FINANCIAL SELF-DEFENSE: Beware of Summer Scams
Scammers don’t take summers off. Some scams ramp up during the summer, particularly those geared toward vacations or travel. Here are some different summer scams to be aware of so you can enjoy a safe and happy summer.
Hotel Scams
A couple of increasingly common scams during the summer involve hotels. You’re awakened at night by a phone call from the front desk saying there’s been a problem with your credit card. Then, they ask to read the number one more time, presumably to rerun it. The scammers hope you’ll do something while half-asleep that you’d never do when wide awake: give credit card info to a stranger on the phone.
Another hotel scam involves guests finding pizza delivery menus slipped under their doors. But when the guest places their order using a debit or credit card, they get no extra cheese … just a stolen identity.
Hold Onto Your Bags Scam
Another summer scam involves transportation. Imagine a cabbie who unloads your bags at the hotel or airport in a rush, then speeds away with at least one of your bags in the trunk. Sgt. Jerry MacDonald of the Las Vegas Police Department has seen plenty of this: “Trust me when I tell you, they’ll snatch your luggage up faster than you can blink an eye.”
Emergency Scam
Scams can happen anytime, though. And they can happen anywhere. Scammers often take advantage of the same technologies we’ve grown to depend on. For instance, a recent version involves cell phones and the number 72. You might receive an awful call telling you of a death in the family, followed by instructions to call another number beginning with *72 for details (a hospital, perhaps, or a doctor). But there’s no death and no doctor; this transfers your number to the scammer, who can give it to anyone in the world, with you picking up the tab. Don’t use *72 or any other number to forward calls to someone you don’t know.
Jury Duty Scam
Phones are also the medium for juror scams, in which individuals get calls saying they’ve failed to turn up for jury duty and asking for personal details so the court can cancel an arrest warrant. They may also suggest they confirm those details for possible future jury duty. Be aware: Courts never seek details like a credit card or Social Security number over the phone. If in doubt, contact the court directly. And report the incident to the police.
Speed Trap Scam
There are reports of scammers telephoning as fake cops, saying the marks have photos of them breaking the speed limit. They are demanding a hefty fine (payable by credit card, naturally). Don’t be cowed; legitimate police officers don’t do this. Ever.
Texting Scam
Everyone uses text messaging today, so text phishing has become as common as email phishing used to be. Scammers will send a text message, supposedly from your bank or credit union, asking you to visit a website that, once again, requests personal details to “unlock” or “verify” your account. As a general rule, never follow a link you’re not sure about, and never give your personal financial information via text messaging!
Immigration Scam
A new twist on the scam phone call is being reported by the US Citizenship and Immigration Services (USCIS): scammers call immigrants in the US pretending to be from Immigration, Refugees, and Citizenship Canada (IRCC). They threaten people with an investigation or a lawsuit, throwing around terms like “affidavit” and “allegations,” Of course, they tell you to pay by money transfer or gift card. The IRCC, like the USCIS, doesn’t collect payments this way, and they have no reason to ask for basic personal info they would already possess (date of birth, for example, or passport number). And they don’t threaten to arrest or deport people.
Mobile Wallet Fraud
David Dewey, director of research at Pindrop Security, says scammers that were once thwarted by the added protection of chip-embedded credit cards have now turned to mobile wallets. Scammers tap into accounts through Apple Pay, Google Wallet, Samsung Pay, Android Pay, and others.
Dewey put mobile wallets’ security to a test: He secretly copied a few colleagues’ credit card numbers and expiration dates. A little Google investigation revealed the answers to “secure” identification questions (such as a colleague’s mother’s maiden name). Within minutes, Dewey had strolled to Whole Foods and bought lunch for the office. (The colleague was given his money back later.)
“It’s amazing how easy it was to add somebody else’s credit card info to my Apple Pay account,” Dewey says. There will always be new scams to take advantage of new technologies. Check your credit card statements carefully for unexpected charges.
Medicare Scam
Finally, with new Medicare cards on the way (no longer showing your Social Security number), scammers are taking advantage by calling, claiming to be from Medicare. They ask for your Social Security number or demand you pay for your new card. Hang up, and report scams to the FTC. Medicare will never call you, and your new card is free.
No matter your circumstances, stop if you get a call or email asking for your money or personal information. Please, don’t wire money; hang up. You’ll remember your summer much more fondly.
Now you know some of the most prevalent summer scams that are out there right now. Protect yourself from these awful scams, and make sure you share with your family and friends to warn them. If you like this post, check out our other posts on the MoneySmart Tips Blog.
