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  • Geebo 8:00 am on August 17, 2022 Permalink | Reply
    Tags: , cryptocurrency, , ,   

    Victim could lose home after being scammed 

    By Greg Collier

    An elderly New Jersey woman has already lost $420,000 to scammers, and because of that scam she may lose her home.

    It started when she received an email stating she had been charged $500 for an antivirus subscription. This is a trick scammers use to get victims to call the number included in the email, which the woman did. The phony customer service rep said they could issue a refund if the victim gave them remote access to her computer, which again she did.

    While the scammers had access to her computer, they had her access her bank account under the guise of issuing a refund. Somewhere along the line, the phony $500 charge became a real $50,000 charge. The scammers said they would issue a refund through a wire transfer. However, the victim was instructed not to tell her bank about the wire transfer because the bank may think it’s part of a money laundering scheme.

    To further this supposed protection against money laundering accusations, the woman was also instructed to move her money into an overseas cryptocurrency account. The scammers then instructed the woman to tell her bank that the large transactions being made were for antique furniture. Her bank did, in fact, ask about the transactions, and she told them what the scammers instructed her to.

    The scam didn’t end there, though. Not only did the scammers take her money, they also opened several lines of equity using her home as collateral. Now, the woman may lose her home since she doesn’t have the money to pay off the loans the scammers took out. At one point, the scammers even had her declared deceased.

    Keep in mind, this was all over a $500 refund for a service that she wasn’t even charged for.

    If you receive an email like this, the first thing to do is check your bank or credit card account to see if the charge is even there. If it isn’t, just delete the email. It’s also worth noting that no legitimate company issuing you a refund will ever ask you for remote access to your device. Remote access should only be given to people you know and trust personally. Not to mention that most refunds can be done almost instantly. Lastly, no legitimate company will ever tell you to hide something from your bank. If someone asks you to do that, they’re actually asking you to hide them from your bank.

     

  • Geebo 8:00 am on June 21, 2022 Permalink | Reply
    Tags: , , , cryptocurrency, , , , , ,   

    Scammers accuse victim of money laundering 

    Scammers accuse victim of money laundering

    By Greg Collier

    A woman from Rochester, Minnesota, recently lost thousands of dollars to scammers. It started when the woman received a robocall that claimed to be from Amazon. The recording said that she had been charged for several Amazon purchases, and to press 1 if she did not make them. After she pressed 1, someone claiming to be an Amazon representative spoke to her. The caller said that they would speak to her bank about the charges.

    Not too long after that call, the woman received another call from someone claiming to be with the Federal Trade Commission. This caller told her that her identity had been stolen. The caller told the woman to protect her money, she would need to withdraw the money from her bank account. However, she was told not to contact police, or she could be accused of money laundering. She was then instructed to deposit the money into a Bitcoin ATM that was at a gas station. The victim lost $7,000 in total.

    This scam has a lot of moving parts, but each one is a red flag if you know what to look for. For example, Amazon does not call customers about fraudulent charges. Even on Amazon’s own help page, they say that if you received any communication about a charge you didn’t make, it likely didn’t come from Amazon. If you receive any communication like this, first check your Amazon account for any fraudulent charges. If there are any fraudulent charges, you can dispute them with Amazon, but you need to make first contact. Amazon will not call you.

    While the FTC is a branch of the Department of Justice, they typically do not call consumers to let them know they’ve been a victim of identity theft. Unfortunately, identity theft is usually only detected by the victim and not law enforcement. Also, no government or law enforcement agency will ever call you and threaten you with arrest while supposedly trying to assist you. If someone tells you to not contact the police, your best bet is to contact the police immediately.

    Lastly, no government entity is going to ask you to move your money to Bitcoin, especially if the Bitcoin ATM is at a gas station. While cryptocurrencies may have gained a modicum of mainstream acceptance, it’s nowhere near the point where the government is using it as a consumer protection platform.

