https://consumer.ftc.gov/consumer-alerts/2023/11/veterans-and-scams?utm_source=govdelivery
Consumer Alert
Veterans and scams
By
Carol Kando-Pineda
Counsel, Division of Consumer and Business Education, FTC
November 6, 2023
As we approach Veterans Day, we thank our veterans for their service and sacrifice. But not everyone has a vet’s best interests in mind. Whether you left the service decades ago or you’re planning your transition to civilian life, scammers will try to get you to send money or share personal information. Scammers also want to get their hands on the valuable benefits you earned through military service. What are some ways to know you’re dealing with a scammer?
First know how scammers operate. Imposter scams come in many varieties but they work the same way: scammers call, text, email, or reach out over social media and pretend to be someone you trust to convince you to send them money. Scammers may pretend to be from a government agency and say you need to pay a fine. Or they may pose as an online love interest who needs you to send money for an expensive medical procedure. The scammer may offer you a job, too, but say you need to pay a fee before you get hired. Scammers may claim to have some affinity with the military to gain your trust so you won’t dig too deep into what they’re saying.
Second, know how scammers ask you to pay. No matter what the story is, only scammers will insist that the only way you can pay is by cash, gift card, cryptocurrency, payment app, or a wire transfer service. These methods make it almost impossible to get your money back, which is why scammers insist you pay that way. Stop. Don’t pay.
Over the next few weeks, we’ll highlight some of the ways scammers try to get at your veterans benefits — and ways you can spot and avoid those scams. One way to recognize Veterans Day is to share the advice about avoiding scams and encourage the veterans you know to sign up for the latest updates to stay a step ahead of scammers.
Search Terms
Scams
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Consumer Alert
Don’t let scammers poach your pension and disability benefits
By
Carol Kando-Pineda
Counsel, Division of Consumer and Business Education, FTC
November 7, 2023
Today we’re focusing on how dishonest “advisers” may try to get your pension benefits and disability compensation, including benefits under the PACT Act. Applying for VA benefits is free and you can also get legitimate free help. How can you protect your benefits and get free help filing your claim?
- If you want help with applying for benefits, use VA-accredited agents, Veterans Service Organizations (VSOs), or accredited attorneys. Start by confirming that the person helping you is accredited by the VA. The VA’s Office of the General Counsel maintains a searchable list of approved individuals. Check this list before discussing your pension or other benefits with anyone outside of the VA.
- Read all the papers and the contract carefully. Understand all the terms, conditions, and implications of what someone helping you — even a VA-accredited adviser — is asking you to do. Remember, no one can guarantee you’ll get benefits from the VA. Even accredited people on the VA’s Office of the General Counsel list can’t guarantee that you’ll get VA pension or disability benefits after you apply.
- Don’t work with anyone who pressures you — especially if they pressure you or advise you to move your money around to qualify for a benefit. When VA discovers you don’t qualify, you have to pay back any benefits they already paid you. And you might lose other government benefits or tie up money that you need to live on.
- Safeguard your personal information. Never share your VA login credentials or password. Protect your information and data by using strong passwords and multi-factor (also called two-factor) authentication. Check out VA’s advice on setting up multifactor authentication on your VA accounts.
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For Release
FTC Providing Refunds to Consumers who Lost Money to Tech Support Scheme
NTS made millions from scheme that used fake security scans, falsely claimed affiliation with companies such as Microsoft, Apple
November 7, 2023
Tags:
- Consumer Protection
- Bureau of Consumer Protection
- Imposter
- deceptive/misleading conduct
- consumer refunds
- Technology
The Federal Trade Commission is providing full refunds to consumers who lost money to the NTS IT Care tech support scheme, which tricked consumers into buying expensive and unnecessary tech support services and often claimed to be affiliated with Microsoft, Apple, and other tech companies. According to a complaint, they often targeted older Americans and those unfamiliar with computer security.
The refunds stem from a 2020 settlement the FTC reached with NTS IT Care, Inc., and its CEO, Jagmeet Singh Virk. The FTC’s case against Virk and NTS had been under seal until earlier this year pending the outcome of a criminal case involving Virk and NTS brought by the Department of Justice.
“As a recent report to Congress makes clear, the FTC is committed to taking action to protect older consumers from scams like these that have a disproportionate impact on them,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “And, what’s more, the FTC will keep working with DOJ to ensure criminal prosecutions follow criminal conduct.”
