As a consumer, you’re always at risk for scams. These schemes can take on many forms, but all of them share one common goal: to steal your hard-earned money.

Being scammed is no fun. Not only can it cost you money, but it can also cause a great deal of stress and anxiety. The best way to protect yourself from becoming a victim of a scam is to educate yourself about the most common types of scams and how to avoid them. 

Phishing Scams

A phishing scam is a type of fraud that occurs when an attacker tries to trick you into giving them personal information, such as your passwords or credit card numbers. Phishing attacks typically come in the form of an email or text message that looks like it’s from a legitimate source, such as your bank or a government agency. When you click on the link in the message, you’re taken to a fake website that looks real. The attackers then use this information to commit identity theft or other crimes.

To learn more about phishing and how to protect yourself, read our article Protect Yourself from Email Fraud. You can also find useful information in the associate article Watch Out for Text Scams.

IRS and Government Scams

In IRS and government scams, scammers pretend to be from the IRS or another government agency and try to trick you into giving them your personal information or money. These scams usually take the form of an email or phone call. The caller will often threaten arrest if you don’t pay immediately. They will try to trick you into paying taxes or fines that you don’t actually owe. Scammers might also say you’re owed a refund and ask for your bank account information so they can directly deposit the money. The IRS will never call or email you out of the blue asking for your personal information or money, so if you get one of these calls or emails, it’s a scam. These scammers often spoof caller ID information to make it look like they’re calling from a government agency, so don’t be fooled! 

Lottery and Sweepstakes Winnings Scams

In lottery and sweepstakes scams, scammers tell you that you’ve won a lottery or sweepstakes, but in order to collect your winnings, you have to pay taxes or fees first. They might even say that the sooner you pay them, the more likely it is that you’ll actually get the prize. But there’s no such thing as a free lunch—or a free lottery winnings—so if someone tells you that you’ve won a lottery or sweepstakes and asks for money upfront, it’s a scam. 

Family Member in Need Scam

In the family member in need scam, scammers pretend to be a family member—usually a grandchild—who is in some kind of trouble and needs money immediately. They might say they’ve been in an accident or arrested and need money for bail, hospital bills, or legal fees. Or they might say they’re stranded somewhere and need money for a bus or plane ticket home. Whatever the story is, the bottom line is they need money fast—and they’re hoping that grandparents will be so overcome with emotion that they won’t think to question the story before sending money. If someone calls asking for money and claiming to be a family member in need, hang up the phone and call another family member to verify the story before sending any money. 

Computer Virus Scams

A computer virus scam is a type of fraud that occurs when someone tries to trick you into installing malware on your computer by pretending it’s legitimate software. This type of scam typically comes in the form of an email with an attachment that contains malware masquerading as a PDF file or something else harmless. Once opened, the malware can do any number of things, such as steal your personal information, take control of your computer, or hold your files hostage until you pay a ransom. 

For more information on how to protect your computer from viruses and hackers, read our article Protect Yourself Against Computer Hackers.

Protect Yourself Against Consumer Scams 

These are just five of the most common types of consumer scams out there. But there are many others. Unfortunately, there’s no surefire way to avoid all consumer scams.

The best way to protect yourself from being scammed is to educate yourself about what types of scams are out there and then stay alert for any red flags that might pop up when communicating with someone online or over the phone. If something sounds too good to be true, it probably is—so trust your gut and don’t let yourself be scammed!Keep yourself updated on the latest online threats and scams by checking out our Cybersecurity Awareness resource.