[00:00:03] Speaker A: Welcome. Welcome, everyone, to behind the Scams, where we expose those pesky fraud tactics and help you guys protect yourselves from becoming a victim. I'm sue from Stamp Out Scams, and today, well, I'm really excited because I've got a very special guest with me. It's my daughter, Sarah, who volunteers with us and brings a unique millennial perspective.
[00:00:32] Speaker B: Hey. Hey, everyone. I'm, like, totally stoked to be here with my mom today. We're gonna, like, dive into something that's becoming, like, a major issue for my generation. It's super important for us to, like, talk about these things openly and, you know, work together to find solutions.
Solutions that'll, like, make a positive impact, you know, on our future. One thing I wanted to mention, mom, before we kick into this episode.
[00:00:55] Speaker A: What's that, Sarah?
[00:00:57] Speaker B: Well, like, I'm a little nervous, you know, first podcast and all, so, like, bear with me while I chill out a bit. But, like, don't worry, these are good nerves. I'm. I'm really excited to be here.
[00:01:08] Speaker A: Oh, honey, no worries. I totally get it. I've done a few of these with Nick as co host, but this is my first time flying solo, so, like, I'm a little jittery too. We can, like, totally be nervous together, right?
[00:01:22] Speaker B: Thanks, Mom. I appreciate it.
[00:01:24] Speaker A: So, before we dive in, I wanted to mention you've already been such a huge help in understanding how these scammers are targeting, like, younger people for our listeners. Sarah was born in 2000, so she's a proud Gen Z. Er, yes.
[00:01:40] Speaker B: Totally Gen Z and proud. And I can tell you, I know way too many people my age who've been scammed. In fact, just recently, I almost became a victim myself. It all started with a text, supposedly from my bank. It asked if I recognized a purchase of $375 on my debit card. You know, reply yes, if you recognize it, no if you don't, that sort of thing.
[00:02:06] Speaker A: Oh, no. Did you. Did you respond?
[00:02:08] Speaker B: I did. I totally did. Like, the text looked so legit and it freaked me out. So, like, I replied no, because, you know, I definitely hadn't made a purchase like that.
[00:02:18] Speaker A: That totally sounds like a scam. So what happened after you responded?
[00:02:23] Speaker B: Well, it was funny because, like, two minutes later, my phone rings and the caller ID shows Wells Fargo.
[00:02:30] Speaker A: Oh, wow. Did you answer?
[00:02:32] Speaker B: No. Luckily I was, like, at work and too busy. When I checked later, they hadn't left a message, which I thought was weird. So, like, I googled the number.
[00:02:39] Speaker A: Smart move. So what did you find?
[00:02:42] Speaker B: Well, it was a toll free number. Which, you know, didn't seem too strange at first, but.
But when I googled it, tons of results popped up. Mostly Reddit posts saying it was a number used by scammers.
[00:02:55] Speaker A: That's great, Sarah. You did exactly the right thing. Don't answer and verify the number later.
[00:03:01] Speaker B: G. Mom, are you proud of me?
[00:03:03] Speaker A: Of course I am, honey.
[00:03:04] Speaker B: So the funny thing is, after work, I called Wells Fargo directly, and no surprise, there were no suspicious withdrawals on my card. Totally relieved.
[00:03:12] Speaker A: Well, Sarah, you almost became a victim of what's called the bank fraud department scam. It's super common and people are losing a ton of money to it. It's really alarming what we're seeing. So today we're gonna dive into why millennials and Gen Z are becoming, like, increasingly vulnerable to these financial scams.
[00:03:38] Speaker B: Exactly, mom. And what a lot of people don't realize is that, like, despite the stereotype of older adults being the main targets, it's actually my generation and Gen Z who are losing money at a much higher rate.
[00:03:49] Speaker A: And those numbers are truly shocking. A recent bank rate survey found that roughly one in three American adults encountered some form of financial fraud or scam in just the past year.
[00:04:02] Speaker B: An even more concerning mom is that of those who, like, encountered scams, nearly two in five actually lost money. We're not talking about a few isolated incidents. This is like a massive problem affecting millions of Americans.
