. Public Wi-Fi Hacking

Shopping for Uncle Al while sipping a caramel latte. What’s not to like? Scammers using man-in-the-middle (MiTM) hacking to steal your credit card or personal information, that’s what. This type of information theft is easy for sophisticated hackers targeting unsecured Wi-Fi networks at places like cafes, hotels and airports.

How to Avoid: Use VPN (virtual private network) software, which encrypts your data, while on a public Wi-Fi network. Or, avoid any Wi-Fi network in public settings.

 

Use Debit Card Controls

Protect yourself from scammers with our FREE Debit Card Controls tool. It helps you control how, when, and where you use your IDB Global Federal Credit Union Debit Card, prevents fraud, and safeguards your accounts. With it, you can:

• Easily view, nickname, and manage your debit cards online.
• Set personalized alert preferences for SMS, email, or push notifications based on your needs.
• Authorize specific merchants or transaction types, easily reversible for flexibility.
• Block foreign transactions and set spending limits for better control and security.
• Turn your debit card on or off instantly within Online or Mobile Banking for added security.

 

Enable Email and SMS Alerts

Safeguard your accounts and mitigate fraud risks by using our Email and Text Message Banking Alerts. This tool will give you:

• Real-time alerts for large deposits
• Immediate notifications for low balances
• Vigilant monitoring of suspicious activities
• Empowering tools for proactive financial oversight

 

Review your e-statements

Take control of your financial security with E-statements! Enjoy 24/7 access, 18 months of statement history, and earlier availability compared to paper statements. Not only do E-statements reduce the risk of mail fraud, but they also contribute to a greener environment by eliminating paper waste.

 

With a commitment to your financial well-being, we ensure transparency, reliability, and unparalleled support.  We urge all of our members to use these powerful tools today!

From all of us at IDB Global Federal Credit Union, we hope that you have a festive and safe holiday season.

 

 References: Yahoo Finance, CBS News, Aura, NeoOne

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Typical Vishing Scams And How To Spot Them:

 

• Payment Demands: Scammers like the one who called our member pose as representatives of financial institutions, agencies or businesses and insist that you owe money. The callers can take a “good cop” stance, telling you they are there to help, or a “bad cop” position and make threats.
• Account Issue Resolution: Posing as representatives from your bank or another organization, these cyber crooks claim there is an issue with your account access, recent payment, suspicious transactions, or pending refunds. To resolve the problem, they request sensitive information, and then breach your account and steal your money.
• Enrollment Fraud: Impersonating representatives of programs like the Social Security Administration or Medicare, fraudsters will deceive you into providing personal or financial information under the guise of assisting with enrollment or facilitating payment.
• False Awards or Special Offers: This age-old scam involves fraudulent callers claiming that you have won a contest or have a limited-time opportunity to redeem exclusive goods or services. They will then request personal or payment information.

 

How To Protect Yourself:

Protecting yourself from scams is an important step in building personal wealth and achieving financial and life goals. So, remain vigilant and follow these simple steps.

• Never provide your account passwords, social security number or other sensitive information to an unsolicited caller, no matter how legitimate the phone number looks or how convincing they sound. 
• Hang up and call the institution or business back using a trusted number you find on their official website or previous correspondence.
• If you feel at all vulnerable after the encounter, change your account passwords.
• Call us (or the relevant institution or business) to report the attack. 

 

At IDB Global Federal Credit Union, our highest priority is the health and security of your finances and personal information while giving you the most convenient banking experience possible.

 

What To Do if You Become a Victim of a Scam

In the unfortunate event that you become a victim to a scam, do the following:

• Notify us, or the relevant financial institution, immediately upon realizing you have been targeted or become a victim.
• Change your account passwords immediately.
• Reset your factory setting on all devices. (Backup your device, especially your smartphone, since this will remove viruses, but also your data.)
• Order new credit and debit cards.
• Report the incident to the Internet Crime Complaint Center (IC3). The IC3 is the Nation’s central hub for reporting cybercrime, run by the FBI.
• Report to the FTC at identitytheft.gov. The website assists individuals in creating a personalized recovery plan tailored to the specific type of scam they have been victimized by.

Learn more about how to protect your money and information at our website’s Fraud Protection Center. And contact us any time regarding this or other issues. We are here for you.

Your Financial Partners Anytime, Anywhere.

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New Scams Impersonate Credit Unions to Steal Your Money

How to keep your money safe from fraudulent calls, texts and emails.

New scams are targeting credit union members, posing as credit union representatives to steal your personal information and money. But fortunately, with a little knowledge and effort, you can avoid becoming a victim. After all, it is your money. Keep it!

All these scams involve a fraudster convincing you that they are an official representative of your credit union. They use any of three forms:

• Vishing: Voice Call
• SMishing: Text Message
• Phishing: Email

Whatever method these criminals use, they are after the same thing: your money. They do this by stealing your debit or credit card information, attaining your online banking login information so they can access your accounts, or tricking you into making payments for fake charges or bills.

How Vishing Scams Work

With voice call scams, a fraudster calls you using a spoofed number -- i.e., and they can often make the Caller ID mimic your credit union. The caller, impersonating a representative of your credit union, then tells you they have an important, urgent matter to discuss with you. First, however, they say they must verify your identity by having you tell them your account and/or personal information.

