Beware: Rising Incidents of Scammers Posing as FTC Officials

The Federal Trade Commission (FTC) has issued a warning about a surge in fraudulent schemes where individuals are deceitfully posing as FTC representatives. 

These con artists contact unsuspecting Americans through phone calls, emails, and text messages, pressuring them to send money by exploiting the trust associated with the FTC’s name. 

This alarming development has seen a significant increase in financial losses, with victims now facing a median loss of $7,000 in 2024, a sharp rise from $3,000 in 2019.

Alarming Rise in Government Impersonation Scams

The problem of government impersonation scams is not limited to the FTC. The FBI’s Internet Crime Complaint Center (IC3) reported over 14,000 cases in the past year, predominantly targeting senior citizens. 

These scams have led to financial damages exceeding $394 million, marking a staggering 63% increase from 2022. Such figures highlight the growing sophistication and audacity of these fraudulent schemes.

FTC’s Response and Guidelines for Public Safety

In response to these worrying trends, the FTC has issued guidelines to help the public identify and avoid falling prey to these scams. The agency emphasizes:

“The FTC will never tell consumers to move their money to ‘protect’ it. The FTC will never send consumers to a Bitcoin ATM, tell them to go buy gold bars, or demand they withdraw cash and take it to someone in person. It will also never contact consumers to demand money, threaten to arrest or deport them, or promise a prize.”

Furthermore, the FTC has bolstered its efforts by finalizing the Government and Business Impersonation Rule, providing the agency with enhanced capabilities to combat these scammers and support victims.

How to Stay Safe from Scammers

In January, the FBI cautioned about fraudsters posing as tech support and government officials using courier services for financial extortion, and provided several recommendations to mitigate the chances of falling victim to such schemes:

• Avoid interacting with unsolicited pop-ups, text message links, or email attachments.
• Steer clear of calling back unknown numbers mentioned in suspicious messages.
• Refrain from downloading software upon the request of unknown parties.
• Never grant computer access to individuals you do not trust.

Final Word

It is crucial for individuals, especially those above 60, to stay informed and exercise caution in their digital interactions. The rise in scams exploiting the identities of trusted institutions like the FTC is a stark reminder of the evolving threats in the cyber landscape.