Scammers manage to rip people off for anestimated $500 billion per year. That number is a best guess, since so many people who are taken by con artists either don’t realize it or are too embarrassed to report the theft. Last year, just $15.9 billion was reported — and that was a record high.
The scammer’s favorite target is often seniors, but increasingly veterans have also been in their sights, prompting a warning from veterans groups.
One of the biggest current scams targeting vets revolves around a postcard sent through the mail, claiming they are entitled toextra benefits or additional payments of up to $185 per month via something called the “Veterans Savings Program.” The problem is: that program doesn’t exist.
“These scammers claim to be affiliated with VA, and they might instill a sense of urgency, pressuring you to contact them as soon as possible, or within five days,” writes the American Legion. “Their goal is to get you to call the number provided. Once you do, they will often use flattery and praise regarding your military service to gain trust. The scammer will attempt to obtain personal identifying information like your Social Security number, bank account details or other sensitive information.”
That’s data you should never give out over the phone, especially to groups you don’t know.
How to spot a scam
To protect yourself,the Federal Trade Commission says, first read the card that’s being sent. If it uses the words “Veterans Savings Program,” it’s a scam. Throw it away, go on with your day and never look back.
If it doesn’t mention that program, but still exerts pressure to call immediately, don’t call the number on the card. Instead call the VA directly to ask about your benefits. That hotline’s number is 1-800-827-1000.
The FTC also encourages people who receive these scam cards to let their friends who are veterans know the offer is not legitimate, in case others don’t realize this and fall for it, giving away vital information.
Making matters more confusing is a batch of actual postcards that’s hitting the mailboxes of veterans. From Aug. 13 through Sept. 11, the Veterans Administration sent out a batch of “Choose VA” postcards to 3.8 million vets who were not enrolled in VA healthcare.
These, the agency says,are legitimate and are meant to help eligible veterans learn about how they can enroll.
The VA has a site dedicated to help veterans suss out scam mailings, calls and more. Thevsafe.gov site offers advice on how to detect and protect yourself from fraud that targets veterans, from identity theft to romance scams. Veterans can also call the VSAFE Fraud Hotline at 833-38V-SAFE.
Chris Morris is a veteran journalist with more than 35 years of experience at many of the internet's biggest news outlets. In addition to his activities as a writer, reporter and editor, Chris is also a frequent panel moderator and speaker at major conferences, including CES and South by Southwest.
The content provided on Moneywise is information to help users become financially literate. It is neither investment, tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities, enter into any loan, mortgage or insurance agreements or to adopt any investment strategy. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional. We make no representation or warranty of any kind, either express or implied, with respect to the data provided, the timeliness thereof, the results to be obtained by the use thereof or any other matter. Advertisers are not responsible for the content of this site, including any editorials or reviews that may appear on this site. For complete and current information on any advertiser product, please visit their website.
†Terms and Conditions apply.
You’re in.
Welcome to Moneywise! Keep an eye on your inbox for your first newsletter, free Warren Buffett investing guide, and full commenting access. Welcome to Moneywise! Keep an eye on your inbox for your first newsletter, free Warren Buffett investing guide, and full commenting access.
Money news that matters. Free in your inbox.
Join 250,000+ readers getting the money news that matters. Our free newsletter cuts through the noise. Plus get a free Warren Buffett investing guide.