You do not know that they are on your credit union’s online banking platform, so they access your account when you “verify” your login information. Then, they lock you out of your account and transfer your funds to their temporary account. Soon, they vanished with your money.

Other similar scenarios get you to either transfer funds to pay a bogus charge or “verify” your debit or credit card information, which they then use to make unauthorized charges.

How Phishing and SMishing Scams Work

Similar to a Vishing scam, a fraudster poses as a credit union representative in these scams, often from the fraud department. They send a spoofed email or text message alerting you of suspicious activity on your account or debit card. They ask you to reply to the email or message with your account details, such as your card number, CVV code, PIN, or other sensitive information. The scammer then uses this information to access your account, steal your money, or make unauthorized debit card charges.

How to Keep Yourself Safe from Spoofing Scams

First, follow the golden rule of never giving anyone your sensitive account, credit and debit card, or online banking login information. Also, never click on any links in suspicious emails or text messages. And if you detect anything suspicious from a caller, hang up and call an official number for your credit union. That way, you know the representative is whom they say they are.

 

We will never contact you and ask for any of the:

• Your Full Social Security Number
• Your Date of Birth
• Your Security Code or CVV
• Your Two Factor Verification Codes
• Your Passwords

At IDB Global Federal Credit Union, we incorporate comprehensive and robust cybersecurity technology to keep all members’ account information safe and secure. However, the final piece in any good defense is educating you, our members and you putting that knowledge to work.

And if you believe you have been the victim of a spoofing or any other type of scam, please contact us immediately.

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Six (6) Tax Scams and How to Avoid Them

 

Paying taxes is painful enough without being cheated by IRS impersonators or virus-ridden phishing schemes. And because tax schemes and scams only get more complicated and convincing with each passing year, staying informed is essential to staying safe. But fear not. IDB Global Federal Credit Union has you covered.

 Here are six (6) tax scams, how they work, and how to avoid them.

1. IRS Imposter Scams

In this scheme, scammers call you, posing as IRS agents, and insist that you owe unpaid taxes. Often, the Caller ID on your phone indicates that it is the IRS, and the fraudulent agent might even know the last four digits of your social security number. The caller then tells you that you owe the IRS money. They might even threaten you with jail, deportation, or fines unless you pay immediately. Then, they demand payment through prepaid debit cards, wire transfers, or other non-refundable means.

How to Protect Yourself: A legitimate IRS agent will never threaten to call the police, immigration officers, or other law enforcement to arrest or deport you. They will also never demand payment via prepaid debit card, wire transfer, or any other non-refundable method. These are sure signs of a scam. Also, the IRS always makes first contact by letter, not by phone or email. If this happens to you and you suspect the caller is an IRS imposter, then the IRS suggests you contact the Treasury Inspector General for Tax Administration (TIGTA) via their online complaint form.

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 2. Robocall Scams

In the name of efficiency, scammers often employ robocalls purporting to be from the IRS. Like the live-person version, the recording threatens legal or other actions unless you call a number or transfer funds. Do not be fooled; this is a scam.

How to Protect Yourself: The IRS will not use robocalls to contact you. They send letters. If this happens to you, then hang up the phone and do not use the number given in the robocall to contact the IRS. If you need to contact the IRS, do so through the information on their official website.

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 3. International and Non-Resident Alien Tax Scams

A particularly convincing fraud has plagued non-resident U.S. taxpayers in recent years. In this scam, victims receive a letter or email asking them to complete a Form W-8BEN, which is a Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting. The letter tells the recipient that they are exempt from paying taxes but must confirm their personal information with the IRS. This personal information may include a passport number and/or PIN codes, among other personally sensitive information. This scam is a ploy to rob you of sensitive information and steal your money.

How to Protect Yourself: While Form W-8BEN is a legitimate U.S. tax exemption document, it must be submitted through a withholding agent. So, if you receive a request to fax, email, or mail the completed form, then it is a scam and should be avoided and reported.

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 4. Tax Transcript Email Scams

Tax transcripts are sometimes required to apply for loans or government assistance. But now, scammers are sending emails with an attachment named “Tax Account Transcript” or something similar. But the attachment is phony and contains malware known as Emotet that infects your computer and steals personal or financial information.

How to Protect Yourself: Again, the IRS will never contact you via email with attachments, so do not open or click on the attachment. If this happens to you, delete the email immediately and contact the IRS directly if you believe you need a tax transcript or other document. 

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 5. Fake Tax Refund Scams

In this fraud, a scammer files a tax return in your name and receives a refund. Sometimes, the refund is deposited in your bank account. Then, the fraudster will try to reclaim the money from you through deceptions, like demanding the refund was a mistake and that you must repay the money into a specific account. The fraudster’s demands may seem very intimidating and real by impersonating an IRS agent, threatening arrest warrants or criminal charges, or “blacklisting” your Social Security Number. And to make matters worse, when you later file your actual tax return, the IRS will reject it because they believe one was already filed for you, which causes additional time and resources to correct.

How to Protect Yourself: First and foremost, protect your personal and financial information, without which the scammer cannot file a return. You can also request that the IRS issue you an Identification Protection PIN to protect against ID theft. Filing your tax return as soon as possible is another foil to this scam; if a return has been filed, scammers cannot file another one.

