In 2022, more than 65 million senior Americans will receive monthly Social Security checks totaling more than $1 trillion annually.
Therefore, it is no surprise this program has become a target of scammers. The Social Security Administration (SSA) reports more than one million attempts were made to scam people out of their hard-earned benefits in 2021 alone.
These scams range from fake phone calls, emails, and letters to fake text messages. The scam artists mainly strive to obtain personal information such as Social Security Numbers from their targets.
So, if you are a Social Security beneficiary, you must stay alert and know how to avoid Social Security scams. Here is everything you need to know about these scams and how to stay safe.
What Is a Social Security Scam?
A Social Security scam is any type of fraud or deception where someone tries to illegally obtain your personal information or steal your Social Security benefits.
The scammers use various methods such as phone calls, letters, emails, and text messages to contact their targets.
They often pose as representatives from the Social Security Administration or other government agencies in an attempt to gain your trust.
They may also say that they need your personal information for “verification” purposes or to update your records. In some cases, the scammer may threaten you with arrest or benefits termination if you refuse to comply.
What Are the Different Types of Social Security Scams?
Here are some of the most common types of Social Security scams:
1. Fake Phone Calls
An increasing number of fraudsters are calling Social Security beneficiaries pretending to be SSA officials claiming they have discovered potential identity theft or a significant problem with one’s account, benefits or, SSN.
In most cases, these calls are threatening, and the scam artists may demand instant payment threatening the beneficiary with legal action or arrest.
However, in some instances, the scam artists may sound friendly and even offer to assist the beneficiary. Some may even offer to help enroll the target’s spouse or family member in the Social Security program or provide a record of contributions and expected income.
All this is done with the single objective of extracting as much information from the target as possible.
You need to remember that if there is a problem with your details or account, SSA will mail you a letter and only call your phone number if you request them to do so. SSA representatives will not threaten you, demand payment or press you for personal information.
SSA doesn’t accept gift cards, internet currency, debit cards or mailing them cash. Most criminals use these forms of payment because they are relatively hard to trace.
2. Fake Emails and Phishing
Social Security beneficiaries can also be targeted through fake emails or phishing scams. In this case, the fraudster will send you an email that looks like it is from SSA asking you to provide personal information such as your SSN, bank account number or credit card details.
The email may also contain a link that takes you to a fake website that looks like the official SSA website. This site may ask you to provide personal information or download a malicious file.
You need to remember that SSA will never send you an email asking for your personal information. If you get such an email, delete it immediately. Do not open any attachments or click on any links in the email.
3. Fraud by Mail
While most Social Security scams are done online, criminals can still try to target beneficiaries with direct mail. These fake letters are mostly sent to older people and may look like they are from SSA.
The letter will often claim that there is a problem with your benefits or SSN and ask you to provide personal information to avoid any issues.
In some instances, the letters may promise extra Social Security benefits in return for personal information and a small filing fee.
It is important to remember that SSA will never contact you by mail asking for your personal information. If you get such a letter, do not respond and immediately report it to the SSA Office of the Inspector General.
What Do I Need to Be on the Lookout For?
The best way to protect yourself from potential Social Security scams is to understand the red flags that you should look out for. Some of them include:
- The caller or sender says there is a problem with your SSN or SS account.
- Any text, call or email asking you to pay a debt or fine with retail prepaid debit cards, gift cards, wire transfers, cryptocurrency or by mailing cash is probably a scam.
- Most scammers pretend to be from Social Security or another government agency. The texts, emails, or caller IDs used by the scammers may seem official, but they are not.
- The caller threatens you with legal action or arrest for refusing to cooperate with “SSA.”
It also helps to be proactive to protect yourself, your family, and your friends. If you receive a questionable from anyone purporting to work for SSA, hang up immediately and report it at oig.ssa.gov.
Do not return unknown calls, texts, or emails and always ask someone you trust for sound advice before making any financial decision. Don’t be embarrassed to report, even if you have already shared your personal information.
Sometimes, the information you provide can help law enforcement officials track down and stop criminals.
You can also help put an end to Social Security scams by talking about it with your family and friends, especially older adults who may be more vulnerable to these types of scams.
Being informed and aware of the different types of Social Security scams is the best way to protect yourself and your loved ones.
What Should You Do If You Think you’re a Victim of a Social Security Scam?
If you think you’re a victim of a Social Security scam, the best thing to do is to report it immediately. You can report the scam to SSA by calling their fraud hotline at 1-800-269-0271 or visiting their website at www.ssa.gov/oig/.
You should also report the scam to the Federal Trade Commission at www.ftc.gov or by calling 1-877-382-4357.
You can also contact your local police department or the state attorney general’s office to report the scam.
Reporting the scam will help authorities investigate the crime and take action against the criminals. It will also help protect other people from becoming victims of the same scam.
If you think your personal information has been stolen or used in a Social Security scam, you should also take steps to protect yourself from identity theft. You can find more information on how to do this at www.ftc.gov/idtheft.
Summary
Social security scams are on the rise, but there are ways to protect yourself. Be aware of what to look for and know what to do if you think you’ve been scammed.
With some knowledge and vigilance, you can keep your personal information safe and avoid becoming a victim of these malicious schemes.
