A quick phone call from someone asking for $500,000 could raise red flags. But months of calls with — and even house visits from — “Social Security Administration employees” may be enough to convince some.
That’s what long-con scammers are hoping for.
The Social Security Administration (SSA) recently warned consumers about this type of fraud. SSA Special Agent in Charge Anthony Monaco said:
“This type of ‘long-con’ is particularly heinous. … They are designed to drain you of all your resources.”
These long-con scams involve multiple parties. First, they impersonate tech support staff from companies like Amazon or PayPal. Their texts or emails tell victims that there’s something wrong with their account.
The scammers then say that while trying to resolve the victim’s account issue, they saw other problems — often involving the victim’s Social Security number.
The scammers will then say they are forwarding the victim to a professional with the SSA, but unbeknownst to the victim, this person is also an impostor.
Over time, the SSA impostor will build trust with the victim.
“Scammers often have detailed information on their targets, who are typically of Social Security retirement age. This generates further confidence in the credibility of the scam and scammer,” the SSA alert says.
The scammers will often conclude the scam with an in-person visit to the victim’s home. The fraudster making the visit may be part of the scheme, but it could be an unknowing participant as well, like an Uber driver. During this interaction, the victim will turn over gold, cash, a crypto wallet or any other form of currency for “safe keeping.”
Of course, in the fraudsters’ hands, this money isn’t safe at all.
NBC4 spoke to one woman in Ohio who fell victim to this long-con scheme. She lost $500,000 of her retirement fund because of it. She spent 40 years working and saving up that money, and even planned on retiring early. But this scam changed her life course, forcing her hand into finding a job instead of enjoying her retirement years.
“All my dreams are gone. Everything is gone,” she told NBC4.
The SSA impostors told her that someone had stolen her identity and was using it to commit crimes. They said she needed to drain her retirement savings and investments and then buy gold in order to clear her name. Scammers also said she wasn’t allowed to tell anyone about it. They preyed on her fear of going to prison.
On two different occasions, people who were part of the scheme visited her home to collect the gold she purchased.
The fraudsters who visited her home the first time have yet to be identified.
“I don’t want other people to have to go through this. It was a long process, a long, scary process. And they got everything from me,” the victim told NBC4.
Do everything you can to avoid this happening to you too.
The SSA provides a list of four basic signs something may be a scam.
- Scammers pretend to be from an agency or organization you know to gain your trust.
- Scammers pressure you to act immediately.
- Scammers say there is a problem or a prize.
- Scammers tell you to pay through a specific method.
The SSA also clarifies that they will never do the following:
- Ask you to pay with gift cards, prepaid debit cards, wire transfers, cryptocurrency or by mailing cash.
- Claim to need personal information or payment.
- Demand secrecy.
- Threaten to seize your bank account.
- Offer to move your money to a “protected” bank account.
- Threaten you with arrest or legal action because you don’t agree to pay money immediately.
- Suspend your Social Security number.
- Direct-message you on social media.
Always be skeptical of any messages or phone calls from people claiming to be from a trusted source (SSA, law enforcement, IRS, banks, etc.) — no matter how official they may look. Do not click on links or provide any personal information.
Instead, hang up or ignore the email, then search for the official customer service number yourself. Ensuring you’re on a legitimate customer helpline can help you avoid scammers and keep your money and information safe. Legitimate officials shouldn’t discourage you from taking this sort of precaution.
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