     

  • Geebo 8:00 am on May 9, 2022 Permalink | Reply
    Tags: , , cryptocurrency, ,   

    Victims burned twice in Bitcoin scam 

    Victims burned twice in Bitcoin scam

    By Greg Collier

    Since it gained mainstream popularity, Bitcoin has had an air of fraud around it. While people have gotten wealthy through the mining, trading, and investing of Bitcoin, it’s also attracted a large number of scammers. While every Bitcoin transaction is recorded on a public ledger, it’s virtually impossible to reclaim if stolen. Also, due to the fact that Bitcoin is decentralized and has no governing authority, victims of Bitcoin scams have little to no recourse.

    One of these scams is targeting users of Instagram and takes advantage of hacked accounts. Once an Instagram account is compromised, the scammers will use this account to message other users on the account’s friends list, telling them how they’ve made money through Bitcoin. One Instagram use from Omaha, Nebraska, was asked to invest $500 through Cash App to purchase Bitcoin. However, before she could get her Bitcoin, she was asked to record a testimonial saying how successful this Bitcoin scheme was. Not only did she lose the $500, but now a video of her touting the success of this Bitcoin scheme is being shared on social media.

    Unless you have a complete understanding of Bitcoin and cryptocurrency and general, it’s advised to avoid any Bitcoin transactions. This includes friends on social media telling you how much money they made. If you receive a message like that, message your friend back through other means to ask them if they meant to send that message.

    Also, please keep in mind that the majority of agencies and companies will never ask for payment for some kind of bill in Bitcoin. You should also be aware of services who claim to be able to get your stolen Bitcoin back for a fee. That is also a scam.

    Lastly, as with any investment, never invest any money you can’t afford to lose.

     

  • Geebo 8:00 am on April 14, 2022 Permalink | Reply
    Tags: , , cryptocurrency,   

    Bitcoin ATMs are a new tool in the scammer’s bag of tricks 

    Bitcoin ATMs are a new tool in the scammer's bag of tricks

    By Greg Collier

    Within the past year or so, we’ve seen the rise of scams that involve Bitcoin ATMs. As you’re probably aware of, Bitcoin is the most well-known cryptocurrency. In case you need a refresher, cryptocurrency is a digital currency that is decentralized and not backed by any bank or government. While a record of all cryptocurrency transactions are kept in what’s known as a public ledger, it’s almost impossible to reverse a transaction. This is what makes cryptocurrencies like Bitcoin so attractive to scammers.

    Cryptocurrency’s acceptance among a large part of the public has led to the rise of Bitcoin ATMs. These machines allow anybody to buy Bitcoin for cash. Conversely, you can also cash out your Bitcoin for its current market value. We’re concerned more with another function of Bitcoin ATMs, and that’s the ability to send Bitcoin to anybody who has a digital wallet.

    Whereas scammers have typically used gift cards to scam their victims out of money, Bitcoin ATMs are slowly starting to replace gift cards as the scammer’s payment of choice. Just in the past week, there have been reports of victims losing thousands of dollars to scammers after sending them money through Bitcoin ATMs. A woman from Buffalo, New York, sent $30,000 to scammers who told her that her bank account had been hacked. Another woman from Northeast Pennsylvania sent $25,000 to scammers through a Bitcoin ATM in an unspecified scam.

    Unless you’re an active trader who’s well-versed in the ways of cryptocurrency, any mention of cryptocurrency should throw up a red flag. Much like gift cards, no legitimate company or agency will force you to make any kind of payment in cryptocurrency. Banks will not ask you to exchange the money in your account for cryptocurrency, that’s not how banks work. If a bank account does get hacked, that money disappears instantly. There is no grace period where you can move your money to protect it. Lastly, as mentioned above, Bitcoin ATMs are only supposed to be used for the buying and selling of Bitcoin. Anybody who tries to get you to use it for any other reason is probably trying to scam you.