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6. Inflated Refund Claim Scams

This scam is slightly different from the fake refund scam, but it is still phony. Here, a tax preparer promises you a generous tax refund and asks you to sign a blank return, which they say they will fill out later. Or they will charge an up-front fee based on a promised large refund. Then, when it is too late, you discover that there is no tax return or that they have filed a fraudulent tax return.

How to Protect Yourself: The best way to defend yourself against this fraud is by filing your tax return as early as possible by using a trusted tax professional or secure tax software. As an IDB Global Federal Credit Union member, you can access Turbo Tax through your Online Banking account. This is powerful, award-winning software that can save you money as well as protect you from fraud. If you choose to use a tax professional to prepare your tax return, carefully vet them because they will have access to your financial and personal information.

 

At IDB Global Federal Credit Union, we take your financial security seriously and do all we can to keep you updated on any threats. Please visit our Fraud Prevention page and never hesitate to contact us if you believe you have been the victim of financial fraud. We wish you and all our members a stress-free tax season!

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How to Keep the Gold in Your Golden Years

Your golden years are supposed to be carefree, relaxing, and financially stable. Unfortunately, scammers see seniors’ golden years as their golden ticket. In fact, according to the FBI^* millions of seniors lose a total of over $3 billion every year to fraudsters.

The FBI says that seniors are frequent targets of scammers because they are generally more trusting, have more savings, own a home, and have good credit.

Fortunately, keeping the gold in your golden years is not too difficult with our security tips.

 

11 Common Scams Against Seniors:

Online Shopping Scams

Crooks create websites and social media accounts that look like legitimate retailers when they are merely facades to get your payment information or to sell you stolen merchandise. And make no mistake, these can look very convincing, offer great deals, and are highly prevalent. In fact, according to the Federal Trade Commission (FTC)^**, this scam was the most frequent fraud reported by seniors last year. So watch out for deals that seem too good to be true, typos, or odd URL addresses that don’t match the brand.

 

Tech Support Scams

Popup ads might appear on your computer that warn you that your computer is infected or defective and needs an update to be downloaded. In addition, you might be prompted to buy new software or virus protection or to call tech support. All of these have one aim: not to improve your computer. Instead, it’s to get your credit card or personal information. So never download any software you are unsure of, and always call legitimate tech support that you research yourself.

 

Medicare Scams

Crooks impersonate a Medicare representative to get your personal and medical information. Their ruse will likely involve a claim that you need a new Medicare card or that you are eligible for a further discount or more coverage. This is all to get your personal information to sell to an identity thief. Never blindly trust an incoming call or email; call the number on your card or documents.

 

Sweepstakes and Lottery Scams

Thieves contact you via phone, email, text, or letter congratulating you for winning a prize or being eligible for grand sweepstakes. They might ask for a fee to cover the prize or sweepstakes entry postage. But, of course, there is no prize or sweepstakes. And, as is familiar with scams, they might ask you for personal or financial information. So, again, never send money or provide sensitive information to any entity without independently verifying their credentials.

 

Home Repair Scams

Crooks offer home improvements or repairs, especially in areas recently hit by natural disasters. But they are merely after your personal and financial information. They charge an initial deposit or do subpar work, then disappear with your money. It’s best to stick with well-known repair businesses or get referrals from friends and neighbors.

 

Phony Charity Scams

Scammers prey on this generosity through fake charity scams. They often use an ongoing humanitarian crisis to get you to act emotionally and urgently, asking you to send money immediately. Fortunately, it is relatively easy to ensure that your money goes to legitimate relief rather than a black-hearted thief. Use Charity Navigator or a similar site to find legitimate charities for your donation.

 

Counterfeit Prescription Drugs

Scammers advertise prescription drugs that work better or are less expensive than your current drugs. But, after they get your payment or medical insurance information, they disappear and use it to steal your money. In the more dangerous version, they sell you less effective or phony medication. It’s best to stick to your care provider’s recommendations on getting your medicine.

 

The Grandchild Scam

Scammers contacts a senior and pretends to be their grandchild. The scammer then often pretends to be in a dire situation, such as being stuck away from home and needing money to return, in jail, or unable to pay an important bill. Then, they ask for money to be sent urgently, often by wire transfer or gift cards -- these cannot be rescinded. Finally, they might ask you not to tell other family members because they’re embarrassed about the situation. But of course, the real reason is that other family members would verify it’s a scam. So, if you suspect anything, ask questions only that family member would know or call another family member and verify the claims.

 

Online Romance and Friendship Scams

Fraudsters establish an online romantic or friendly relationship with a senior, only to con them out of hundreds or even thousands of dollars. Of course, the scammer might gain your trust by waiting weeks or months to ask for anything. But make no mistake, this can be a costly scam. According to the FBI, last year, they got more than 25,000 romance scam complaints, with one 79-year-old losing nearly $700,000 over the years. So, while being social is healthy and gratifying, always be cautious if monetary requests begin to be made.   

 

Employment Scams

Scammers prey on seniors that want to stay social, and active.  For instance, a favorite scam is the offer of a stay-at-home or part-time job. The catch? Pay for training. But, of course, after you pay, the job disappears. Worse, scammers will often ask for personal information, then use it for identity theft. To avoid this con, always verify the business and be very suspicious of paying money to get a job.

