5 Signs of Social Security Fraud

Impostor scams, in which a scammer pretends to be someone they are not, were the most common type of scam in 2022, according to the FTC Consumer Sentinel Network. Among the most popular impostor scams is the Social Security scam, where someone contacts you by falsely claiming to work for the Social Security Administration.

Many VERIFY readers have asked us questions about possible Social Security fraud. We’re CHECKING five things to watch out for so you don’t become a victim.

Fraudsters have been impersonating government agencies such as the Social Security Administration (SSA) for years. Typically, these scammers claim that if you refuse to pay or give them personal information, a government agency will come after you or you will miss out on the federal benefit you are entitled to, the Federal Trade Commission (FTC) says.

Fraudsters will use every means of communication — phone call, mail, social media posts and emails — to convince you to send money or provide them with personal information that can be used to steal your identity.

Here are five signs that you are dealing with a scammer and not with a Social Security Administration representative.

1. You are threatened with immediate payment

The SSA Inspector General’s Office states that if someone who claims to work for the SSA threatens to suspend your Social Security number, warns of an arrest or legal action, threatens to confiscate your bank account, or demands immediate payment, it’s a scam.

The Consumer Financial Protection Bureau (CFPB) states that SSA will never threaten you with arrest or other legal action if you do not immediately pay a fine or fee.

You can hear an example of such a scam call in the 2018 FTC alert. This shows how scammers use the vague form of “suspicious activity” to scare you into thinking you might be arrested if you don’t clear your name.

But the FTC is reminding people that none of these supposed threats are real.

“Your social security number will not be suspended,” says the Federal Trade Commission. “Your bank account will not be frozen.”

SSA will never require immediate or anonymous payment.

2. You are invited to pay with a gift card, cash, bank transfer or cryptocurrency.

SSA says it will never require payment with a retail gift card, cash, bank transfer, cryptocurrency, or prepaid debit card.

In fact, the CFPB says you should never pay a government fee or fine using these methods. “The scammers ask for payment in this way because it is difficult to trace and recover,” the CFPB said in a statement.

Instead, SSA and AARP say you’ll get a letter if you really need to send payments to Social Security.

“If you owe the agency money — for example, for overpaid benefits — you will receive a formal letter outlining your payment options and appeal rights,” the AARP said in a statement.

Typically, your payment options will either be through a secure government portal or through your financial institution.

3. You are asked to provide all or part of your social security number

An SSA representative will never contact you to request personal information, including all or part of your social security number, your banking information, or your credit card number.

The real SSA already knows your social security number, so you won’t need to verify your number when contacting you, says credit bureau Experian. If you initiate a call to an official SSA phone number, you may need to provide your social security number to verify your identity, but in this case you will still know that you are talking to a real SSA.

In general, you should always be suspicious if someone calls you or contacts you in any other way to request this kind of information, no matter who they say they are.

“Never give out your SSN, credit card number, or bank account number to anyone who contacts you,” says the FTC. “Always.”

4. You receive a call, letter, message, or email about a problem with your Social Security account

There are very few reasons why SSA would ever contact you without asking. If there is a problem with your Social Security account, you will usually receive an email or notification in your online My Social Security account. If a real SSA employee is calling you, you have recently contacted SSA.

“Typically, the SSA mainly calls people who have recently applied for Social Security benefits, someone who is already receiving payments and needs to update their record, or a person who has requested a phone call from the agency,” the post reads. S.S.A. “Unless a person is in one of these situations, they usually don’t get a call from the agency.”

The scammers will try to pose as legitimate when they contact you. For example, scammers can spoof the caller ID to make it look like the call is coming from the SSA. Do not pick up the phone if you do not expect a call or answer a missed call. Instead, call the number on the official SSA website to confirm that the agency is trying to contact you. This number is 1-800-772-1213.

But just because a letter comes in the mail doesn’t mean it’s automatically safe.

Social Security scammers sometimes send scam emails. Experian says they can use real logos, names, titles, and agencies in their mailing lists, and even provide “evidence” through fake documents, ID cards, and badges. One thing that the SSA and CFPB recommend that you do to spot fakes in this case is to look for spelling and grammatical errors.

And, as with suspicious calls, you should check other messages by calling the number on the SSA website, not the numbers in the email.

5. You are promised an increase in profits in exchange for your actions.

Sometimes, instead of scaring you with the likely consequences, a scammer may try to lure you in with a potential reward. But these offers are as false as the threats.

“SSA employees will never promise to increase your Social Security benefits or offer other assistance in exchange for payment,” the CFPB said in a statement.

Similarly, they may say that you can get additional benefits if you share sensitive personal information, such as your social security number. Again, this is a scam.

“The Social Security Administration offers periodic increases in living wage benefits to keep up with inflation, but you don’t have to do anything to get them,” says Experian. “When this increase is paid, you will be notified by mail and you will not need to take any action to receive it.”

What to do if you have been scammed?

If you are giving your personal information to a Social Security scam or other government impostor, the FTC encourages you to go to IdentityTheft.gov to report the scam and create a recovery plan to protect yourself.

Chances are, any money you pay the scammer will be gone by the time you realize you’ve been scammed. However, if you figure it out early enough, there’s a small chance you’ll be able to recoup your losses. Read here to find out how.

Whether you fall for a scam or not, you must report any Social Security fraud you see to the Federal Trade Commission and the Social Security Administration.