The Federal Trade Commission (FTC) reports that text message scams cost $330 million in losses in 2022. Being alert to scams and educating employees about them can protect your company, your employees, and your data from catastrophic consequences. In 2022, the FTC indicated that these were the top text message scams:
#1:
#1: Copycat Bank Fraud Prevention Alerts:
“Reports about texts impersonating banks are up nearly twentyfold since 2019. You might get a fake number to call about supposed suspicious activity. Or they might say to reply “yes or no” to verify a large transaction (that you didn’t make). If you reply, you’ll get a call from the (fake) fraud department. People say they thought the bank was helping them get their money back. Instead, money was transferred out of their account.”
This scam’s median reported loss was a whopping $3,000 last year. Worse still, many people report giving their Social Security number and other personal information to scammers, leading to possible identity theft.
#2: Bogus “little gifts”
“A text about a free gift, reward, or prize may look like it came from a company you know – say, your cell phone company or a big retailer. But everything about this is fake. If you click the link and pay a small “shipping fee,” you just gave your credit card number to a scammer.”
Once the information is provided, fraudulent charges will happen.
#3: Fake Package Delivery Problems
“Expecting a package? There’s a text scam for you. Texts pretending to be from the U.S. Postal Service, FedEx, and UPS say there’s a problem with a delivery.[7] They link to a website that looks real – but isn’t. If you paid a small “redelivery fee,” which many people reported, that was a trick to get your credit card number. “
#4: Phony Job Offers
“Promises of easy money for mystery shopping at well-known stores like Whole Foods and Walmart are an old scammer favorite. Reports about bogus offers to make money driving around with your car wrapped in ads are also common. Reports show job scammers also target people who post their resumes to employment websites like Indeed. In most of these reports, scammers use checks that seem to “clear” but turn out to be fake to trick people into sending them money.”
#5: Fake Security Alerts
“Like fake bank texts, texts from someone who says they’re “Amazon” look like automated fraud prevention messages. Often, they ask you to verify a big-ticket order you didn’t make. If you call the number in the text, you get a phony Amazon rep who offers to “fix” your account. People often report giving the rep remote access to their phone so they can get things fixed and get their refund.[9] But then the rep says a couple of zeros were accidentally added to the refund, so they need you to return that money to them – often by buying gift cards and giving the cards’ PIN numbers.”
What to Do?
In all of these cases, reporting can help stop scam text messages:
How can you avoid text scams?
- Never click on links or respond to unexpected texts. If you think it might be legit, contact the company using a phone number or website you know is real. Don’t use the information in the text message.
- Filter unwanted texts before they reach you. There are a few ways to block unwanted texts.