Consumer Scams and Identity Theft

Consumer Scams

Consumer scams are generally considered fraudulent, deceptive acts or operations. Scammers often promise benefits, like a job, loan, immigration relief, or money in the attempt to steal your identity, obtain payment up front, or force you to continue to work for them.  

Common Scams include:  

  • Jobs that require you to pay fees for recruitment, training, and/or equipment, even if they do result in a job, may be an unlawful scheme.
    • Note that the H-2A visa program does not allow employers to charge recruitment fees and requires employers to reimburse workers for their visa, recruitment, and travel expenses. Please visit H-2A Jobs for more information on your rights working under an H-2A contract.  
    • Most required training, tools, and equipment required for the job must be paid for by the employer. Please visit Wages in Michigan to learn more about unlawful deductions.  
  • When an employer advertises, solicits, or hires a worker by false or fraudulent promises regarding the employment.
    • The employer may exaggerate the nature of the job, such as claiming a higher position or responsibility than what the position entails.
    • The employer might also promise high wages that the employer does not intend to or does not deliver.
    • An employer might falsely present the working conditions as far better than they are, such as misrepresenting the number of working hours or safety measures in place.  
  • Notaries or Notarios who promise immigration relief and are not licensed attorneys.
    • Notaries or Notarios must be licensed attorneys to practice immigration law in the United States. In the United States, notaries are not automatically attorneys.  
    • If a notary or a person contacts you and claims to be an attorney, you should check online through the State Bar website, the organization they claim to be a part of, or for any online presence of the attorney.
    • If someone is claiming to be an attorney but is not licensed to practice law, you can report them to the state’s Attorney Grievance Commission, which exists to investigate the unauthorized practice of law. Each state has their own Attorney Grievance Commission. Visit Michigan Attorney Grievance Commission for more information.
  • Calls or texts claiming that you have a virus or an error that must be corrected immediately, but:
    • First you have to call a number, allow access to your phone, or pay some amount of money.
    • This can be an attempt to steal your identity or money, gain access to your personal or financial information on your device, and/or add malware to infect your device or give them access to your information in the future.
    • Real and legitimate tech support or other computer companies do not unexpectedly reach out to contact you. It is best practice to reach out to the company directly through trusted sources, such as official websites. It is also best practice to contact the company through the numbers and emails listed on their official website rather than the contact listed in the suspicious email or text. Learn more here about ways to protect yourself from scams.
    • Often, if a text, phone call, or email demands that you respond immediately, it can be a red flag for a scam.
  • Calls or emails from someone claiming to be your friend or family member in dire need.  
    • Scammers may disguise their voice, show a familiar phone number on their caller ID, and use information available on the internet to convince you they are your family member.  
    • For example, an IRS agent contacts you claiming that you owe back taxes and must pay immediately. It is best to contact the IRS directly to confirm if this is true.  

Identity Theft

Identity theft is a crime that occurs when someone uses your personal information (your name, social security number (SSN), credit card, bank account, home address, etc.) without your permission to get a job, rent an apartment, borrow money, receive benefits that you are owed, commit medical fraud, or other crimes.

Why Should I Worry About My Identity Being Stolen?

It can cause:

  • You to be arrested for a crime you did not commit.  
  • You to be sued or sent to collections for debts that are not yours.
  • Money to be withdrawn from your bank accounts.  
  • Incorrect and potentially health-threatening information be added to your or a family member’s medical records.
  • You to miss payments or benefits for which you are eligible.
  • Negative effects on your credit.

Common Signs Your Identity Was Stolen Include:

  • Personal documents are missing or stolen.
  • Having income from an employer that you did not work for on your unemployment or other benefits claims associated with your SSN.
  • Receiving bills or credit cards or are contacted by a debt collector for services or accounts you are not familiar with.
  • Withdrawals from your bank account or charges on your credit card that you do not recognize.  

Common Tactics Someone Can Use to Steal Your Identity Include:

  • Texts or emails that look like they are from Amazon, United Postal Service (UPS), FedEx, or the Postal Service that say “Final Notice” about a package, but links in the message allow scammers to steal your personal information. Do not click any links you are not familiar with.  
  • Phone calls pretending to be a bank, medical provider, or state or federal agency (like the Center for Disease Control or the IRS) and asking for your personal information. They may say that you owe money or that you or a family member may be in trouble.

Minimize the Risk

  • Only share personal information with people you know and trust.  
  • Never click links or open attachments in emails or text messages from senders you do not recognize or who claim to be from a bank or government agency.
  • Promptly pick up your mail. If you are away from home, request the post office hold your mail until you return or forward mail to your new location or a trusted family member.
  • If a bank, medical provider, or state/federal agency calls you and asks for sensitive information, call them back at the phone number on your bill or their official website.
  • Shred your trash that has financial or personal information on it, including credit card and bank statements.
  • Ensure your unemployment “Monetary Determination” only lists employment you recognize.
  • Request your social security earnings statement online at www.ssa.gov and review it each year to ensure it only lists employment you recognize. Review your credit report and look for unfamiliar activity. Order a free annual credit report from all three credit reporting agencies (Equifax, Experian, or TransUnion) by calling 877-322-8228 or online at www.AnnualCreditReport.com.

If You Become a Victim

  • Close affected accounts immediately and report fraudulent activity. Ask for documentation showing the disputed accounts have been closed and any fraudulent activity removed. Keep copies of documents and records of your conversations.
  • File a police report. Bring any evidence you have of identity theft. Get a copy of the police report.
  • File a complaint with the Federal Trade Commission at www.IdentityTheft.gov or by phone at 877‑438‑4338.
  • Place a “Fraud Alert’’ on your credit reports by asking any one of the three credit reporting agencies. This alert tells creditors to follow procedures before opening new accounts in your name and entitles you to free copies of your credit report.
    • Additionally, if you suspect that you are a victim of identity theft, it is also recommended to place a “freeze” on your credit report. It is recommended to place a “freeze” with all three credit reporting agencies.
    • You can learn more about placing a credit freeze here.
  • Monitor your credit reports to make sure no additional fraudulent activity occurs. 
Category
Consumer Protections