 

Fake Health or Anti-Aging Products

Scammers target seniors who want to stay younger and healthier by selling them phony anti-aging products or cheaply made beauty products. Similar to fake prescription medication, this can be dangerous if it is something you ingest or inject. So always check with your trusted care provider before buying supplements or other “health” or “anti-aging” products.

 

How To Avoid Scams Against Seniors

Here are some tips that you or your loved one can take to stop scammers before they can harm you or take your money.

• Always ask questions. If someone claims to be a family friend or relative, ask them questions only that friend or family member would know or call a family member to verify their story.
• Always be wary of a deal, service, or product that seems too good to be true. It most likely is.
• Always verify that you are speaking to a legitimate entity. If an agency contacts you asking for personal information or money, research their contact information independently then call or email them back using that information. If they are legitimate, they will be OK with this.
• Never act out of a sense of urgency or panic. Scammers anticipate that you will act emotionally, not logically.
• Never send cash, wire transfers, or gift cards. These methods of payment are impossible to get back.

If you believe that you or a loved one has been the victim of a fraud or attempted fraud, report the incident to the Federal Trade Commission at ReportFraud.ftc.gov, file a police report, and, if applicable, contact your financial institution.

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How to Avoid Social Media and Zelle^® Scams

Social media platforms like Facebook, Twitter and Instagram are great ways to bring family and friends closer together, or a way to meet new friends. Unfortunately, these platforms are also a way for thieves and scammers to steal unsuspecting victims’ money.

In fact, according to The Federal Trade Commission (FTC), in 2021 alone more than 95,000 people reported fraud initiated on social media, totaling a whopping $770 million. That is an eighteen-fold increase in just four years.

Scammers have taken a recent interest in banking apps, too - specifically the popular and convenient Zelle^®. As our Credit Union members know, Zelle^® is a fast, safe and easy way to send money to others you know and trust with a bank account in the U.S.* However, enterprising scammers have found new ways to trick you into thinking they belong to that trusted group. 

Below you will find several ways to protect yourself, while still enjoying all the convenience of social media and Zelle^®.

 

The Bogus Investment Scam

More than half of the people who reported losses to investment scams in 2021 said the scam began on social media. According to the FTC, these scams often involve cryptocurrency. In this scam, crooks use social media to promote phony investment opportunities, often posing as friends of friends or hacking a friend’s account as a way to gain trust. They then offer promises of impressive returns or great opportunities. You send them your money but get nothing in return.

How to Avoid: The best way to avoid this scam is the old-fashioned way: if you get a request for money or an offer of a great investment, do not respond via social media. Call the friend that is associated with the request to verify that the person asking you for money is legitimate. Be especially wary if the social media request asks you to use cryptocurrency, gift card, or wire transfer. Those are all payment types favored by scammers.

 

The Romance Scam

In case you haven’t seen Tinder Swindler yet, here’s how this scam works. You get a seemingly innocent friend request or introduction from a stranger on your social media profile. Smooth talk follows, perhaps an online relationship develops. Then, there is a request for money -- ruses run the gamut from claims they are in urgent trouble to requests for short-term loans. Scammers can be very persuasive, as evidenced by the fact that, according to the FTC, romance scams are the second most costly social media frauds, accounting for more than a third of online scams in 2021.

How to Avoid: First and foremost, says the FTC, slow down if someone new appears on your social media feed and rushes a friendship or romance. Above all, never send money to someone you have not met in person. Finally, as much as possible, vet the reason for their need for money.

 

The Phony Retail Scam

In this scam, phony retailers advertise counterfeit or non-existent products on social media. When you purchase the product, you get a product that does not fit the description, or, in 70% of the reported cases, nothing at all. Some scammers even have ads that direct you to websites that look like the real product’s website, but are in fact phony. Be especially wary of products advertised on Facebook and Instagram; they were named in 90% of the reports of social media retail scams, according to the FTC. Examples have run the gamut, too, from people paying for high-end vacuums and receiving low-end ones to phony brand-name purses and even “rare” gaming consoles.

How to Avoid: Before buying anything on social media, research the company thoroughly. Do not merely follow and trust the link to a website the promotion gives; use Google to search the company and product yourself. Also, search for the product or company name combined with the words “scam,” “fraud” or “complaint.” You would be surprised what you might find. Lastly, follow the old mantra: if the deal seems too good to be true, it probably is.

 

Protect Your Zelle® Account From This New Scam

Below are three key safety reminders for sending and receiving money safely when using digital payments. Digital payment safety is more important than ever, as a quarter of consumers surveyed reported being a victim of a scam, and almost half of the respondents reported knowing someone who was scammed according to the findings of an April 2021 study commissioned by Zelle®. Three safety reminders for sending and receiving money with Zelle®

1. Only send to those you trust: Money sent can not be canceled if the recipient is already enrolled with Zelle®. So, it is important to only pay those you trust for items you know you’ll receive.
2. Beware of scams: One example of a payment scam is buying concert tickets or merchandise at a price that seems too good to be true from a stranger and never receiving the item you paid for. If the seller asks you to use Zelle® to purchase the tickets, you should refuse unless the seller is a person you personally know. Neither IDB Global Federal Credit Union nor Zelle® offers a protection program for any authorized payments made with Zelle® – for example if you do not receive the item you paid for or the item is not as described or as you expected.
3. Treat Zelle® like cash: Confirm you typed your recipient’s information correctly before you send them money. When in doubt, contact your friend to verify the email or U.S. mobile number they used to enroll with Zelle® before you hit “Send.”