     

  • Geebo 9:00 am on March 10, 2022 Permalink | Reply
    Tags: , cryptocurrency, Ethereum, ,   

    Cryptocurrency scams are riskier than ever 

    Cryptocurrency scams are riskier than ever

    By Greg Collier

    Even though it’s risen in popularity within the past few years, cryptocurrency has actually been around for over a decade. The first and most well-known cryptocurrency is Bitcoin, which was first made public in 2009. Others such as Ethereum have also risen to prominence in that time. These are virtual currencies which have no centralized regulatory body. Cryptocurrencies are started with a built-in scarcity in mind, meaning there can only ever be a limited number of ‘coins’. The way these coins are mined is by computers solving complex mathematical equations. While someone can technically mine for cryptocurrency on their laptop, professional miners use large banks of computers with above-average processing power.

    While the idea of cryptocurrency may seem sound on paper, due to its virtual nature, it’s susceptible to all sorts of scams. It seems like on an almost weekly basis, there are tabloid-like headlines recounting hacks, heists, and schemes that have cost crypto investors millions. But we’re here to discuss the average consumer who have also been affected by cryptocurrency scams.

    The Better Business Bureau recently issued a report that said cryptocurrency scams were the 2nd riskiest scam for Americans in 2021. In 2020, cryptocurrency scams were only the 7th riskiest according to the BBB. The average consumer/investor typically does not have the time or the computing power to start mining. Instead, they’ll try to purchase cryptocurrency from someone else. These are usually done on marketplaces called exchanges. There are many legitimate exchanges, but there are also a number of fraudulent ones.

    The most common cryptocurrency investment scam involves these fraudulent exchanges. An investor will be promised a guaranteed return on their investment. Except, when the investor tries to cash out, they’ll be told by the exchange that the investor needs to pay a tax or security fee to the exchange. This is often an exorbitant amount that makes the investment not worth it. 66% of people targeted in this scam have lost money.

    Like with traditional investments, you should always do your research before committing any money to cryptocurrency. Don’t take any cryptocurrency advice from people you meet online, as they’re often part of the scam. Even friends who message you about investing in cryptocurrency could have had their social media accounts hacked. And the most important advice for any investment is never invest money that you can’t afford to lose.

     

  • Geebo 9:00 am on February 14, 2022 Permalink | Reply
    Tags: , , cryptocurrency, , Indeed, ,   

    Contemporary job offer is same old scam 

    Contemporary job offer is same old scam

    By Greg Collier

    The Better Business Bureau has issued a warning over a company that offered positions in cryptocurrency trading that was allegedly a scam. Several people have reported applying for a position on the job board Indeed that ended up costing the victims thousands of dollars. The position was said to be for a portfolio manager for stock and Bitcoin, but instead, the victims were used as money mules. While dealing in Bitcoin trading may seem like a job of the future, in this instance, it turned out to be one of the oldest job scams in the books.

    Right off the bat, the victims received payments in their own bank accounts. They were then instructed to use the money to purchase Bitcoin for clients. One victim even used his own Cash App account to purchase the cryptocurrency. A few days after receiving the payments and having already bought Bitcoin, the victims’ banks inform them that the payments they received were fraudulent. This meant that their bank accounts were overdrawn by thousands of dollars, which the banks hold them responsible for. The supposed company has since disappeared from the internet.

    If this scam sounds familiar, that’s because it’s a variation of the fake check scam. Even though no paper checks were involved in this particular scam, the outcome is the same. No legitimate employer will ever ask you to deposit funds to be used for business into your own bank account. Scammers are taking advantage of a courtesy of banks that lets you withdraw money from your account before the check or payment has been verified as legitimate.

    This story also shows that even well-known job boards like Indeed aren’t immune to job scams. These scammers even held multiple interviews, albeit online, with their victims. Victims were even sent official looking documentation that outlined their job responsibilities and salary.

    Scammers are so practiced in their craft that they can appear to be a legitimate business. However, there is almost always a telltale sign to indicate a scam. In this case, it’s using your own bank account for supposed business related expenses.

     

  • Geebo 9:00 am on January 31, 2022 Permalink | Reply
    Tags: , , cryptocurrency, , ,   

    Are more scammers asking for Bitcoin? 

