Scammers are hyper-focused on local issues
By Greg Collier
Whenever there’s a national crisis or a disaster that garners national headlines, you can bet that the scammers will come out of the woodwork. Some scammers even pop up for international matters too, like the recent earthquakes in Turkey and Syria. If we listed all the scams they usually perpetrate during such times, we’d be here all day. But it’s not just national and international matters that the scammers are tuned into. If there’s an issue in your town that people can take advantage of, they will.
For example, in the city of Memphis, Tennessee, their local power company is having a bit of a PR nightmare with their customer billing. At least 19,000 customers of Memphis Light Gas and Water have not received a bill in months. MLGW had installed digital meters for their customers, but water from the winter storms got into some of the meters, causing the readings to go haywire. MLGW is trying to get the customers’ bills corrected, but in the confusion, scammers have stepped in.
This was a perfect storm of opportunity for scammers to employ the shut-off scam. The utility shut-off scam is a type of fraud where scammers impersonate representatives from a utility company, such as an electricity or gas company, and threaten to disconnect the victim’s service if they do not immediately pay a supposed outstanding balance. Since MLGW controls power, gas, and water, the scammers really had their victims over a barrel. One MLGW customer was threatened with shut-off by the scammers and ended up wiring $3,000 to the scammers.
Utility companies, no matter how big or small, do not threaten immediate termination of service over the phone. If your account is behind, you’ll receive several warnings in the mail before service is terminated. You should even be notified of the day when services will be scheduled to be terminated.
If you receive one of these phone calls, hang up the phone, and verify the legitimacy of any communication from a utility company by calling the company directly using a number that is listed on their official website or on the back of a bill. Also, please keep in mind that utility companies will typically never demand immediate payment using untraceable methods like wire transfer, cryptocurrency, or payment apps. They will usually offer payment plans or other forms of assistance to help customers who may be behind on their account.
Leave a Reply