Scam Awareness and Identity Protection · Lesson 1 of 3
Spot Today's Scams: Impostors, Texts, and Payment Apps
The warning signs every scam shares, real example messages, and what to do in the first hour if you have been scammed.
Completed on this device
Parts of this lesson are not translated into your language yet, so they are shown in English.
In this lesson
What you will learn
- Recognize the four signs most scams share: a name you trust, a problem or prize, pressure, and a payment that is hard to reverse.
- Identify impostor scams that pretend to be a toll agency, a delivery company, your bank, or a family member.
- Explain why money sent by gift card, crypto, wire, or payment app is hard to get back.
- Use the stop, hang up, and call back routine, and act fast if you already paid.
How this connects to class: In class you learned the warning signs of fraud and why to guard your personal information. This lesson shows the scams people in the DC area see today, with sample messages, and gives you a step-by-step plan for the first hour after a scam.
Words to know
- Impostor scam
- A scam where someone pretends to be a person or group you trust, such as a bank, a government agency, a company, or a relative.
- Phishing
- A fake message, email, or website that tries to trick you into giving passwords, card numbers, or other personal information. When it comes by text message, it is sometimes called smishing.
- Payment app
- An app or bank service used to send money to other people, such as Zelle, Cash App, Venmo, or PayPal.
- Unauthorized transfer
- Money taken from your account by someone else without your permission, for example by a thief who got into your account.
- One-time code
- A short number a company sends to your phone or email to check that it is really you. Never read it to someone who calls you.
- Overpayment scam
- A scam where someone sends you a fake check for more than they owe you and asks you to send back the extra money.
Four signs almost every scam shares
Impostor scams are the type of fraud people report most often: someone pretends to be a person or group you trust. In 2025, people told the Federal Trade Commission (FTC) they lost about $16 billion to fraud. That is the highest amount on record. Impostor scams took $3.5 billion. Of that, scammers who pretended to be a business took nearly $1 billion, and fake banks caused the biggest losses in that group.
The stories change, but the pattern stays the same. Watch for these four signs:
- A name you trust. The message says it is from your bank, the IRS, a toll company, the post office, your power company, or a relative. Caller ID and email names are easy to fake.
- A problem or a prize. You owe money, your account is locked, a relative is in trouble, or you won something.
- Pressure and secrecy. You must act today. You may hear threats of arrest, deportation, or a lost license. You are told not to tell anyone.
- A payment that is hard to reverse. Gift cards, cryptocurrency (crypto), a wire transfer, a payment app, or cash given to a person who comes to your home.
If you see even one of these signs, slow down. Honest businesses and agencies give you time to check.
Tip
Stop, hang up, and call back
- Stop. Do not click, pay, or share anything yet. A real problem will still be there in ten minutes.
- Hang up or close the message. Do not reply, and do not call a number the message gives you.
- Call back on a number you find yourself. Use the number on the back of your card, on your bill, in the official app, or on the agency's .gov website.
- Talk to someone you trust. Scammers want you to keep secrets. A friend, a family member, or your Dollar Scholars instructor can help you think it through.
Three messages you might see this week
1. The unpaid toll text
E-ZPass NOTICE: You have an unpaid toll of $6.99. Pay today to avoid a $50 late fee and a hold on your driver's license: [link]
Texts like this go to people all over the DC area. The DC Attorney General has warned that DC does not have its own toll agency, yet people with 202 phone numbers still get fake toll texts. The link goes to a fake website that steals your card number and personal information. Maryland's and Virginia's toll programs say they never ask for payment by text message. If you drive on toll roads, check your account on your toll agency's official website or app. Type the address yourself.
2. The package delivery text
USPS: Your package cannot be delivered because the address is incomplete. Update your address within 12 hours: [link]
The U.S. Postal Service says it does not send texts unless you asked for tracking updates with a tracking number, and its texts do not contain a link. A USPS text with a link is a scam.
3. The call from the bank's fraud department
"This is the fraud team at your bank. We stopped a $950 charge at a store in Baltimore. Your account is not safe. To protect your money, we will move it to a new secure account. First, read me the code we just texted you."
The FTC says some of the most costly scams start with a call like this. The caller may know your name and the last digits of your card. The FTC warns that only a scammer will tell you to move your money to protect it. Anyone who asks for the code sent to your phone is trying to get into your account. Hang up and call the number on the back of your card.
For texts, do not reply. Use your phone's "report junk" option or forward the text to 7726 (the number spells SPAM), and then delete it.
Why some payments are so hard to get back
How you paid, and who sent the money, decide how much help you can get.
| What happened | What you can do |
|---|---|
| A thief got into your bank account or payment app and sent money without your permission. | This is an unauthorized transfer, even if a scammer tricked you into sharing your password or code. Federal law gives you strong rights if you tell your bank or app quickly. |
| You sent money on a payment app yourself, because someone lied to you. | The bank or app often does not have to give it back. Report it right away and ask anyway. |
| You paid with a gift card. | Call the gift card company right away. Keep the card and the receipt. Some companies may give your money back. |
| You sent a wire, for example through Western Union or MoneyGram. | Call the company right away and ask it to stop and reverse the transfer. |
| You paid with crypto or at a crypto ATM. | This is the hardest to get back. Report it to the company you used and to the FTC. |
That is why scammers ask for these payments. No real business or government agency will ever tell you to buy a gift card to pay them.
