Greg's Corner

Scammers Push “Transfer It to Protect It” Cons

By Greg Collier

A troubling trend in financial fraud has been steadily growing in recent years. Known as “transfer it to protect it” scams, or more commonly as the “moving money scam,” these schemes involve criminals posing as trusted entities to convince people that their money is at risk and must be moved immediately for safekeeping. The Federal Trade Commission reports that losses tied to this scam have risen dramatically, particularly among older adults.

Data from the FTC shows a more than a fourfold increase between 2020 and 2024 in reports from people who lost $10,000 or more after being targeted by impersonators of banks, businesses, or government agencies. Older adults are disproportionately affected, with many victims losing well over $100,000. Combined losses among those reporting six-figure losses reached $445 million in 2024, compared with $55 million in 2020.

The methods are varied but share the same goal. Some victims receive alarming phone calls warning that their accounts have been compromised. Others encounter fake pop-up alerts on their computers or emails from senders claiming to represent their bank. Once the victim is unsettled, the fraudster pushes them to move money quickly. Common instructions involve sending funds through Bitcoin ATMs, wiring money to a so-called secure account, or even transferring money through services like Apple Cash. The FTC notes that government agencies and legitimate businesses do not request payment or money transfers in these ways.

Younger consumers are not immune either. Reports include cases of individuals in their late teens and early twenties being manipulated into sending money through similar tactics. The scammers’ stories are always urgent and intimidating, designed to rush the victim into handing over control of their savings.

The FTC’s latest data shows how victims are persuaded to move money: about one-third of older adults who reported losing $10,000 or more in 2024 said they transferred funds using cryptocurrency. Others reported using bank transfers or handing over cash. Once money is deposited into cryptocurrency ATMs or moved into fraudulent accounts, it is rarely recoverable.

Another key factor in the success of the moving money scam is the psychology behind it. Scammers rely on fear and urgency to push victims into acting without thinking. They often keep people on the line for extended conversations to prevent them from double-checking information or reaching out for advice. In some cases, victims are even warned not to tell family or friends about what is happening, under the false pretense of protecting an investigation. This deliberate isolation makes the scam particularly dangerous, because it exploits both financial vulnerability and human trust.

Officials warn that some scammers even go as far as impersonating the FTC itself or other federal agencies, adding credibility to their demands. These calls sometimes escalate to threats of frozen assets or arrest warrants, pressuring victims to comply.

The best protection is skepticism toward unsolicited messages that urge immediate action with your finances. Instead of engaging, consumers are encouraged to verify account activity directly through their bank or credit card provider. Hanging up the phone and avoiding suspicious links are safer paths than reacting to the urgent claims of someone who may be impersonating a trusted source.