In the case where an IDB Global Federal Credit Union member sends a Zelle® payment to an unintended recipient, which can be done by mistyping an email or U.S. mobile number, we recommend contacting us immediately to file an incorrect account-customer error dispute claim. Zelle® does not hold or handle any funds. Zelle® provides messaging between the sender’s financial institution and the recipient’s financial institution to facilitate the payments. 

Important Information from IDB Global Federal Credit Union and Zelle®:

Zelle® and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

*U.S. checking or savings account required to use Zelle®. Transactions between enrolled consumers typically occur in minutes.

Please note that Zelle® through IDB Global Federal Credit Union, is only available for primary account owners only; joint account owners are not able to access Zelle® at this time.

At IDB Global Federal Credit Union, our goal is to ensure our members’ banking experience is convenient and fraud-free. If you receive a suspicious request for your IDB Global Federal Credit Union account information, immediately contact the Credit Union at creditu@idbglobalfcu.org or 202-623-3363. 

 

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How to Avoid Mobile Banking Scams

When you think of banking scams targeting your checking, savings and other financial accounts, you usually don’t think smartphone or mobile banking app usage. The fact is, with the increased convenience of mobile banking through smartphones comes increased interest from scammers and fraudsters. And with banking scams increasing nationwide in the first quarter of 2021 by a whopping 159% over the last quarter of 2020, according to a report by data science and cybersecurity company Feedzai, it’s never been more important to know how to avoid scams, theft, and fraud.

At IDB Global Federal Credit Union, our focus is you, and that includes your financial security. 

Here are 11 ways on how to protect yourself.

1. Multi-Factor Authentication: This is a powerful tool for protecting your financial information from fraudsters and you should use it when signing into any financial sites from your smartphone. At IDB Global Federal Credit Union, you have three options: Google Authenticator, Microsoft Authenticator or VIP Access. Any of these three free security tools make logging into online and mobile banking safer and only take a few seconds to use. Visit our Login Authentication Guide page for easy steps to get started today!

2. Check Your Statements Regularly: One of the best ways to protect yourself against financial fraud is by regularly checking your account statements. E-statements, available within online banking and the IDB Global FCU app, promise faster delivery, instant access, and enhanced security for your financial information. Go Green and Go Paperless with E-statements.

Sign up following these easy steps.

• Log in to Online Banking
• Click on “Additional Services”
• Click on “Online Statements”
• Click on "Continue"
• Check the box next to “Go Paperless"

3. How to Use Zelle^® to Safely Send Money: Zelle^® is a fast, safe and easy way to send and receive money with friends, family and others you trust - no matter where they bank.

It's important that you know and trust those you send money to.

Because once you authorize a payment to be sent, you can't cancel it if the recipient is already enrolled in Zelle^®. Why? Because money moves quickly - directly into the recipient's bank account typically within minutes.

Tips for Sending Money Safely

• Confirm your recipient’s contact information. Make sure you have the correct U.S. mobile phone number or email address for the person you want to send money to. When in doubt, contact your friend to double check.
• Beware of payment scams. If an offer sounds too good to be true, it probably is. For example, is a stranger selling online concert tickets at a steep discount and insisting you pay with Zelle^®? Think twice. Make sure you only send money to people you personally know and trust.
• Understand your payment options. If you don’t know a person or aren’t sure you’ll get what you paid for, using your credit card may be a better payment option. Many credit card companies offer built-in buyer protections for cardholders. Check the terms and conditions of your credit card to see what’s offered. Unlike a credit card, neither IDB Global Federal Credit Union nor Zelle^® offers a protection program for any authorized payments made with Zelle^® – for example, if you do not receive the item or the item is not as described or as you expected.

4. Never Use the Same Password Twice: We know it’s so much easier to use your mother’s birthday or favorite vacation spot for all of your logins. But that’s exactly what scammers are hoping for. Instead, you should use different passwords for each financial site. Also, make passwords a combination of cases and characters and impossible to guess or figure out through easily accessible information. 

5. Use Fingerprint or Facial Recognition: Many modern smartphones offer fingerprint or facial recognition. You should always set up and use these, if possible, for your device. Further, IDB Global Federal Credit Union allows you to use facial recognition, if your device supports it, when logging into Mobile Banking. This is a fast, convenient way to protect your accounts and information. 

6. Avoid Public WiFi: Yes, it’s convenient to buy things online or pay your phone bill while sipping a cappuccino at your favorite cafe. But remember, everyone within a few buildings radius is on the same network, and it remains too easy for fraudsters to hack into poorly protected devices and read emails, steal passwords, and worse. 

7. Don’t Trust Unfamiliar Text Messages: Scammers often use text messages, along with emails, to get you to click on links or attachments that surreptitiously load malicious programs onto your smartphone. These programs wait until you log into a financial account and then steal sensitive information like login IDs, passwords, and account data. To avoid this, do not click on any un-requested links or attachments. Instead, call your financial institution and ask if the text, or email, was sent by them.

