Slam the Door on Scammers

By Michelle Crouch

When it comes to scams targeting North Carolina’s older residents, Attorney General Josh Stein can rattle them off like a grocery list.

In the sweepstakes con, a caller says you’ve won a big prize, but you just need to pay the taxes first. You pay the money, but you never get the prize.

In another scam, a caller says you missed jury duty and face arrest if you don’t pay a fine. In the IRS hoax, you’re warned that you owe back taxes. In all these schemes, scammers “create a level of fear and anxiety, and then say if you pay X dollars, you won’t be arrested,” Stein said.

The grandparent scam is a classic. A fraudster pretends to be a grandchild in big trouble who needs money to be wired quickly. Other schemes include Medicare and investment frauds, fake charities and home repair scams.

“There’s no end to the creativity of the scammers,” said Stein (D), whose office is responsible for prosecuting fraud. “That’s why it’s so important to educate folks so they will be on their guard. We want them to have the confidence to just hang up the phone.”

Fraud complaints in North Carolina have skyrocketed in recent years, according to a Federal Trade Commission report. In 2016, consumers lodged 65,059 complaints, more than double the number reported in 2010.

Learning to spot fraud
To get the word out, AARP North Carolina is working with public and private agencies in the state’s Senior Consumer Fraud Task Force. The group shares information about the latest cons and organizes Scam Jams and workshops to help older people recognize and report scams.

Many con artists specifically target senior citizens because they often have good credit and a lifetime of savings. Scammers also exploit conditions such as memory loss and isolation.

“Often, seniors are reluctant to report what happened because they are embarrassed,” said Charmaine Fuller Cooper, AARP North Carolina advocacy director. “It can also be difficult to figure out who to call.”

Fraud prevention is split among several state agencies. The secretary of state handles investment fraud, the Department of Insurance handles Medicare fraud, and the Department of Justice handles telemarketing.

AARP North Carolina is asking the legislature to find ways to better coordinate efforts among agencies to prevent scams, which could include legislation.

Fuller Cooper is also working with state officials to determine how the AARP Fraud Watch Network can help. The network, a national effort that collects reports of fraud and scams, includes a toll-free help line (877-908-3360).

Here are a few pointers on preventing common scams:

Never pay an upfront fee to receive a prize.

Never give out credit card, banking, Medicare or other personal information over the phone unless you initiated the call.

Remember that neither the IRS nor the courts will contact you by phone—only by mail.

Don’t buy from an unfamiliar company or give to an unfamiliar charity that contacts you by phone. Ask the caller to send you something in writing.

Check Medicare statements to make sure you have received the services billed. If you’ve been a victim of a scam, call the attorney general’s consumer hotline at 877-566-7226 toll-free.

“If you have ever had a gut feeling in your stomach that something is just not right, hang up or ask for a phone number to call them back,” Fuller Cooper said. “It may be a scam.”

Michelle Crouch is a writer living in Charlotte.