The United Difference - Fraud


Education Corner

 
Fraud continues to rise at alarming rates worldwide, and Iowa is no exception. In recent years, we have seen a significant increase in Iowa, with an estimated $52 million lost in 2024 (the most current reported year), according to the Federal Trade Commission. That figure likely represents only a small portion of the true impact, as it is estimated that only 5–15% of fraud victims actually report the incident. That is a lot of hard-earned dollars being taken from our pockets and put into the hands of fraudsters in an effort to fund criminal activity, such as terrorism, drugs, human trafficking and exploitation, and other illegal business.

The good news is there are ways you can help fight fraud. One of the most important things you can do is report fraud as soon as it happens. Time is of the essence, and reporting right away can help prevent others from becoming victims. 
Here are a few tips to help you combat fraud.

The Four P’s of Spotting Fraud

  • Pretend - Scammers pretend to be from an organization you know and trust, such as government agencies, businesses, charities, tech support companies, banks, etc.  
  • Problem - Scammers will say there is a problem. It might be fines from your local sheriff, police, courts, or unpaid taxes. Other claims may include computer viruses or unauthorized purchases or transfers. 
  • Pressure - You must act now! Scammers will use pressure if questioned. They may try to scare or threaten you. You might be told not to contact police, friends, family, or your bank. Some might claim there is a court order making it illegal to talk about the situation, or say things like “the bank is in on it”. 
  • Pay - Scammers tell you to pay in specific ways such as gift cards, cryptocurrency, P2P transfers, online transfers, or wires. They might instruct you to withdraw cash or obtain a cashier’s check and deliver it to a drop-off point or hand it to someone they send. Often, scammers will ask you to use unusual amounts or break the payment into smaller transactions.

SLAM The Door On Online Scams

  • Sender - Verify the sender’s information. Inspect email addresses for inconsistencies, typos, or unfamiliar domains rather than relying on the display name. example: order@amazon.com vs order@amazom.com.
  • Links - Do not click on any links you were not expecting. Hover over links with your mouse to see their destination before clicking on them. Pay close attention to misspellings and typos. 
  • Attachments - Do not open any unexpected attachments. Verify with the sender before opening any unexpected attachments, even if you know them. Their email may have been compromised!
  • Message - Evaluate the message for red flags, such as urgent demands, grammatical or spelling mistakes, or unusual phrasing.

The Most Important Fraud Prevention Tip!


Most fraud schemes can be stopped by following these tips. Trust your friends, family, bankers, and law enforcement. While this may seem obvious, fraudsters often work to pressure their victims, telling them to make up a story or lie to those they trust. Remember, if you are being told to lie, it is ALWAYS a scam.