8. Use Cards Control: Controlling how and where your IDB Global Federal Credit Union Debit Cards are used, as well as staying up-to-date on Debit Card transactions is a powerful way to stop fraud. Cards Control, available through online and mobile banking, is that tool. With Cards Control, you can set balance and spending alerts and limits, turn your cards on and off instantly, limit where your cards can be used, and much more. We encourage all members to use Cards Control to help keep their accounts safe.

9. Sign Up for IDB Global Federal Credit Union Text Messages and Push Notifications: While you should be wary of any texts you don’t completely trust, signing up for text message alerts and push notifications about your accounts are great defenses against fraud and other financial mishaps. With Text Message Banking and push notifications, you get important information about your accounts from your financial partner anytime, anywhere. For example you can set alerts for low balances or large withdrawals, and even get weekly balance updates. Sign up for Text Message Banking through Online Banking. For push notifications, log in to our app and navigate to Settings to set-up Push Notifications today! 

10. Install Virus Protection: Remember, you should think of your smartphone as a small computer, because that’s exactly what it is. So, installing malware, spyware and other virus protection is important. Here are some options for consideration. 

11. Install the Latest Software Updates: App and operating system updates often include security updates, so this is an important way to make sure your smartphone and banking apps are as safe as they can be. It’s important to only download updates from the app and software makers or the Apple App or Google Play stores.

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Don't Trust Social Engineering Scams

Social Engineering might sound like some mad scientist’s attempt to alter human interaction, but it’s actually… much worse. Social engineering describes a host of fraudulent schemes using psychological manipulation, lies and tricks to steal unsuspecting people’s money and sensitive information. In social engineering scams, thieves and scammers gain the confidence of their victims by posing as a trustworthy source or contact.

Fortunately, because the key to success is gaining a target’s trust, with a little knowledge and caution, you can protect yourself.

Here are the most common types of social engineering scams and how to avoid them.

1. Pretexting: In this scam, a crook impersonates a person of authority or a peer, such as a police officer, bank or tax official, co-worker, or other peer to gain your trust. Often, they will have done some preliminary research so they can convince you they have “clearance” to see your sensitive information. They might know your full name, address, age, or some other fact that is attainable through public means. However, this is merely to dupe you into giving them more sensitive, private information, such as account passwords, social security numbers and more.

 

2. Social Spear Phishing: Social media, especially in the time of COVID, has never been so popular as a way to stay in touch, even while remaining distant. Scammers have taken advantage of this. Through spear phishing, crooks create fake social media accounts based on research about you, posing as friends of friends or colleagues. With time, they gain your trust and begin asking for money or sensitive information. This is one scam that nobody believes they would ever fall for -- until they do.

 

3. Bad Check Scam: Whether it’s a buyer who responds to your Craigslist ad, a purported “friend of a friend,” or other pretext, this scam is common. It goes like this: The scammer sends you a check, but -- Oops -- it’s for the wrong amount. They mistakenly wrote it for too much. They then ask you to wire them the difference. Being the kind, honest person you are, you do it. Then, a few days later, your bank notifies you that the check has been returned for lack of funds. You’re not only out the money you wired, you could incur further penalties for lack of funds yourself. Bottom line, ask them to write another check for the lower amount. If they are genuine, they will. If not, good job; you just avoided a scam.

 

4. Social Phishing: This is the more general “wide net” approach in which fraudsters create email, text message and social media campaigns that do everything from promoting amazing investment opportunities to sending fear-based urgent requests for information or money. Yet another scam tricks you into opening a link, which will then install malware on your computer and steal information.

 

How to Protect Yourself

 IDB Global Federal Credit Union uses proven sophisticated security to ensure every member’s sensitive personal and financial information is protected. But air-tight institutional security is exactly why crooks resort to social engineering scams -- they rely on the weak link: people’s good nature and trust. Here’s how you can stop them cold.

 

Use Two-Factor Authentication: IDB Global Federal Credit Union recently adopted Google Authenticator, an app that generates a unique code you can use to verify your identity when logging in to remote banking. Using Google Authenticator is a safe way for members to confirm their identity during log-in for online banking and our mobile application. It’s fast, easy, and secure. This is great protection for all your accounts. Google Authenticator is available for Android and IOS devices, and available for download on any device that can access the App Store or Google Play Store. Learn more at our Google Authenticator page!

 

Never Give Out Full Social Security Numbers, Usernames or Passcodes: There are very few, if any, legitimate reasons that anyone will ask for your full SSI number, username or passcode. Official institutions ask for the last four digits of your SSI number and most username and password “fixes” involve sending you a temporary one upon your explicit request. This temporary, one-time passcode should not be shared with anyone either. As a general rule, only crooks will ask you for these; for instance, authentic IDB Global Federal Credit Union representatives will never ask members for their online banking credentials.

 

Always Initiate the Call: One of the easiest and most effective protective measures you can take as a consumer is to ensure the validity of the person to whom you are speaking. So, if you receive an unsolicited call, text or email from someone claiming to be from your financial institution, a government agency or some other entity, do not engage. Instead, research and call the official number for that entity yourself. Only then will you know it is legitimate. For example, IDB Global Federal Credit Union’s official website lists our valid contact numbers.

