Tag Archives: Wire Transfer Fraud

Telephone scam targets grandparents

There’s another antique scam currently experiencing a renaissance: the telephone “Grandparent Scam.”

This one is really simple: thieves will call elderly people, posing as a grandchild and asking for money because of a car accident, arrest or other emergency. Alternately, they may claim to be a police officer or lawyer and tell the victim their grandchild has been hurt, arrested or in need of legal counsel. In either case, the victim is instructed to wire money to the thieves.

It’s a simple scam because it’s so easy to find out the names and ages of family members online. In fact, a single obituary might provide everything a crook needs to victimize family members of the deceased. However, an experienced “social engineer” might be able to pull it off cold, with very little information to start with.

Thieves using this technique are working under a set of assumptions:

  1. Grandparents will be less judgmental if a young person is in trouble with the law, which is why the “grandchild” is calling them instead of a parent
  2. Grandparents will be quick to panic if they think a grandchild is injured
  3. Elderly people can’t hear well, which means the thief doesn’t have to work very hard to disguise his or her voice
  4. Older people are less informed and less tech-savvy
  5. Elderly people may be ill or on medication, which can affect their judgment

Of course, in any individual case, none of these might be true, some of these might be true, or all of these might be true. Crooks use stereotypes as a way to select potential victims, knowing that one group (grandparents) will have a statistically higher rate of return than another (parents or siblings).

If you are a grandparent, be extremely wary of anyone calling who claims to be a grandchild in trouble. Ask questions that only the real grandchild would know. Hang up the phone and call him or her directly, or the parents. If the caller claims to have been arrested in Tijuana, but his parents say he’s in the living room in Des Moines, you’ve pretty much got your answer right there.

Don’t wire money to someone who calls just because they asked you to. Don’t panic. Take a breath or two, and figure out how you can verify beyond reasonable doubt who that caller is. Ask questions (the crook will likely hang up immediately). Call the parents. Call the grandchild. Do whatever it takes to verify the identity of the caller.

In all honesty, if someone is calling and asking you to wire money, I’d put 90% odds on it being a scam right away.

Worst. Scam. Attempt. Ever.

Here’s an attempt at an email scam that nobody should ever fall for. Seriously, it’s like they weren’t even trying:

From: “Mr. R. Jan” <[removed]@gmail.com>
Sent 9/6/2009 3:21:48 PM
To: [removed]
Subject: ATTENTION NEEDED

My name is Mr. Jan and I am contacting you from Liberia for
a mutual business relationship and investment.
I have some funds realized through contract brokerage and I
need your cooperation to invest the funds.
The first stage requires transferring the funds to your
account for subsequent investment.
I therefore want you to work with me as a partner.  On
receipt of your response, I will send you full details of
the transaction and more information about myself.  I
am waiting for your prompt response.
Jan

I’m not even going to bother picking this thing apart. Yes, it’s a total scam. Yes, you should just delete it. No, it’s not a real investment opportunity.