Beware of Military Scams: Protect Yourself from Fraudulent Schemes

Military scams have been around almost as long as soldiering itself, with thieves, hustlers and con artists constantly trying to find new ways to deprive military personnel of their hard-earned money. And while today’s rapidly advancing technology has made it more difficult for scammers to ply their trade, many are more sophisticated than in the past and there are still plenty of cons for today’s servicemen and women to be wary of.

According to the 2024 Consumer Affairs Identity Theft Statistics Report, the most common types of identity theft were credit card fraud (40% of all cases), online shopping fraud, fraud tied to emails and social media, and medical services and insurance fraud. Victims may not only suffer financial loss, but may also have to work through the tedious tasks of reporting these incidents to law enforcement, cleaning up their credit reports and opening new accounts.

While no one is immune to fraud, active-duty military can be more vulnerable than the general population. The rigors of deployment make it especially challenging for service members to notice identity theft, and they may not receive fraud notifications in a timely manner. Active-duty service members also proved to be 22% more susceptible to becoming the victim of a scam than those in the general population. According to the Federal Trade Commission (FTC), the military community reports losing more money to scams than civilians, with a median loss of $750 compared to $500.

Common Military Scams

The Better Business Bureau (BBB) revealed more people losing money to scams in 2023 than in the previous year, an increase for the first time since 2020. Their research also details the enhanced risk for the military community, including these common military money scams:

Home improvement scams

During deployment, military families are often targeted by contractors who agree to do house repairs but vanish after receiving a down payment on the work. These types of scammers may hit after a major storm when deployed military families are unable to view the damage in person. If a bid seems too high, consider contacting different contractors. Take the time to get multiple bids for any job, be on the lookout for red flags and check out customer reviews on the BBB website.

Employment scams

Employment scams remain the second riskiest scam for 2023, according to the BBB. When military members transition to a civilian career, scammers may try to take advantage of their inexperience. Legitimate employers will never ask for money or personal information up front, so be skeptical if either of these scenarios comes up. It’s important to use reputable job search engines and do your research on any company or recruiter.

Home rental scams

For families who are PCSing, real estate websites are a great starting point when looking for a new home. If you don’t plan to live on base, though, make sure you’re dealing with a legitimate agent and, if possible, inspect the property in person. Con artists may try to talk you into a down payment on a house that doesn’t exist. Don’t fall for it, regardless of how pretty the photos are. If you have friends or family nearby, ask them to view the house in person for you. Also, don’t be afraid to ask for live video tours of the home. 

Other Vulnerable Groups

In addition to countless military scams, the FTC has identified the following populations as most vulnerable to fraud:

• Children and the deceased. Because minors don’t typically have credit, identity theft can go unchecked. Parents should get in the habit of checking their children’s credit whenever they do a credit check for themselves. Similarly, relatives of the deceased need to be on alert for scammers who target the obituaries.
• Seniors. Aging adults may not be as savvy as they once were, and they’re often overly trustworthy when approached by scammers. Talk to your parents or grandparents about the risks associated with phone and online scams and advise them against providing personal information to anyone they do not know. Even if the person claims to be associated with an organization with whom they do business, suggest that they call that organization back to verify the validity of the call.
• Social media users. In 2023, for the first time, social media became the primary means of contact for scammers. Beware of over-sharing personal information via social media and monitor your accounts on a regular basis. Consider looking at the privacy permissions on your social media accounts and who you allow to contact you. When you have the proper tools in place, you can limit the access scammers have to you. 

At First Command, we strive to provide convenient, accessible service to our clients while maintaining their security and privacy. Whenever you interact with us online, your data is protected through encryption technology that scrambles the information. You can feel confident knowing we will never sell your information, and our stringent security protocols ensure client confidentiality.