Two common examples of financial fraud are fake check schemes and phony lenders.
There are many variations on the fraudulent payment scam, but there’s a typical pattern: someone gives you money (via an electronic payment, check or money order) and then asks you to send cash in return. When it eventually becomes clear that the person’s story’s fake and their payment fraudulent, you are responsible for the money you sent them. Examples of this scam include:
You receive a notice that the lender who collects your mortgage payment has sold or transferred your service to another lender. But it turns out that the notice is a fake, and you start sending your mortgage payments to a phony lender!
Remember: under federal law, a loan servicer must notify at least 15 days before any such transfer. Their “goodbye letter” must include all of the contact information and start date for the new servicer. Contact your original lender to confirm that the transfer of service is legitimate.
Other variations on this scam include being charged phony taxes or fees.
Older people can be at increased risk of being taken advantage of by family, friends, or strangers.
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