Scammers are getting more sophisticated, and Social Security fraud often puts older adults at risk. Pure’s Financial Advisor, John Burkhardt, CFP® shares the top five scams to watch for and how to protect yourself.
Transcript
We’ve all heard the expression, hook line and sinker and all too often it sounds like we’re the catch! Seems like there are new Social Security scams every month; calls, emails, texts and even in person. Most of the time they’ll want you to confirm your SSN to reactivate it or will ask for money to keep your identity safe. Don’t do it, it’s a scam, every time! Here are the top 5 scams to watch out for.
- Impersonating Social Security Administration officials: One of the most common Social Security scams involves people posing as SSA officials claiming there is a problem with your Social Security benefits.
- Fake Social Security card: Scammers also target individuals seeking replacement Social Security cards. Offering to expedite the process or claim you need to pay a fee for a new card, which is typically free.
- Suspension of benefits: Fraudsters claim that your Social Security benefits will be suspended due to criminal activity or a problem with your account. They’ll usually demand immediate payment or personal information to resolve the issue.
- Social Security overpayment: In this scam, fraudsters say that you have received excess Social Security benefits and you must repay them immediately.
- Investment opportunity: Scammers claiming they can boost your Social Security benefits or provide you with additional income. These schemes often require upfront fees or involve fraudulent investments.
Here are some ways to defend yourself from scams.
First understand that the Social Security will not threaten to suspend your benefits or ask you for payment without prior communication.
Never give any part of your Social Security number or share personal information unless you initiate the contact.
Verify the legitimacy of any claim by calling the official SSA phone number or visit the website or go into a local office.
Be skeptical of any investment offer that promises to increase your Social Security benefits.
And if you feel that your Social Security number has been exposed or misused, go online to identitytheft.gov to report.
Seniors are often stereotyped as the most vulnerable, due to social isolation and lacking a family support system to help these identify these clever schemes.
Don’t let your guard down, let your conscience be your best defense, if it sounds too good to be true, or your pressured with a sense of urgency to act, or threatened with repercussions, its most likely a scam.
If you would like more information about Social Security download our free guide the Social Security Handbook, it’s a terrific resource to have.
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IMPORTANT DISCLOSURES:
• Investment Advisory and Financial Planning Services are offered through Pure Financial Advisors, LLC, a Registered Investment Advisor.
• Pure Financial Advisors LLC does not offer tax or legal advice. Consult with your tax advisor or attorney regarding specific situations.
• Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
• Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
• All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy.
• Intended for educational purposes only and are not intended as individualized advice or a guarantee that you will achieve a desired result. Before implementing any strategies discussed you should consult your tax and financial advisors.
• Pure Financial Advisors, LLC, is not affiliated with any government agency, including, but not limited to the Social Security Administration.
CFP® – The CERTIFIED FINANCIAL PLANNER® certification is by the CFP Board of Standards, Inc. To attain the right to use the CFP® mark, an individual must satisfactorily fulfill education, experience and ethics requirements as well as pass a comprehensive exam. 30 hours of continuing education is required every 2 years to maintain the certification.
