Scams are designed to either steal your money now, or steal your identity now in order to steal your money later. Scammers have all kinds of techniques to collect personally identifiable information (PII). Once they have it, they can effectively become you, using your identity to open accounts, file taxes, or obtain medical coverage.
How the Scam Works:
With enough information about you, a scammer can take over your identity and commit a wide range of crimes. Scammers can make false applications for loans and credit cards, withdraw money from your bank account, or obtain services that the scammer would otherwise be denied.
Identity theft may take a long time to detect. Scammers typically ensure that bills and statements for new accounts are not sent to your address. You may not notice what is happening until the scammer has already inflicted substantial damage on your assets, credit, and reputation.
If you believe you are a victim of identity theft, it is very important to act quickly. In the U.S., visit www.identitytheft.gov for information on how to stop and recover from identity theft. In Canada, the Anti-Fraud Centre has information on identity theft.
Tips to Spot This Scam:
To report a scam, go to BBB Scam Tracker.
To learn how to protect yourself, go to “10 Steps to Avoid Scams”.
Last Reviewed: March 7, 2017