    By Greg Collier

    Recently, the Federal Trade Commission (FTC) has warned consumers they’ve seen a rise in scammers using cryptocurrencies like Bitcoin. Traditionally, scammers usually lean toward trying to collect money from their victims through means like gift cards and money transfers. That’s because gift cards and money transfers are things that most people understand. Meanwhile, if you say cryptocurrency to most consumers, you’ll get a puzzled look. However, the FTC says that scammers have come up with a new and easy way to get victims to pay in cryptocurrency.

    According to the FTC, scammers are now getting their victims to scan QR Codes with their phones. Once a victim scams the QR Code with their phone, the victim just paid the scammer in cryptocurrency. Fortunately, there’s a process that needs to take place before scanning the code that should tip you off that you’re being scammed. The FTC warning states that the scammers will try to get you to go to a Bitcoin ATM, to scan the code. In other instances, the scammers will try to get you to move money out of your bank before getting you to scan the code.

    For example, a man from Athens, Georgia, was recently taken for $45,000 in a tech support scam. A computer pop-up told him his computer had been infected with a virus, and he needed to call Microsoft at a number listed on the pop-up. The scammers told him his computer and phone had been compromised, and he needed to move his money to a cryptocurrency account to protect it. After he moved his money, the scammers gave him a QR code to scan. Once the victim did that, his money was gone, having been transferred to the scammer.

    In most consumer cases, cryptocurrency should be treated just like gift cards. The vast majority of businesses and agencies do not ask for payment in Bitcoin or any other cryptocurrency. While cryptocurrency is not untraceable, it is extremely difficult to get back once it’s been sent from one crypto wallet to another. Bitcoin and other cryptocurrencies are still only used in niche circles, despite what its more vocal proponents will tell you.

    So, if someone contacts you and asks for payment in Bitcoin, it’s more than likely a scam.

     

  • Geebo 9:00 am on January 11, 2022 Permalink | Reply
    Tags: , apartment fire, , Bronx, , cryptocurrency, , , , , san antonio, ,   

    Scam Round Up: QR Codes, Bitcoin, and More 

    Scam Round Up: QR Codes, Bitcoin, and More

    By Greg Collier

    It’s time once again to bring you three scams from around the country you should be aware of.

    ***

    Major cities in Texas like Houston, Austin, and San Antonio have reported a scam involving QR codes and parking. For those who may not know, QR codes are those square codes you sometimes see. If you point your phone’s camera at a QR code, it will take you to a website where you would normally be provided with additional information. In Texas’ case, scammers around these cities are placing QR codes around city-owned parking spaces. Once you scan the code, you’re asked to pay to use the parking spot. However, the money is going to scammers instead of the city. Along with your payment, the scammers now have your payment information as well. If you have fallen to this scam, you’re asked to file a police report and contact your payment issuer.

    ***

    Cryptocurrency scams continue to find victims across the country. Recently, a North Carolina man lost $15,000 to one of these scams. He was contacted through social media to invest in a cryptocurrency company who claimed that profits were 100% guaranteed. Supposedly, the man’s initial investment grew to $95,000; however, he would need to pay another $14,000 to get his windfall. This is a new crypto-flavored twist on the advance fee scam. For example, when a scammer tries to tell you that you’ve won millions of dollars in a sweepstakes, but you need to pay a fee to claim your winnings. Please keep in mind that the crypto market is filled with scammers, and no investment, not even cryptocurrency, can guarantee you a return on your investment.

    ***

    Lastly, we have to talk about charity scams again. We’re sure most of our readers have heard about the tragic apartment fire that took place in The Bronx recently. The fire has left several families displaced and many in the hospital fighting for their lives. You may feel the need to donate to a charity that would benefit these families. Be careful because scammers will use any tragedy to try to benefit themselves. The Mayor’s Office has set up a donation fund where all proceeds go to help the victims. There is also another city website where you can find additional information on how to help the victims. Don’t make a donation through a robocal. If you’re suspicious about a certain charity, you can always check with the BBB to see how legitimate they are.

