How to Avoid Financial Scams

Photo by Alexander Mils on Unsplash

With the benefits of the ease of communication in the world today, there come a few drawbacks. One of these drawbacks is the amount of financial scams that are circulating. We must all be aware of the tactics that are used in order to avoid them and invest our finances in the right places that will actually bring a return instead of loss. Here are some basic rules to follow:

1. Do Not Share Your Financial or Personal Information

Of course this sounds like a no-brainer, but there are many scams that involve an imposter posing as someone they are not, such as an employee of your bank, or lately, the Internal Revenue Service. Often they will ask you to confirm your credit card number or Social Security number by telling them what it is. Never give your financial or personal information to anyone over the phone who has initiated the call, no matter how legitimate they appear.

2. Question Odd Communications, Even From Acquaintances

If an old friend or a family member you rarely talk to sends you a second friend request on Facebook or other social media and then sends you a private message filled with awkward conversation, spelling errors, and a desperate plea for money, think twice. It is wise to question whether they are legitimate.