[00:04:14] Speaker A: Wow, Sarah, sounds like you've been doing your homework. And unfortunately, the Federal Trade Commission's latest report really puts this into perspective. In 2023, Americans lost more than $10 billion. That's billion with a B to scams. This represents the highest level of fraud losses ever recorded in US History.
[00:04:38] Speaker B: It's like, really disturbing how sophisticated these scams have become. It's not just the, you know, Nigerian prince emails anymore, is it?
[00:04:46] Speaker A: No, not at all. The landscape has evolved dramatically. These fraudsters are using increasingly sophisticated methods that can fool, like, even the most careful people.
[00:04:58] Speaker B: I've seen firsthand how they adapt their tactics for like us Gen Zers. They study our behavior, use social media, even monitor current trends to make their schemes more believable.
[00:05:09] Speaker A: Right, and it's particularly concerning that while many people think they could never fall for a scam, the statistics tell a different story. When one third of adults are encountering these attempts, it shows just how widespread and effective these tactics are.
[00:05:29] Speaker B: And the thing is, mom, the $10 billion figure only represents the reported losses. So many people, like, feel too embarrassed to report when they've been Scammed. I have a friend who lost like $200 but was too embarrassed to even report it. She didn't think it mattered.
[00:05:44] Speaker A: That's a great point, Sarah. That stigma often prevents people from coming forward, which unfortunately only helps the scammers continue their operations. Und as a millennial, I can tell.
[00:05:56] Speaker B: You exactly why my generation and and Gen Z are falling victim more often.
[00:06:01] Speaker A: Really? Well, this is important for others to know. So, like, clue us in.
[00:06:06] Speaker B: Well, mom, my generation grew up in a digital world, right? Everything, like, everything happens online. Dating, banking, shopping. This constant connection can be overwhelming and, and sometimes it makes it hard to like, disconnect and be present. It's important for us to find a balance between, you know, our digital lives and real world experiences.
[00:06:27] Speaker A: That's interesting, Sarah. How do you think this digital familiarity affects your generation's vulnerability to scams?
[00:06:34] Speaker B: I think it actually works against us sometimes. We're so used to doing everything through apps and websites that we don't always question things like when a payment request comes through Venmo or you see, like an amazing deal on Instagram, it just feels like totally normal. That can make us more vulnerable if we're not careful.
[00:06:53] Speaker A: And I imagine scammers are taking advantage of this comfort with digital transactions.
[00:06:59] Speaker B: Oh, yeah, absolutely. They know exactly what platforms we're using and and how to make their scams look, like, legit. For instance, some friends of mine have lost money to fake job offers on LinkedIn or like, crypto schemes, promising quick returns. It's crazy how convincing they can be, mimicking the look and feel of real opportunities.
We need to be more alert and educate ourselves on how to spot those red flags.
[00:07:23] Speaker A: You mentioned cryptocurrency. That seems to be a particularly troublesome area for younger people. Tell us, Sarah, is it?
[00:07:31] Speaker B: It really is. Many of us see crypto as a way to, like, build wealth quickly, especially when we're struggling with student loans and the cost of living. Scammers prey on that desperation with promises of guaranteed returns. Like crazy ass returns.
[00:07:48] Speaker A: What other tactics have you noticed targeting your generation specifically?
[00:07:53] Speaker B: Buy now, pay later Scams are huge right now.
We get these amazing offers for luxury items at, like, seemingly affordable monthly payments, but they're often fake stores that disappear with our money.
Also, those side hustle opportunities that promise easy money working from home, they're like, everywhere on social media.
[00:08:12] Speaker A: And why do you think younger people are more likely to lose money when they encounter these scams?
[00:08:18] Speaker B: I think it's partly because we're often dealing with financial pressure. Right.
When you're Living paycheck to paycheck. That promise of extra income or like a great deal is really tempting. Plus, you know, we tend to make quicker decisions. If a deal looks good, we like, jump on it before it disappears.
[00:08:35] Speaker A: That's exactly what scammers count on, that sense of urgency.
[00:08:39] Speaker B: I know, and it's really scary.
There's also this misconception that because we're tech savvy, we can't be fooled. But like, the reality is, our comfort with technology sometimes makes us overconfident.
We might not stop to verify things as carefully as we should.
[00:08:57] Speaker A: Let's dive deeper into these modern scam tactics because they are becoming increasingly sophisticated. Sarah, you mentioned text message schemes earlier. What are you seeing?
