Recovery efforts after a hurricane bring out the best in humanity.  Unfortunately, fraudsters also use this time of vulnerability to further victimize the unsuspecting.  Below are some common post-disaster scams, red flags, and how you can avoid becoming a victim.

Advanced Fee Construction Scams

A fraudster will tell you he or she can perform repair work but first needs money for supplies.  Once the deposit is made, you never see them again. 

Red Flags – an out-of-state “contractor”; no pick-up truck; no professional indicators such as shirt, business card, vehicle signage; no references; an unsolicited approach

Precautions – photograph the individual’s driver’s license, truck, check https://www.myfloridalicense.com or call 850.487.1395 for license verification.  Ensure you have a clear written contract with them.  This contract can be a short 1 or 2 paragraph form that clearly states that your deposit will be used to purchase supplies for your house, the work will be completed in a defined amount of time, etc.   Avoid paying in cash if possible, for the deposit (use Venmo, credit card, Zelle, check) to leave a record.  Do not make final payment until all the work is completed to your satisfaction.

Job Scams

Fraudster will prey on people out of work and advertise jobs that sound too good to be true.  These jobs may be work from home, mystery shopper, reshipping, etc. Other jobs may require you to be a “payment processor” and open bank accounts or use your own to forward payments overseas.  In actuality, you will become a “money mule” who is laundering money from other scams.

Red Flags – The employer asks for payment for a background check or a cancelled check for direct deposit.  The employer sends you a check and then requests partial repayment or that you purchase gift cards with the money.

Precautions --  Do not respond to unsolicited offers of employment.  Ensure the company is established and reputable.  Never cash/deposit a check and use the proceeds to send money back to the originator or buy gift cards. Wait until your bank tells you that the check has cleared before you use the funds.

Housing Scams

Fraudsters know people are looking for housing and will create fake ads.

Red Flags – The rental company will request that you wire money to hold the rental unit or other payment before a lease has even been signed or you have seen the location.  The landlord claims to be overseas and can only communicate via email or at pre-arranged times.

Precautions – Ensure you see the apartment and lease before you make any payments.

Fake Government Assistance Scams

A fraudster will pretend to be from a governmental agency and request an advanced fee or personal information from you.  The advanced fee will quickly disappear with them.  Your personal information will be used to apply for legitimate government benefits that will be sent to them or to open credit card accounts.

Precautions – The government will never request payment from you for relief supplies.  Ask to see official identification.  Report fraud at StopFEMAFraud@fema.dhs.gov , 866-223-0814, or https://www.usa.gov/state-consumer/florida  If they claim to be a  “FEMA inspector,” let them know you did not apply for assistance. If the inspector has left, call the FEMA helpline at 800-621-3362 to tell them that you did not apply. FEMA will stop all further processing for the application.

Charity Fraud Scam

A fraudster will solicit donations for a charity that does not exist.

Precautions –  Only donate to charities that you know have established histories.  Be careful of crowd-funding websites that post requests for monetary donations.  The hosting site may not have verified the legitimacy of the need and request.

If in doubt, you can call 1-800- 435-7352, or use Florida’s online Check-A-Charity tool at https://csapp.fdacs.gov/CSPublicApp/CheckACharity/CheckACharity.aspx. You can also visit www.Give.org.

A red flag common to nearly all of these scams is unsolicited contact by a hitherto unknown entity.  Scammers will use phone, text, mail, email, and even go door to door to target residents of affected areas following hurricanes and damaging storms.  They may pretend to be from your insurance company, an insurance adjuster hired by your insurer, your bank, a charity, etc.  As always, do not open unknown emails.  If you have any doubt, do not give identifying information out to them to “confirm your account.”  You can hang-up the phone and call a known number for that entity.  The National Flood Insurance Program can be reached at 1-800-638-6620.

If you are visited in person by someone you are not sure of and who seems to be a fraudster, obtain as much information as you can about them to include their vehicle.   When safe to do so, call 911.  Patrol officers may be able to find them in the area and prevent further frauds.

I hope you and your family are on the road to recovering from this horrible storm and the above tips prevent you from falling victim to a fraudulent scheme. Join us for a deeper dive and learn how to protect yourself even more at our Lunch and Learn via Zoom. Register here.