    ***

    While these scams may not be happening in your area, they could be soon. Hopefully, you now have the knowledge to recognize these scams.

     

  • Geebo 9:01 am on December 23, 2021 Permalink | Reply
    Tags: , cryptocurrency, , ,   

    Man loses $1M in romance/crypto scam 

    By Greg Collier

    Traditionally, in an online romance scam, the scammers cultivate a false romantic relationship with their victims to get the victim to send the scammer money. The scammed often pose as military personnel, oil rig workers, or international businessmen to avoid meeting the victim face to face. Now, there’s a new scam that shares many traits with the romance scam, but instead of asking the victim for money, the scammers are directing their victims to ‘invest’ in cryptocurrency.

    A 52-year-old man from Denver recently spoke to his local media about how he lost over $1 million in this scam. He is said to have met a woman online who supposedly also lived in Denver, although he never met her face-to-face. After a few weeks, the conversation turned to cryptocurrency. The woman said that she invests in cryptocurrency using a certain platform and app. She suggested to the man that he should invest as well. The man had made money before investing in cryptocurrency, so this was something he was familiar with. After the man checked out the platform, he thought it was all legitimate. He transferred a small amount of cryptocurrency into his account and was able to take out his money with no problem. Thinking this was a good investment, the man put his entire retirement savings of $1.6 million into his account.

    At the end of the investment period, it appeared the man had made $8 million in returns. However, when he tried to withdraw his money, he was told he’d need to pay back the loan of the initial $1.6 million. When he asked them to take it out of his $8 million windfall, they refused.

    The scam has been given the unfortunate name of the ‘pig butchering’ scam. The victims are the pigs who the scammers ‘raise’ until it’s time to lead the victim to financial slaughter.

    Investing is tricky enough, but when you add the volatility of cryptocurrency that can change wildly in value due to a tweet from Elon Musk, it becomes even more difficult. If you’re looking to get into investing, never invest more than you can afford to lose, even if the investment looks like a sure thing.

    As far as romance scam goes, if your online partner keeps giving excuses as to why you can’t meet them or see them face to face, there’s a great chance you’re being scammed.

     

  • Geebo 8:00 am on October 5, 2021 Permalink | Reply
    Tags: , , cryptocurrency, , ,   

    You can’t rent a house through Coinstar 

    You can't rent a house through Coinstar

    By Greg Collier

    I think we can honestly say that this is one of the more unusual rental scams that we’ve heard of.

    It starts out as your typical rental scam. A scammers has listed a home for rent online that they don’t own at a below-market price. An Arizona man responds to the listing and wants to see the house first before giving the phony landlord any money. The scammer tells the man that the house is open, so the man can see it at his convenience. That part was true, the house was left open for the man to tour. While this is not the part of the scam that we find unusual, scammers often make appointments with realtors to get the codes to the lockboxes realtors use to secure the houses. The scammers then give the code to prospective victims, so they can tour the home. This tactic more than most makes the scammers appear legitimate.

    The man wanted to rent the home and told the scammers so. This is where the unusual part comes in. The scammers told the man to go to Coinstar. We all know Coinstar. It’s where we take all our loose change to convert into dollar bills. However, Coinstar can also be used to convert money into two of scammer’s favorite currency, gift cards and Bitcoin. Thankfully, this was the red flag that made the man realize this was a scam. The house wasn’t even for rent, it was for sale. The scammers copied the legitimate listing posted by the realtor and then made their ad look like they were renting the house. That’s the most common tactic of the rental scammer.

    Before you contact anybody about touring a home you saw listed online, you should do a web search of the address of the home. This can often show you the actual rent and the actual realtor selling or renting the home. Zillow and Raltor.com are great ways to help detect fraud, as many phony listings are blatantly copied from these platforms. Also, no legitimate rental agency or realtor is going to ask you to pay any application fees are down payment in gift cards or cryptocurrency.

     

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