Imposter Scams: How to Stay Safe From the Top Fraud of 2025

Think you know all the latest scamming methods? Think again. Scammers are constantly evolving their strategies.

Notwithstanding the various types of scams, imposter scams currently rank as the top fraud in the United States. According to the Federal Trade Commission, imposter scams cost consumers $2.7 billion in 2023 alone.

New technologies, and artificial intelligence in particular, give fraudsters sophisticated tools to deceive and scam people more effectively. And while you cannot stop scammers from trying, you can protect yourself and stay safe from their deceptive tactics.

Impersonation

Impersonation is a key ingredient in a lot of scamming methods. To impersonate, the scammer could steal the identity of your family member, a person you trust, or a representative of a well-known company.

The report from the BBB Institute for Marketplace Trust identifies the top 20 organizations used for impersonation in 2023.

The U.S.Postal Service (USPS) became the most impersonated organization, according to the report. The agency swapped places with Amazon, which dropped to second place on the list compared to the previous year. Roughly 58% of cases related to impersonating the USPS were identified as phishing scams. As for Amazon, phishing scams accounted for 43% of cases, online shopping scams accounted for 17%, and employment scams accounted for 10%.

Examples of Common Imposter Scams Over the Phone

Telephone scammers are very creative when it comes to committing fraud using cell phones. This could be:

• an advertisement for an investment opportunity,
• a notification for a free vacation,
• a request to remotely access your computer to fix some fake tech issues,
• an alert about suspicious activity on your bank account, or
• a threat of an arrest or warrant.

The notification of a free vacation or a prize, for instance, could be sent through text messages, phone calls, or voice mail. The text messages usually have a format similar to this, “Congratulations! You have been selected as a lucky winner for a free vacation trip and other prizes. To claim your reward, you need to..”

Usually, every scam through a free prize makes a demand for your personal information or money or both.

How to Identify an Imposter in Phone Scams

Phone scams come in different shapes and forms. However, the scammers’ goal is always the same: to trick you into sending them money or revealing your personal information so they can use it for fraudulent purposes.

The first thing to look out for in a phone scam is how the conversation appears to be rehearsed or pre-recorded. Most often, the caller doesn’t mention any personal information that specifically identifies you. The caller might try to establish trust by claiming to be a reputable company.

Fraudsters usually create a sense of urgency by giving deadlines or making statements such as “This is a limited offer.” And lastly, if it feels too good to be true, it is probably because it is not true.

Government Agencies Won’t Call to Confirm Your Sensitive Information

Scammers pretend to work with government agencies such as the IRS or Social Security. Sometimes, the purpose of calling is to manipulate you into providing them with important personal details about you such as your Social Security number. Remember that if they work for Social Security, they should already have your information.

Advice:

• Don’t provide your Social Security number or any other personal information.
• Hang up immediately. Report the call to the Social Security Administration’s fraud hotline at 1-800-269-0271 or online at https://oig.ssa.gov/.
• Report the scam to the Federal Trade Commission (FTC) at https://reportfraud.ftc.gov/.

You Won’t Be Arrested

Scammers pretending to be calling from the IRS could claim that you haven’t been paying certain dues or you owe money. They might also claim that you have defaulted to pay taxes.

These claims are usually accompanied by a threat of arrest for not paying taxes or deportation for immigrants. Oftentimes, the scammer would proceed to provide you with information on how to pay directly to them to avoid the trouble threatened.

Advice:

• Don’t make any payments or provide personal information.
• Hang up the phone.
• Report the call to the Treasury Inspector General for Tax Administration (TIGTA) at https://www.tigta.gov/ and the FTC.

Don’t Trust Your Caller ID

Never trust unsolicited communication, because what you see or hear might not be real. A text message or unwanted calls can come in the form of a spoof. A spoof is when fraudsters claim to be someone you know or a business.

To achieve this, they might use digital tools that change information transmitted to your caller ID display. It might seem like a call from a nearby location; meanwhile, the fraudster might be calling from any part of the world.

By spoofing a call number, the scammer could message you claiming to be a friend in trouble or an emergency. Fraudsters use the person’s phone number or contact information to make themselves believable in case a background check is conducted.

Advice:

• Don’t provide any personal information or engage with the caller.
• If you feel something is wrong with your friend’s call, contact them through another method, such as a different phone number, email, or social media account, to confirm their situation.
• Report the incident to the Federal Communications Commission (FCC) at https://consumercomplaints.fcc.gov/, your phone provider, and the FTC.

There Is No Prize

Prize scams always have a compelling story. Sometimes they sound like a fairytale, which is probably because they are all false. Some prize scams include a lottery in their storyline.

A lottery and prize scam convinces you that you won a lottery that you don’t remember being a part of. Our best guess is that you don’t remember because it never happened. The scam could be a message saying that you were randomly selected as a lucky winner from a raffle draw for a large sum of money, attractive gifts such as expensive phones, or a vacation.

The storyline in prize scams might be different, and the scammer might not be the same, but they all share something in common. There is no prize. After informing the victim about winning an attractive reward, scammers often ask that person to carry out certain actions to “claim their reward.”

If the purpose of the scam is to steal personal information, the listener would be asked to provide them with certain information, such as a Social Security number or bank account details. If the purpose of the scam is to steal money, the listener would be asked to pay an amount of money.