[00:09:09] Speaker B: These text scams are getting really clever. Just last week I got a text saying I had won a free gift card from Amazon and all I needed to do was like, click a link to claim.
Seemed so tempting. But I remembered hearing about similar scams so I ignored it. Many millennials get caught by these because they play on our desire for deals and rewards. The text even showed up as being from Amazon.
[00:09:34] Speaker A: That's called spoofing and it's becoming a huge problem. These scammers can make their messages appear to come from like, legitimate sources. Let's talk about these fake job offers. They seem to be particularly devastating because they target people who are actively looking for work. They're everywhere now. Scammers are posting fake remote positions and conducting like entire interview processes over chat. The red flag usually comes when they ask for payment for training materials or background checks.
[00:10:11] Speaker B: Mom, I am curious. How much are people typically losing to these job scams? Do you know?
[00:10:15] Speaker A: From what I've seen, people are losing anywhere from $50 to several thousand dollars. The scammers often send fake checks that look completely real, asking victims to purchase equipment or software from specific vendors.
[00:10:31] Speaker B: You know what? I've seen a lot of investment scams, especially investments into crypto. My generation is one of the most active in crypto investments. But the level of knowledge among my generation about cryptocurrency is like spotty.
Many just see the high returns but don't know how dangerous these investments can be.
[00:10:51] Speaker A: Yes, and those crypto scams are so sophisticated now they create entire fake trading platforms with like real time charts and graph. Victims can log in and see their investments growing. But it's all fake. When they try to withdraw suddenly there are fees or technical problems.
[00:11:13] Speaker B: And what about these romance investment scams we're hearing about? That scam has a weird name. I can't remember what it's called. Do you know what I mean? The one I'm talking about.
[00:11:21] Speaker A: Oh, yeah. That scam is called the pig butchering scam.
[00:11:24] Speaker B: Yeah, that's it. What a weird name. But I guess it's pretty lucrative for scammers, right?
[00:11:28] Speaker A: Yes, they are. And they're particularly nasty. Scammers build relationships over dating apps, then slowly introduce investment opportunities. They'll show their victims how much money they're making through, like, certain crypto platforms or forex trading.
[00:11:46] Speaker B: I guess the emotional manipulation makes it especially hard for victims to see through the scam.
[00:11:51] Speaker A: It really does. And once someone has invested a little bit and sees those fake returns, the they're often convinced to invest more. I've seen people lose their entire life savings this way.
[00:12:02] Speaker B: Boy, mom, these scammers are sketchy and really know how to rip people off.
[00:12:07] Speaker A: They absolutely do. As soon as one scam gets widely reported, they switch to something new. Right now, we're seeing a lot of AI generated voice scams where they can make it sound like someone you know is in trouble and needs money immediately.
[00:12:24] Speaker B: Well, mom, I actually do have a story. It's, like, not my personal scam story, but it happened to one of my best friends.
[00:12:29] Speaker A: Oh, interesting. Let's hear it, girl.
[00:12:31] Speaker B: So this happened to my friend Jenna, and honestly, it made me rethink, like, ever giving money to anyone on the street again. Not that I do it on a regular basis, but I, like, doubt if I ever will again.
[00:12:41] Speaker A: Oh, no. What happened?
[00:12:42] Speaker B: Well, Jenna was out running errands, just a normal Saturday afternoon, when she saw this group of people near a shopping center with signs about raising money for a little boy who supposedly needed a bone marrow transplant.
They had a picture of this adorable kid, big, sad eyes, and they were really playing on people's emotions.
[00:13:01] Speaker A: Ugh. These scams always start with a heartstring pull, right?
[00:13:05] Speaker B: So they were approaching people directly, and one of the women came up to Jenna and started telling her this story how the boy's family was undocumented, so they couldn't afford the medical bills, and. And the hospital wouldn't treat him without payment up front.
[00:13:19] Speaker A: That's a heavy story.
[00:13:20] Speaker B: Exactly. And Jenna is, like, a super compassionate person, so she felt like she had to help. But here's where it gets wild. They told her they could only accept cash or Venmo because supposedly the charity didn't have a bank account due to their immigration status.
[00:13:37] Speaker A: That's a major red flag.
