Scams target military service members on Memorial Day, watchdog warns. What to know
Scammers are looking to take advantage of military members this Memorial Day as the nation remembers those who lost their lives serving their country, a watchdog group warns.
The Better Business Bureau is raising the alarm about “a variety of schemes” targeting current and former members of the U.S. military.
The ruse is typically “patriotic” or military-focused and includes phony rental properties, pricey life insurance policies and deceitful car sales, according to the group’s website. High-interest military loans and buyouts offering cash in exchange for an injured veteran’s benefits or pension payments are also common.
“The cash amount is only about 30-40% of what the veteran is entitled to,” experts said. “These buyout plans can be structured in several different ways, so research thoroughly before signing anything over.”
A 2021 analysis of scams reported to the BBB’s Scam Tracker found that active-duty service members reported losing an average $300 more than military spouses and veterans. Moreover, active-duty military members were at a much higher risk — about 42% —of being scammed out of their money compared to the general population, the report said.
One victim reported losing $1,600 after falling for a fake car sale ad posted by a “service member” who was soon to be deployed overseas, according to the BBB Scam Tracker. The scammer instructed the victim to purchase an $800 gift card for the sale — then billed them another $800 for “car insurance.”
How to protect yourself
To avoid falling victim to online scams, experts said it’s imperative to do your homework and gather as much information about a seller or business before making a purchase.
It’s also best to avoid wiring money to strangers or sharing your personal information with someone you’ve never met, the BBB said. Be wary of unfamiliar websites and unsolicited emails — and don’t click any links.
Lastly, the watchdog group advises military members to put Active Duty alerts on their credit cards while deployed to mitigate the risk of identity theft and fraud.
This story was originally published May 30, 2022 at 1:43 PM with the headline "Scams target military service members on Memorial Day, watchdog warns. What to know."