 

Do Not Trust Caller ID: Tech-savvy fraudsters can easily modify Caller ID to mimic a trusted source, such as financial institutions, friends or government agencies. So, you should never trust it fully, especially if the caller asks for sensitive information. Again, hang up, research the official number, and initiate the call yourself.

 

Never Open Emails or Links From Suspicious Sources: Sending emails and links that, when opened, install malicious software on your electronic device is one of the most common and most successful ways to steal sensitive personal and financial information. But it’s easy to avoid. If you have even the slimmest of doubts about the source of an email or link, do not open it. If you believe you might need the information, research and navigate to the legitimate source on your own.

 

Do Not Share Too Much Personal Information on Social Media: Remember, one of the ways fraudsters gain your trust is by researching you and convincing you that they do or should have access to your personal and financial information. So be careful about including information they could use on social media -- birthdays, relatives’ names, former addresses, etc.

 

At IDB Global Federal Credit Union, our focus is your convenience and security. We hope this information helps you have a safe, fraud-free summer season. As always, if you have any questions about this or other topics, don’t hesitate to contact us. We are proud to be your financial partners anytime, anywhere.

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How to Avoid Fake Check Scams

Each year, fake check scams cheat tens of thousands of people out of millions of dollars collectively. In fact, in 2019 alone, the Federal Trade Commission reports that 27,000 fake check scams resulted in $28 million in losses. And since, for now, checks are one of the most common ways to conduct a financial transaction, it’s wise to know what to look out for. 

Four Common Check Scams and How to Avoid Them

 

1.The Fake Stimulus Check Scam: That’s right, crooks have found a way to make the pandemic even worse: by taking advantage of the financial help from Uncle Sam. A common stimulus check scam involves a text or email informing you that your stimulus check is ready: all you have to do is click on a link and provide your financial or other sensitive information for verification. They might also call you on the phone asking for this personal information. The information usually includes bank account numbers, social security numbers, your date of birth, or similar data. Scammers use these to steal your money or your identification.

How to Protect Yourself: The IRS will never send unsolicited texts, emails, or phone calls, so this is a dead giveaway that it’s a scam. Also, the IRS uses the term “Economic Impact Payment,” not Stimulus Check. If you have any doubts about a communication, call the IRS directly or visit their secure website.

 

2. The IRS Tax Refund Check Scam: In this fraud, after stealing your personal information, a scammer then files a tax return in your name and has a refund check sent to you or deposited in your bank account. Then, he or she tries to reclaim the money from you through deceptions, like demanding it was a mistake and that you must repay the money into a certain account. The demands can seem very intimidating and real: calls from supposed IRS agents, threats of arrest warrants or criminal charges, or “blacklisting” your Social Security Number. And to make matters worse, when you file your real tax return, the IRS rejects it because they believe one was already filed and a refund given, causing more financial loss. 

How to Protect Yourself: The IRS will only contact you through the mail and will never threaten you or threaten legal action over the phone. It is important that you guard your personal and financial information carefully. 

 

3. The “Overpayment” Scam: This fraudulent buyer scam works the same whether you are leasing out your house or apartment or selling a car or couch. After agreeing on a price (often full price, without haggling), the “buyer” sends you a check or money order that looks real. Then, shortly after, he or she informs you that they made a mistake and made the check out for too much. For instance, you agreed on $3,000, and they made it out for $3,500. Worse, they claim, it’s put them in a financially bad position, so could you please wire them the difference (the $500 in the above case). Your wire “reimbursing” them goes through immediately, but their check bounces, and you’re their latest victim.

How to Protect Yourself: The main giveaway to this scam is that most of the time, the perpetrator makes up an excuse about why they can’t meet in person. “Your car is exactly what I’ve been looking for, but I’m out of town, so I’ll send you a check now, and my brother will pick the car up later,” they’ll say. Don’t fall for it.

 

4. Fake Check Scam: Whether it’s someone giving you a bogus check for an item you’re selling or someone sending you a phony check and asking you to give them cash in return, fake checks are a common scam. And because of the delay in a check clearing your bank account, the counterfeiter could be long gone with your money or goods before you discover the scam. Fortunately, there are ways to spot a counterfeit check.

How to Protect Yourself: First, make sure it’s a legitimate bank’s name on the check; you’d be surprised how many times it’s not, or it’s misspelled. If you’re unsure, search the name on the FDIC’s BankFind site. Next, if the check was mailed to you, see if the postmark on the envelope matches the city on the check. Be especially wary if it was mailed from a different country. Finally, look for security features such as watermarks, security threads, or color-changing ink. Counterfeiters can copy these, but often their quality is poor and obvious.

 

At IDB Global Federal Credit Union, we take pride in keeping all members up to date when it comes to fraud and how to avoid becoming a victim. For additional tips on how to protect yourself from check-cashing fraud, visit our Fraud Alerts page. Additionally, members can sign up for check cleared alerts within online banking. Alerts and notifications are customizable and should be part of your financial management.

 

If you believe that you might have been a victim of any of these or other financial scams, please contact us immediately by phone at +1 202-623-3363, email [email protected], or via our new digital support solution. We are closer and even more available to you in new ways, like video call and chat, that you can easily access from your computer or phone. Currently available within our website, Online Banking, application platforms, and Mortgage Center during business hours (9 a.m. - 5 p.m. EST). 

