Fraud Prevention
The holiday season is a busy time for shoppers, travelers, and families. With more purchases being made online and more transactions taking place, it’s a good time to review a few simple ways to recognize common scams and keep your personal and financial information secure.
Shop with Familiar Retailers
When shopping online, start with retailers you know and trust. Scammers sometimes create websites that look like legitimate businesses and offer unusually low prices. If you find a great deal from an unfamiliar website, research the company before making a purchase. Make sure the website address is correct and use secure payment options.
Keep Track of Your Deliveries
Shipping notifications are common during the holidays, and scammers may use them to make fraudulent messages look legitimate. If you receive a message about a package, check its status directly through the retailer or delivery company’s official website. This helps ensure you’re not entering personal information through an unfamiliar link.
Use QR Codes with Care
QR codes make it easy to access menus, promotions, and other online resources. However, scammers can also use them to direct people to fraudulent websites. Before using one, confirm where it leads before entering personal information. If you’re unsure, access the website directly instead.
Be Smart with Gift Cards
Gift cards make popular holiday gifts, but scams involving gift cards are also common. Purchase them directly from the retailer or another reputable seller. Check the packaging for signs of tampering and keep your receipt until the gift card has been used.
Review Your Accounts
Holiday shopping means more activity on your accounts. Review your transactions regularly and watch closely for things you don’t recognize. Account alerts can also help you keep track of purchases and spot potential scams as they occur.
A Little Awareness Goes a Long Way
These simple habits can help protect your personal and financial information. Take a moment to consider where you’re shopping, who you’re sending money to, and what information you’re being asked to provide.
If you’re unsure about a transaction or think you may have encountered a scam, don’t guess, contact us at (302) 368-2396.
Cryptocurrency has transformed the financial landscape, offering decentralized and borderless
transactions. However, its rise has also led to a surge in scams exploiting the technology’s
anonymity and lack of regulation.
Prevalence of Scams
Since the start of 2021, over 46,000 individuals reported losing more than $1 billion to
cryptocurrency scams, according to the Federal Trade Commission (FTC). These scams often
begin with unsolicited messages on social media platforms, luring victims with promises of
quick profits.
Common Scam Tactics
- Investment Scams: Fraudsters pose as successful investors, encouraging people to invest
in fake crypto platforms. Victims are shown fabricated returns and urged to invest more,
only to find they cannot withdraw their funds. - Phishing Attacks: Scammers impersonate legitimate crypto exchanges or wallet
providers to steal login credentials, draining victims’ digital assets. - Rug Pulls: Developers promote new crypto tokens, attract investors, and then disappear
with the funds. - Payment Demands: Scammers demand payment in cryptocurrency for various services
or to “protect” your money. The FTC warns that no legitimate business or government
agency will request payment in cryptocurrency.
- Be skeptical of unsolicited investment opportunities, especially those promising high
returns. - Never share your crypto wallet credentials or private keys.
- Use multi-factor authentication and store assets in secure, offline wallets.
- Remember, legitimate entities will not demand cryptocurrency payments.
Watch Out for Suspicious Texts & Emails
Phishing scams spike during peak travel seasons. You might receive fake text messages or emails that appear to be from your airline, hotel, or even your credit union, claiming there’s an issue with your reservation or account. Always verify messages directly with the company – don’t click on suspicious links.
If you come across an incredible last-minute travel deal, do your research before entering any personal information or making a payment. Scammers often create fake websites that look legitimate, only to steal your money and personal details.
While on vacation, regularly check all of your accounts for unusual activity. If you spot any suspicious charges, report them immediately. Consider setting up account alerts to notify you of any unexpected transactions.
Avoid using public Wi-Fi for online banking or purchases, and stick to using credit or debit cards with fraud protection rather than carrying large amounts of cash.
Make sure you’re logging in to a secure website
Community Powered’s website address starts with https, not http. The “s” means the site is secure and your credit card and personal information is protected. Also, most website browsers will often feature a padlock icon near the secured web address.
Don’t transfer money to someone you don’t know
If you are asked to use gift cards, cryptocurrency, prepaid debit cards, or digital currency to resolve fraud or some financial issue, it’s likely a scam.
Use unique passwords for every online account and change them regularly
Don’t use easily identifiable information such as your mother’s maiden name, your address, date of birth, or telephone number.
Be wary of connecting to public Wi-Fi networks
If you are simply browsing the internet, you’re fine. However, if you’re doing anything that requires login information, it’s best to avoid using these unsecured networks. If it is a “must do,” we advise you to get a reputable VPN (Virtual Private Network). Some are even free!
Financial scams can happen to anyone. However, scammers often single out older and retired individuals due to their regular income and potentially substantial savings. In this article, we’ll explore some common scams and provide tips on how to protect yourself and your savings from these schemes.
Phishing scams are emails or text messages designed to trick you into revealing personal information, such as passwords, Social Security numbers, or credit card details. Scammers will often pose as trusted institutions, like banks or government agencies in order to win your trust.
- Always verify the source of an email or message. Legitimate organizations won’t ask for sensitive information through email.
- If you are on a desktop, hover your mouse pointer over links in emails to see the actual web address and make sure it matches the official website of the supposed sender.
- Regularly update your computer’s anti-virus and anti-malware software to help detect phishing attempts.
Tech support scams start when scammers call you, claiming to be from a tech company, and implying that there’s a problem with your computer. They will often ask you to install software so they can remotely access your computer. If they obtain access, they can steal your personal information or install malware.
- Never give out your personal information over the phone to someone you don’t know.
- If you receive a call from someone claiming to be from a tech company, hang up and call the company directly at the number listed on their website.
Impersonation scams rely on manipulating individuals into revealing confidential information or making payments. Scammers may impersonate family members, friends, law enforcement officers, or government employees.
- If someone contacts you asking for money or personal information, independently verify their identity. If the message is supposedly from a friend or family member, contact that person using contact info you already have, not those provided in the message.
- Always ask for identification if someone claims to be an official. Legitimate officials will provide it.
- Do not provide any personal information until you can verify the debt is legitimate.
- Scammers often use emotional stories to elicit sympathy and prompt hasty decisions. Take your time to consider before acting.
Investment scams promise a potentially lucrative deal with high returns and little to no risk. These types of scams prey on individuals’ desire to grow their savings.
- Investigate any investment opportunity thoroughly. Verify the legitimacy of the company and check for complaints with the Securities and Exchange Commission (SEC) or your local regulatory body.
- Consult with a certified financial advisor before making any significant investments.
In lottery or prize scams, scammers will claim you’ve won a prize, but before you can be rewarded, they require a fee or personal information.
- If you didn’t enter a contest or lottery, it’s unlikely you’ve won anything.
- Legitimate winnings shouldn’t require upfront fees. Avoid sending money or personal information.
In charity scams, scammers will often pose as a real charity, or set up fake charities in the name of popular causes, such as cancer research or disaster relief. These scams often pop up before the holidays as well as after newsworthy natural disasters and emergencies.
- Look for details about the charity, including physical address and contact number.
- You can verify a charity’s legitimacy through their official website or a reputable third-party source.
