Unemployed and afraid during this pandemic? Scammers ‘prey on fear,’ says the FBI
While some Idahoans are living in fear for both their health and their economic stability, the FBI is warning that scammers will prey upon crises such as the current coronavirus pandemic.
In a press conference held Tuesday, two special agents with the FBI, based in Salt Lake City, explained details of the growing problem of online scams while much of the country is under stay-home orders.
“There are always folks who are looking to steal from Americans,” said Supervisory Special Agent Drew Scown. “That certainly hasn’t changed during the pandemic.”
If anything, the FBI said fraudsters are using people’s fear about the virus to take advantage of them.
Stimulus checks
One newly seen scam revolves around the stimulus checks many residents will be receiving from the federal government as part of the coronavirus relief legislation.
Government relief checks have been and will continue to be issued by the Internal Revenue Service, and mostly are being put into people’s accounts via direct deposit. Residents should not expect the government to call them and ask for a Social Security number or checking account information.
“Government agencies will never call and ask for personally identifying information,” Scown said. “If someone is calling and claiming to be from the government, it’s often an indication of fraud.”
Fake cures and testing
The Centers for Disease Control and Prevention has not reported a known cure or vaccine for the coronavirus.
The FBI warned people against paying for online products that scammers claim will help “cure” them of COVID-19, the disease caused by coronavirus, or anything that will prevent them from contracting the disease.
The coronavirus is highly contagious. There is no known product that can directly “prevent” a person from contracting it.
Scown said that while there is obviously testing for COVID-19, some recent scams have included people selling fake at-home tests. He urged people to make sure any products they buy online are approved by the U.S. Food and Drug Administration. Distributing financial information to purchase these products can often be part of larger plan to steal from unsuspecting people.
Scammers are also attempting to sell high-demand products, such as hand sanitizer or masks, that do not meet CDC standards.
The FBI encourages people to visit the CDC website to learn where they can purchase quality hygiene and protective products.
Charity fraud
While the country has seen record-high numbers of unemployment, those Americans who are not struggling financially may want to donate to charity.
Scown warned residents against donating to “newly formed” charities or crowdfunding sources that use high-pressure tactics. Those tactics include scammers who warn people about donating now “or else” something negative could happen, without providing context.
Anyone who wants to support a charity should visit ftc.gov/charity to help research charities.
Cyber fraud
As more people are home and in a time of economic crisis, cyberfraud is a bigger problem. That includes scammers blackmailing people into giving them cryptocurrency.
FBI Special Agent Michael Pickett said there have been reports of scammers threatening to infect a victim or a victim’s family with COVID-19 if the victim refuses to comply.
“Fraudsters will continue to prey upon our fears,” Pickett said.
Investment fraud will also continue to be a problem, as people are in need of income amid nationwide layoffs and furloughs.
Pickett said any investment that claims to need a person to “act now” or saying it’s a “once in a lifetime opportunity” are likely fraudulent. He said fraudsters are essentially preying upon people’s desperate need for income and their lack of knowledge about how real investments may work.
Money mules
The FBI also warned unsuspecting residents of becoming what they deemed “a money mule.” A money mule is essentially an American who unknowingly collects money from scam victims into their personal bank account.
“A money mule is someone who is recruited by a fraudster to receive funding and then send the money to the bad guy,” Pickett said.
Scammers in other countries will use the person because scam victims may be leery of transferring money internationally. The person may initially be tasked with doing things that are legal, such as research, to prevent them from becoming suspicious. People are especially susceptible to it if the work is promoted as a “work from home” option, Pickett said.
If anyone suspects they’ve been recruited to be a money mule, they are asked to contact the FBI to seek assistance, Pickett said.
In 2019, the FBI’s Internet Crime Complaint Center reported that roughly $12.6 million was lost in Idaho due to online scams. To report suspicious activity, visit the FBI’s Internet Crime Complaint Center at www.ic3.gov.
This story was originally published April 21, 2020 at 3:11 PM.