[00:13:38] Speaker B: Huge. But at that moment, Jenna wasn't thinking like that. She just Wanted to help, so she venmoed them $50 right there in the parking lot. They even had a QR code on a clipboard so it looked official. I mean, mom, me and my friends use Venmo all the time. We use it to pay for just about anything. It's like our modern day version of cash. So for Jenna, paying through Venmo was the best option since she had no cash.
[00:14:02] Speaker A: Oh, no. And let me guess, once she started asking questions later, things didn't add up.
[00:14:08] Speaker B: Yep. That night, she told me about it, and I had a bad feeling.
I looked up the story online. Nothing. No record of this kid needing treatment. Then we reverse search the image on the flyer, and boom. It was a stock photo.
[00:14:24] Speaker A: No way. But I tell you what, Sarah, being involved with our nonprofit and seeing all types of scams, I am not surprised in the least. Scammers just have no heart, and they will exploit victims by any means necessary.
[00:14:38] Speaker B: I know.
We called the police and they said there had been similar scams reported in nearby towns. But the scammers were long gone. And since she sent the money through Venmo, there was no way to get it back.
[00:14:50] Speaker A: That's awful. These scammers prey on people's kindness.
[00:14:53] Speaker B: Exactly. And now Jenna feels completely betrayed. She's beating herself up for falling for it, but honestly, they were so convincing.
[00:15:00] Speaker A: So what should people do if they see something like this?
[00:15:03] Speaker B: First, if you really want to help a cause, donate through a verified website. Never on the spot, especially if they, like, pressure you.
Second, research before giving. If there's no record of the fundraiser online, that's a problem. And third, if someone insists on cash or Venmo, that's a giant red flag.
[00:15:19] Speaker A: That's great advice. I hate that Jenna had to learn this the hard way, but hopefully people listening can avoid the same trap. But I think the scammers know that Gen Z and millennials love to use Venmo. They make sure to offer it as a donation option.
[00:15:35] Speaker B: That's exactly why they do it. My friends and I don't carry a lot of cash, since we can do most of it electronically.
[00:15:41] Speaker A: Before we wrap up today's episode, I want to emphasize how crucial it is for young adults to stay alert to scams, since the pandemic scams have exploded more than ever. But, Sarah, what's your final piece of advice for our millennial and Gen Z listeners?
[00:16:00] Speaker B: The most important thing I like tell my peers is to slow down. Scammers rely on creating a sense of urgency to make you act quickly without thinking if someone's pressuring you to make an immediate decision about money, that's a huge red flag. And remember, even though electronic money transfers are easy for all of us now and and like nowadays, be careful when you use it because scammers love to use these payment methods in their scams.
[00:16:22] Speaker A: That's excellent advice. And remember, legitimate organizations will never pressure you to share personal information through unsolicited calls or texts. I also want to remind everyone that if something seems too good to be true, it probably is those amazing investment opportunities or guaranteed job offers that pop up in your DMs. Take a step back and verify everything independently. For our listeners who want to learn more about protecting themselves, we have several resources available. You can visit our
[email protected] for detailed guides on the latest scams and prevention tips. Also, Nick has integrated an AI chatbot into our website. Just click on the chatbot and ask it any scam related question and it will give you an instant response. It's really easy to use and an important tool for helping avoid scams. And don't forget, if you've been a victim of a scam, report it to the Federal Trade
[email protected] complaint. You can also call our helpline at Stamp Out Scams for guidance on next steps. The most important thing is to remember you're not alone. There's no shame in falling for a scam. These criminals are sophisticated and constantly evolving their tactics.
[00:17:51] Speaker B: Thanks for inviting me on Mom. It was really fun. Next time let's tackle something less stressful like why you still can't figure out how to use emojis properly.
[00:17:59] Speaker A: Oh, so I guess there are both mom jokes and daughter jokes. Maybe we should start a comedy duo. I'll handle the puns and you can explain why my tech skills are stuck in the 90s.
[00:18:11] Speaker B: That's right. Thanks again. Now give me my allowance.
[00:18:14] Speaker A: Checks in the mail or do you take Venmo? Anyways, thank you all for listening to behind the Scams. Stay safe, stay alert, and remember, knowledge is your best defense against scammers. Bye for now.
