1. IRS Impersonation Scam

According to the Treasury Inspector General for Tax Administration (TIGTA), more than 2.4 million Americans have been targeted by scammers impersonating IRS officials, with an average of 150 to 200 victims per week.  This IRS scam has been the most frequent scam reported to the US Senate Special Committee on Aging’s Fraud Hotline for the past four years.

In this scam, fraudsters typically call their victims and use a technique called Caller-ID Spoofing to disguise their phone numbers, often making it appear that their call is coming from a reputable agency.  When a victim answers the call, the fraudsters will generally claim that the victim owes back taxes and penalties for late payments. They then threaten retaliation, such as home foreclosure, arrest, and, in some cases, deportation if immediate payment is not made by certified check, credit card, electronic wire transfer, prepaid debit card, or gift card.

2. Robo Calls  and  Unsolicited  Phone  Calls

According to the Federal Communications Commission (FCC), there are nearly 2.4 billion robocalls made every month. In 2018, the Federal Trade Commission (FTC) received more than 3.8 million robocall complaints.

Robocalls help facilitate contact between scammers and potential victims. Once a victim has answered a robo call, they are often asked to pay for fraudulent services like extending their car warranty, or to make a donation to a fraudulent company.  Information obtained from these types of calls can then be used for identity theft.

3. Sweepstakes and Lottery Scams

In this scam, fraudsters generally contact victims by phone, email.  or through the mail to tell them that they have won or have been entered to win a prize. Scammers then require the victims to pay a fee to either collect their supposed winnings or to improve their odds of winning the prize.

Often, the fraudsters will claim that the victim has won a large prize, such as a car, but will need to pay to have the item shipped and/or will need to pay taxes on the winnings.  The fraudster typically asks for the money to be wired, sent by a money order, or paid in the form of a pre-paid debit card.  Some will also request cash payments.

4. Computer  Tech  Support  Scams

The basic scam involves con artists trying to gain the victims’ trust by pretending to be associated with a well-known technology company, such as Microsoft, Apple, Dell, or McAffee. They then falsely claim that the victims’ computers have been infected with a virus.

Con artists convince victims to give them remote access to their computers, personal information, and credit card and bank account number so that victims can be “billed” for fraudulent services to fix the virus. In a related scam, individuals searching the internet may see a pop-up window on their computer instructing them to contact a fraudulent tech-support agent who may request payment for removing the virus or resolving the technical issue. Sometimes, scammers have used the pop-up window to hack into victims’ computers, lock them out, and require victims to pay a ransom to regain control of their computers.

5. Elder  Financial  Abuse

Financial abuse of older Americans is the illegal or improper use of an older adults funds, property, or assets. According to the Government Accountability Office (GAO), seniors lose an estimated $2.9 billion annually due to financial exploitation, although these numbers are likely substantially under-reported.

Older Americans are particularly vulnerable to financial exploitation because financial decision-making ability can decrease with age. One study found that women are almost twice as likely to be victims of financial abuse.  Most victims are between the ages of 80 and 89, live alone, and require support with daily activities. Perpetrators include family members, paid homecare workers, those with fiduciary responsibilities (such as financial advisors or legal guardians), or strangers who defraud older adults through mail, telephone, or Internet scams.

6. Grandparent Scams

In this scam, impostors either pretend to be the victims’ grandchild and/or claim to be holding the victims’ grandchild. The fraudsters claim that grandchild is in trouble and needs money to help with an emergency, such as getting out of jail, paying a hospital bill, or leaving a foreign country. Scammers play on victims’ emotions and trick concerned grandparents into sending money to them.

There have recently been frequent reports of con-artists telling victims their family member was pulled over by the police and arrested after drugs were found in the car. The scammer, who is pretending to be the victim’s grandchild will often tell the victim to refrain from alerting the grandchild’s parents in hopes the scam won’t be uncovered.  The scammer then asks the victim to help by sending money in the fastest way possible. This typically requires the victim to go to a local retailer and send an electric wire transfer of several thousand dollars. 

In another version of the scam, instead of the “grandchild” making the phone call, the con artist pretends to be an arresting police officer, a lawyer, or a doctor. 

7. Romance Scams

Typically, scammers contact victims online either through a chatroom, dating site, social media site, or email. According to the Federal Bureau of Investigation’s (FBI) Internet Crime Complaint Center (IC3), 90 percent of the complaints submitted in 2016 contained a social media aspect. Con artists have been known to create elaborate profile pages, giving their fabricated story more credibility. Con artists often call and chat on the phone to prove that they are real. These conversations can take place over weeks and even months as the con artists build trust with their victims. In some instances, con artists have even promised to marry their victims.

Inevitably, con artists in these scams will ask their victims for money for a variety of things. Often, con artists will ask for travel expenses so they can visit the victims in the United States. In other cases, they claim to need money for medical emergencies, hotel expenses, hospital bills for a child or relative, visas or other official documents, or losses from a temporary financial setback. Unfortunately, in spite of telling their victims they will never ask for any more money, something always comes up resulting in the con artist requesting more money.

In a related scam known as confidence fraud, con artists gain the trust of the victim by assuming the identities of U.S. soldiers. Victims believe they are corresponding with an American soldier who is serving overseas who claims to need financial assistance. Scammers will often take the true name and rank of a U.S. soldier who is honorably serving his or her country somewhere in the world, or has previously served and been honorably discharged. In addition, the con artist will even use real photos of that soldier in their profile pages, giving their stories more credibility.

8. Social Security Impersonation Scams

In this scam, consumers receive calls from individuals claiming to represent the Social Security Administration (SSA). While there are several variations of this scam, the caller generally asks for personal information such as Social Security number, date of birth, mother’s maiden name, and/or bank or financial account information.

In these scams, the fraudster is hoping to obtain the victim’s personal information by a variety of methods, including by offering to help complete a disability application, apply for a piece of medical equipment, or obtain a new Medicare card.

In addition to phone calls, some victims have reported getting emails claiming to be from SSA. According to SSA’s website, “Social Security will not send you an email asking you to give us your personal information, such as your Social Security number, date of birth, or other private information. If someone saying they are from Social Security does email you requesting information, don’t respond to the message.

9. Impending Lawsuit Scams

Similar to the IRS Impersonation or Social Security Impersonation scams, the Impending Lawsuit Scam typically involves consumers receiving calls from individuals claiming to be from local, state, or federal law enforcement agencies. Consumers are told that there is a warrant out for their arrest, and unless the person agrees to pay a fine, they will be immediately arrested. Often times, the caller says the arrest warrant was issued for failing to report for jury duty. To give the calls more credibility, scammers will often spoof their call so caller-ID appears to show that the call is coming from a local sheriff’s or police department.