 

From all of us at IDB Global Federal Credit Union, we thank you for your continued trust in us as your financial partners anytime, anywhere.

 

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What's worse than debt collectors? fake debt collectors

How to avoid phony debt collectors and fraudulent robocalls.

Home mortgage, car loans, credit cards. If you’re like most people, your life requires you to carry some kind of debt. And whether you’ve never missed a payment, or are a little behind, you could be targeted by fake debt collectors.

These criminals threaten to ruin your credit, place you in bankruptcy, or worse. They use tactics like threats, lies, inflated amounts owed, and more to get you to pay fake debts or give up sensitive personal and financial information. Falling victim to these scammers can cost you big time.

Fortunately, real debt collectors must follow rules, enforced by the Fair Trade Commission (FTC). So, with a little caution, it’s easy to spot fraudsters and stay safe.

7 Telltale Signs of a Fake Debt Collector

Use of profane language or threats of violence. If a debt collector swears at you or threatens you with violence of any kind, it’s a sure sign that they’re a fraud -- or at the very least an unscrupulous debt collecting agency. Either way, you have rights. The Fair Debt Collection Practices Act (FDCPA) prohibits the use of obscene language or violent threats.

Repeated calls or calls at unreasonable hours. We’ve all had those calls late at night or early in the morning, or the number that pops up four times a day. It’s frustrating, and possibly illegal. The FDCPA prohibits repeated calls and calls before 8 a.m. or after 9 p.m. If this happens to you, it could be a scammer.

Threats of jail time. In years past, debtors prison was indeed real. Thankfully, it’s not now. Sure, debts to the criminal justice system could result in incarceration, but not from private businesses, banks, credit card companies, etc. So, don’t be intimidated, be wary. When a debt collector threatens jail time, odds are he is the one at risk for it.

Pressure to pay with a money transfer or prepaid card. Again, this is not a sure sign of a scammer, but it is a reason to be very wary. Scammers like these payment methods because it’s very difficult for you to get your money back when you discover you’ve been duped.

Withholding information from you. Legitimate debt collectors must tell you basic information such as the name of the creditor, the amount you owe, and that they must obtain verification of the debt if you dispute it. If they don’t provide this information the first time they speak to you, they must send you a written notice within five days. It’s the law.

Threatening to tell family, friends or work about your debt. There are strict federal laws about what debt collectors can discuss with third parties. For instance, debt collectors can contact family and friends, but only to get your phone number, address or where you work. They cannot tell them about your debt. So, if the debt collector on the phone threatens this, they are a fake, or threatening to break the law.

Requests for sensitive financial or personal information. It’s a very good rule of thumb to never give information such as your bank account number or social security number to a caller until you are absolutely certain they are legitimate. If you have any doubt, hang up and call the creditor of the debt you owe. That way, you know exactly who you are speaking with.

How to Deal With a Suspicious Debt Collection Call

Ask the caller for his name, company information and a “validation notice.” Through the FDCPA a creditor must send you a validation notice that tells you the name of the creditor you owe, the amount you owe, and your legal rights. Tell any debt collector that you refuse to discuss any debt until you receive this notice.

Stop speaking with the caller. If you suspect you are dealing with a scammer, or an unscrupulous debt collector, and you have an address, send a letter demanding that the caller stop contacting you and save a copy of the letter. By law, real debt collectors must stop calling you if you ask them to in writing.

Contact the creditor directly. If you believe the debt is legitimate, but the debt collector is not, hang up and contact the creditor directly. You can either work with them or they can give you the name of the legitimate debt collection agency they referred your case to. Either way, you know it’s not a scam and you can move forward with confidence.

Robocalls: The 21st Century Scam

Robocalls. We’ve all gotten them. They’re very annoying, very persistent, and a little weird. Robocalls are recorded messages, usually telling you that your car warranty needs updating, about “great” investment opportunities, or about a debt you supposedly owe. Often, they have one thing in common: They’re a scam to get your money or personal information.

They are also becoming more prevalent every year. This is because internet-powered phone systems have made robocalls cheap and easy for scammers to make. They can easily hide their location and display fake caller ID information.

But instead of hanging up, you can be part of the solution by filing a complaint.

Unwanted and illegal robocalls are the number one complaint to the FTC, with millions of complaints already filed. This information helps create call-blocking “blacklists.” In addition, the FTC has filed more than 100 lawsuits, encouraging efforts against caller ID spoofing, and have even launched contests that challenge tech gurus to come up with blocking tools.

Until they are successful, however, remember to stay on guard and follow the same caution that you would with any potential scam.

Remember, fake debt collectors, whether live or using robocalls, rely on fear and confusion to cheat you out of your money. But you have rights. So stay calm and the and time to verify the legitimacy of any claim.

For the latest information on frauds and scams, visit the IDB Global Federal Credit Union Online Fraud Center at our website. If you receive a suspicious request for your IDB Global Federal Credit Union account information, immediately contact the credit union at [email protected] or 202-623-3363.

And as always, if you have any questions about this or other topics, don’t hesitate to contact us. We’re here for you.