Summary:
- Fraud attempts are frequent and anybody can be a target
- There are common red flags to watch out for
- There are simple steps you can take to prevent falling victim to fraud
Unfortunately, fraud occurs more often than you might think. Anybody can be a target of fraud, and scammers have more ways than ever to try to take advantage of people. Here at West Invest we are here to help you build a financial plan, but we also want to help prevent you from falling victim to fraud.
Red Flags
The first line of defense when it comes to cybersecurity is to spot fraud attempts. Here are some common tactics that should raise your suspicions:
- Urgency and Threat: Somebody tells you that you need to act immediately to avoid serious consequences such as legal action or account closure.
For example: Somebody calls you to tell you that law enforcement will arrest you if you don’t make immediate payment over the phone. - Requesting Personal Information: Somebody asks you to provide sensitive information such as your SSN, account numbers, login credentials, or PIN via email, text, or phone.
For example: You receive an unsolicited email requesting that you share your online banking password. - Unusual Payment Requests: Somebody requests an unusual payment method, such as wire transfers or cashier’s checks.
For example: Somebody claims they can’t access their typical accounts and needs you to route funds via a wire transfer to a new account. - Impersonation: Somebody reaches out to you claiming to be a representative from the IRS, Social Security, an organization, a celebrity, or even a family member in trouble.
For example: You receive a text message from an unknown number claiming to be from the Transportation Authority requesting that you click a link to pay an outstanding toll bill. - Guaranteed Returns: Somebody offers you guaranteed returns or investments with no risk.
For example: A social media link advertising guaranteed 15% returns on investments with limited enrollment spots available.
How to React:
But there are simple steps you can take to exercise caution against fraud attempts:
- Stay calm and think objectively. Scammers often try to create a sense of urgency or fear to make you act quickly without thinking things through.
- Double check the contact information when somebody reaches out. For example, if you get a text, email, call, or voicemail from somebody claiming to be from your bank, don’t respond immediately! Check that institution’s real contact information and reach out to them via their official customer service channels to confirm if the attempt is legitimate.
- Use strong unique passwords on all of your accounts and utilize multi-factor authentication when possible.
- Never share your personal information over the phone, email, or text.
- Be wary of links and attachments in text messages and email communications. Always access your accounts via official websites and applications, not from links or attachments in text messages or emails.
- Check your account activity regularly and contact your financial institutions if anything seems strange.
- And call us! If something seems suspicious, or too good to be true, please reach out so we can help you decipher what’s going on
Why it Matters
In our highly digital world, it’s important to stay vigilant against fraud and the advancing technologies scammers use to access your data and information. Proper attention to fraud attempts can prevent identity theft and financial loss.