The stupefying financial methods of operation which exist in abundance victimize millions of Americans from all walks of life. Swindlers in different forms employ conventional to the most complex methods which rob people of their hard earned money. What’s worse is, even a person’s identity can be compromised. The numbers are rising and people are getting more and more wary as scams rapidly infest society.
Reminders and information about credit fraud and financial scams are readily available in various platforms. But as one popular saying goes, “Prevention is better than cure”, hence, the early telltale signs of these felonies should be continually make known.
Identifying financial schemes and scams
Schemes which rip-off people can be averted if proper precautionary measures are taken. The best way to avoid being defrauded is by recognizing how these scams work. Detecting financial fraud is not as difficult as it seems especially when one takes the initiative to understand how fraudsters carry out these financial offenses.
The government provides American citizens with sufficient information about credit crimes which forewarns of the risks and possible damages that can befall people. These crimes range from telemarketing schemes, online scams, credit card to healthcare and tax fraud. An exhaustive list which gives people an overview of each can be found on the FBI’s website.
Deflecting financial fraud
Another U.S. administration’s effort to tackle this problem paved the way to the inception of the Financial Fraud Enforcement Task Force. This group spearheads the investigation and prosecution of financial crimes that are currently sweeping the country. The group has described financial fraud as “taking many different shapes, and fraudsters wearing many different masks.” While fighting this crime has been their top objective, the group also reinforces education and prevention of financial and credit crimes.
Here is a list of tips gathered from financial organizations which can help people avoid falling victim to scammers and fraudsters.
- Too hard to resist deals over the phone and Internet can be a sham.
Criminals have long before figured that mass marketing helps them execute their fraudulent deeds. Scams carried out through various methods of media and communication have ceaselessly victimized countless numbers of American consumers. Telemarketing and Internet scams offering goods, services and “too-good-to-be-true” deals have lured unsuspecting individuals into thinking that they have snagged a “best buy” over the phone or online. Shady individuals who are trying to fish for personal or financial data without proper justification should be watched for and ignored. Be wary of these schemes and never give out credit card information to people, most especially sites which do not represent legitimate companies but are made to appear as if they do. There is no issue in being cautious, otherwise, the price that you’ll pay can be higher – a stolen identity or a compromised credit standing. - Recognize the looming dangers in Cyber space
While the Internet has provided numerous perks for individuals of all ages and walks of life, this tool has also been the hunting ground for criminals who are out to defraud others with their stealthy evil deeds. Internet fraud comes in varying formulas which sole intent is to mislead and rob people of their hard earned money. One example of the most common online scams are phishing emails which if not left ignored, can be the root of identity theft. Being skeptical of financial transactions that are being pushed by “representatives, agents or executives” online is not being paranoid. It is being cautious of the possibilities of being a victim of a financial scam. Keep in mind that legitimate advertisements are linked to legitimate websites of legitimate companies. When transacting online, it does not hurt to investigate further about a company which offers exceedingly attractive deals. Consumers should recognize that detection for financial fraud online only requires enough vigilance and a thorough check of what you’re getting yourself into. Lastly, reporting online scams not only helps in reinforcing credit protection for yourself but for other consumers as well. - Unknown transactions are showing up on your credit card bill
The unlawful use of credit cards is a wide spread crime that has affected millions of consumers. This financial offense happens when an unauthorized person uses another individuals credit card to purchase goods or services. Carefully going through credit card billing statements each month allows one to monitor if they have fallen prey to credit card fraud. If you spot unknown transactions on your bill, it is best to report this incident immediately to your bank and to local authorities.Discovering suspicious purchases and activities on your bill should alert you to double check your accounts for fraud. Whats more alarming is the possibility of having your personal information used to open lines of credit and loans that will scar your credit standing.
Check your credit reports for suspicious financial activities
Financial experts say that the most effective method in detecting financial fraud is by regularly tracking your transactions and credit reports. The healthy habit of monitoring one’s credit file allows a consumer to check and make sure that there are no unauthorized activities on their account. More so, it allows an individual to confirm if there are fraudulent accounts under their name. Identity theft transpires when a criminal gets a hold of any useful personal information, like your Social Security number, Drivers License or Date of birth. There are so many ways a criminal can abuse another person’s identity. The result is damaging and can cost one’s entire life savings.
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