A credit card gives you more protection. Under federal law, the most you can owe for charges on a lost or stolen credit card is $50.
Voice clones and family emergency calls
Scammers can now copy a person's voice from a short recording posted online, such as a video. Then they call a parent or grandparent. The voice cries and says, "I was in an accident and I am in jail. Please send money. Do not tell Mom."
The FBI suggests that families agree on a secret word or phrase. A real relative in trouble will know it. A copied voice will not.
- Choose a code word with your family today. Do not post it online.
- If you get an emergency call, ask for the code word, or ask a question only the real person can answer.
- Hang up and call your relative on the number you already have.
- Call another family member, even if the caller said to keep it a secret.
Example
How an overpayment scam empties your account
Maria lives in Hyattsville. She sells a used table online for $200. The buyer mails her a check for $1,200 and says he made a mistake. He asks Maria to keep $200 and send the extra $1,000 back on a payment app. Two days later, her bank shows the money as available, so Maria sends it.
By law, banks must make deposited money available quickly. But it can take weeks to find out that a check is fake. When the check bounces, the bank takes back the full amount.
| Step | Amount |
|---|---|
| Maria deposits the buyer's check | +$1,200 |
| Maria sends the "extra" money back | −$1,000 |
| The bank finds the check is fake and takes the money back | −$1,200 |
| Maria's loss (and she may have given away the table) | −$1,000 |
$1,200 − $1,000 − $1,200 = −$1,000
The same trick shows up in fake jobs, "mystery shopper" offers, and prize letters. If someone sends you more than they owe and asks for money back, it is a scam.
Already paid? Your first-hour plan
Scams can happen to anyone. Act fast, and do not be ashamed to ask for help. The sooner you act, the better your chances.
- Stop all contact with the scammer. Do not send more money, even if they promise to return the first payment.
- Call your bank, card company, or payment app using the number on your card or in the official app. Say, "This is fraud." Ask them to stop or reverse the payment and to protect your account.
- For a gift card or a wire, call the gift card company or the wire company right away. Keep the card, the receipt, and the transfer number.
- If you shared a password or a code, change your passwords and turn on two-step verification.
- Report the scam at ReportFraud.ftc.gov (in Spanish at ReporteFraude.ftc.gov). If it happened online, you can also report it to the FBI at ic3.gov.
- If you gave your Social Security number or ITIN, follow the steps in our lesson on protecting your identity.
"Hello, my name is [your name]. I am calling to report fraud on my account ending in [last 4 digits]. Today at [time], I sent $[amount] to [name or phone number the scammer used] because of a scam. Please stop or reverse this payment, block more payments to this person, and open a fraud claim. What is my claim number?"
Write down the date, the time, the name of the person you spoke to, and the claim number.
Watch out
Watch out for a second scam
After you lose money, scammers may contact you again. They say they can get your money back for a fee, or they pretend to be from the FTC or a law office. The FTC says government agencies and honest organizations will never ask for money to help you get a refund.
Scammers also follow the news. After a storm or flood, they pretend to be from FEMA or offer fast repairs if you pay for everything up front. FEMA does not charge application fees. Companies that promise to fix your credit are another trap: it is illegal for a credit repair company to charge you before it helps you.
For local phone numbers where you can report a scam, see Scams That Target Immigrants, Renters, and Job Seekers.
Key takeaways
- Only a scammer will tell you to move your money to keep it safe, or to pay a bill with a gift card.
- Do not use the link or phone number in a surprise message. Find the real contact information yourself.
- If a thief sends money from your account, you have strong rights. If you send it yourself after a lie, it is much harder to get back.
- Agree on a family code word to check emergency calls, even when the voice sounds real.
- If you paid a scammer, call your bank or the payment company right away, then report it at ReportFraud.ftc.gov.
Check your understanding
Answer the questions, then select Check my answers. Get 4 of 5 right to complete this lesson. This is practice: there is no time limit, and we do not keep your answers.
Go further
Trusted websites where you can learn more. These links go to other websites that Dollar Scholars does not run.
-
How To Avoid a Scam (another website)
The four signs of a scam, and simple ways to protect yourself.
-
Cómo evitar una estafa (another website)
The FTC guide in Spanish: four signs of a scam and how to protect yourself.
-
How To Spot, Avoid, and Report Fake Check Scams (another website)
How overpayment and fake check scams work, and who to call if you already sent money.
-
ReportFraud.ftc.gov (another website)
Report a scam to the FTC. The Spanish version is ReporteFraude.ftc.gov.
This lesson is general financial education, not legal, tax, or financial advice. Rules and amounts change, so check important numbers with an official source.