Advice:

• Don’t provide personal information or make any payments.
• Delete the message or hang up the call.
• Report the scam to the FTC and your local consumer protection agency.

Only Scammers Demand That You Make a Payment in Certain Ways

Another way of recognizing scams is how you are asked to pay. Most times, scammers demand that victims pay using methods that make it difficult for them to recover their money. These payment methods often involve payment using online payment services, bank transfers, or gift cards.

Also, the demand for money in scams is always in the form of an emergency. This is so they can make away with the money before they are discovered.

Advice:

• Never make payments using gift cards, wire transfers, or online payment services at the request of a caller. Genuine organizations won’t demand payment in this manner.
• Report any such demands to the FTC and local law enforcement.

Test Your Ability to Identify Scammers

Identify which of these choices looks like a scam. The first choice: Your friend is celebrating their birthday, so they are offering a free trip to the Bahamas for you and your friends.

The second choice: You receive a message talking about a massive investment opportunity for which you have been selected; you are to invest a sum of money, and they will double the amount you send.

The second option is a scam. Report it promptly.

The main sign of a scam is that it often begins with a call from a stranger with a friendly offer or a threat and ends with a request to wire money or send a gift card or your details.

As the popular saying goes, if it looks like a duck and walks like a duck, then it probably is a duck. If the description given above matches your experience, it is most likely a scam.

What to Do If You Gave a Scammer Your Personal Information

Here are the steps to take immediately to mitigate potential damage:

• Contact your bank and credit card companies to secure your accounts.
• Place a fraud alert on your credit reports with major credit bureaus.
• Report the incident to the FTC and local law enforcement.
• If you suspect identity theft where someone has used your personal information to get a loan or a job, file a tax return, etc., visit the FTC website at https://www.identitytheft.gov/.

How to Protect Yourself from Imposter Scams

These guidelines should be your first line of defense against imposter scams.

Verify the Caller or Sender

• Don’t trust caller ID alone. Scammers can use technology to spoof numbers and make it look like they are calling from a legitimate source.
• Always verify the identity of the caller or sender independently. If someone claims to be from a government agency, company, or organization, hang up and call back using a number from an official source (e.g. customer service number from their official website).

Protect Personal Information

• Keep your personal information secure. This includes your Social Security number, bank account details, and passwords.
• Use strong, unique passwords for different accounts and enable two-factor authentication where possible.
• Don’t share personal information over the phone, via email, or through text messages unless you are sure of the recipient’s identity.
• Don’t respond to requests for sensitive information from unsolicited contacts.

Stay Informed About Common Scams

• Educate yourself about the latest scam tactics and common types of fraud by visiting official sources such as the Federal Trade Commission (FTC) and the Federal Communications Commission (FCC).
• Sign up for scam alerts from reputable sources to stay updated on new and emerging scams.
• Don’t assume you won’t be targeted because you are aware of some scams. Scammers constantly develop new methods, so continuous education is key.
• Don’t ignore warnings or alerts about potential scams; take them seriously and stay vigilant.

Use Call-Blocking Technology

• Use call-blocking features provided by your phone service provider or install call-blocking apps to reduce the number of scam calls you receive.
• Enable spam filters on your email accounts to block phishing emails.
• Don’t answer calls from unknown numbers. Let them go to voicemail and listen to the message to determine if it is legitimate.
• Don’t click on links or download attachments from unsolicited emails or texts — you may infect your device with malware.

Report Suspicious Activity

• Don’t ignore suspicious activity, even if you didn’t fall for the scam. Reporting helps authorities track and combat scammers.
• Inform your phone provider if you receive scam calls or texts, as they can often take action to block future attempts.

Conclusion

Dealing with scammers could be an exhausting experience. This is why you need to protect yourself. Scammers usually attempt to convince people with a fake story to reveal information such as passwords or credit card details or send money.

If you notice any suspicious activity, report it immediately to the appropriate government agency. Also, consider call blocking to avoid potential scammers from contacting you in the future.

FAQ

How can I protect myself from scammers?

If you suspect the caller is a scammer, you can conduct a background check using Nuwber to verify the identity of the caller. Another way is to hang up and contact the organization via the phone number listed on their official website.

Remember to never give out personal information or financial details over the phone to unknown callers.

What can I do if I answer a scammer’s call?

If you suspect the call is from a scammer, don’t continue engaging with them. Instead, disconnect the call, block the number, and report immediately.

Can a scammer get into my phone?

Scammers can access your phone through various means, such as phishing attempts, malware, or social engineering tactics. Don’t click malicious links or download apps from untrusted sources. And don’t let a sophisticated scammer persuade you into sharing sensitive information or granting them access to your device.

What is identity theft?

A fraudster can pretend to be your family member, contact your home phone using your loved one’s voice, or act like a business to commit fraud. To expose a scammer or make sure this is a call from your loved one, ask some personal questions that only your family member would know.

Do companies protect their consumers from fraud?

Both consumers and companies have a role to play in protecting against fraud.

As a consumer, you can protect yourself by being cautious with your personal information and monitoring your accounts regularly for any suspicious activity. Companies, in turn, can implement security measures such as encryption and two-factor authentication to help prevent fraud.

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