Scammers are constantly finding new ways to try to steal your money and they don’t let up during the holiday season. Stay up to date on common scams and learn how to help protect others in your life with these tips from the Consumer Financial Protection Board:
Charity scams: A charity scam is when a thief poses as a real charity or makes up the name of a charity that sounds real in order to get money from you. Be careful when any charity calls to ask for donations, especially ones that suggest they’re following up on a donation pledge you don’t remember making. Before making a donation, look up the charity through their website or a trusted third-party source to confirm that the charity is real.
Debt collection scams: Most debt collectors will contact you to collect on legitimate debts you owe. But there are scammers who pose as debt collectors to get you to pay for debts you don't owe or ones you’ve already paid. Be sure not to provide any personal financial information to anyone who calls until you can verify the debt.
Debt settlement and debt relief scams: Debt settlement or relief companies often promise to renegotiate, settle, or in some way change the terms of a person's debt to a creditor or debt collector. Avoid doing business with any company that guarantees they can settle your debts, especially those that charge up-front fees before performing any services. Instead, you can work directly with your financial institution to renegotiate a loan, or with a free or nonprofit credit counseling program that can help you work with your creditors.
Imposter calls: Imposter scammers try to convince you to send money by pretending to be someone you know or trust like a sheriff; local, state, or federal government employee; charity organization; or even a family member. Remember, caller ID can be faked. Always verify the identity of any person or organization calling to ask you for money.
Romance scams: A romance scam is when a new love interest tricks you into falling for them when they really just want your money. Romance scams start in a few different ways, usually online. Scammers may also spend time getting to know you and developing trust before asking you for a loan or for access to your finances. Don’t share sensitive personal information, such as bank account or credit card numbers or a Social Security number, with a new love connection.
Learn about more common scams at the Consumer Financial Protection Board's web site.
Learn how to help someone who was the victim of a scam or financial exploitation here.