In its complaint, the FTC said that NTS lured consumers through alarming and deceptive pop-up warnings that appeared when consumers browsed the Internet and often disabled their browsers. The pop-ups looked like a security alert from the computer’s operating system and falsely claimed that a consumer’s computer had been compromised by malicious software, such as a virus or spyware. The pop-up further stated that the computer had been “blocked,” and that the consumer’s personal information was being stolen. The pop-ups sometimes falsely claimed to be from Microsoft, Apple, or another legitimate tech company and instructed consumers to immediately call a toll-free number for help.
When consumers called the number, the company’s sales representatives ran bogus diagnostic scans to convince consumers that their computers needed immediate repair and used high-pressure and deceptive sales tactics to push consumers to buy multi-year technical support service packages that cost as much as $499. NTS and Virk made millions of dollars from the scheme.
Now, the FTC is using money obtained as part of the settlement to provide payments totaling more than $255,000 to 272 consumers who provided victim statements in the case against Virk and NTS. The average refund amount is $937. Most consumers will receive their payment by check and will have 90 days to cash their checks. Consumers who have questions about the refunds should contact the refund administrator by phone at 866-441-9746 or by email at NTSITCare@refundadministrator.com.
The settlement imposed a $4.9 million judgment against NTS and Virk, which was partially suspended due to their inability to pay the full amount. In addition, NTS and Virk are permanently prohibited from selling or marketing any tech support service and from benefitting from any personal data they collected from consumers. They are also permanently banned from engaging in misleading telemarketing practices and from trying to collect payments from customers for technical support services they previously sold.
The Commission vote authorizing staff to file the complaint and stipulated final order was 5-0. The Commission voted on the matter prior to the departure from the FTC of former Chairman Joe Simons as well as former Commissioners Rohit Chopra, Noah Joshua Phillips, and Christine S. Wilson. The FTC filed the complaint and final orderin the U.S. District Court for Northern California. The court approved the stipulated final order in December 2020.
The lead FTC staffers on this matter were Ronnie Solomon and Sarah Schroeder from the FTC’s Western Region San Francisco.
The FTC would like to thank the Department of Justice, FBI, Santa Clara County District Attorney’s Office, the Regional Enforcement Allied Computer Team (REACT Task Force), and the Better Business Bureau of Los Angeles & Silicon Valley for their assistance with this matter.
The Commission’s interactive dashboards for refund data provide a state-by-state breakdown of refunds in FTC cases. In 2022, Commission actions led to more than $392 million in refunds to consumers across the country.
The Federal Trade Commission works to promote competition and protect and educate consumers. Learn more about consumer topics at consumer.ftc.gov, or report fraud, scams, and bad business practices at ReportFraud.ftc.gov. Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.
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Business Blog
New resources to help protect consumers and small businesses from fraud
By
Lesley Fair
November 8, 2023
Consumers speak many languages and unfortunately scammers are conversant in all of them. That’s why the FTC has reinforced its fraud fighting capabilities by collecting scam reports in multiple languages. As a member of the business community, you can lend a hand by sharing these new resources with employees, friends, and others in your network.
To report in Mandarin, Tagalog, Vietnamese, French, Arabic, Korean, Russian, Portuguese, Polish, and many other languages, consumers can call the FTC at (877) 382-4357, and press 3 to speak to an interpreter. To report identity theft, they can call (877) 438-4338 and choose the option for their preferred language. Lines are open between 9AM-5PM Eastern Time.
For consumers who prefer to report in English, a visit to ReportFraud.ftc.gov or IdentityTheft.gov will get them immediate guidance on the next steps to take. Spanish-speaking consumers can go to ReportFraude.ftc.gov or RobodeIdentidad.gov.
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The FTC also just announced additional online resources for consumers in multiple languages with to-the-point guidance on how to avoid scams. Prefer it in print? Visit ftc.gov/bulkorder to order free copies.
In addition, we have a new resource for entrepreneurs. The revised publication Scams and Your Small Business is now available in English, Spanish, Simplified Chinese, Korean, and Vietnamese. Share this useful guide with members of your local business community. Every page features actionable advice on how to spot, stop, and report questionable practices that target small business owners.
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