Georgia tops the United States in the percentage of its residents becoming the victims of fraud.
A study by Forbes Advisor, an editorial website covering financial news, reached this conclusion recently by showing that 437 fraud reports were generated for every 100,000 citizens of Georgia in the first three months of 2023.
Georgia is also among the 10 most financially scammed states thus far this year, placing fifth behind California, Florida, New Jersey and Texas.
“Georgia ranked 12th in terms of total fraud loss, amounting to $33.4 million,” Forbes reported.
How are Georgians getting scammed?
Scam artists victimize people throughout Georgia through a variety of scams.
The Forbes study shows that nationwide, the imposter scam is the most common. In those scams, the con artist poses as someone from a parent to an IRS agent and even police officers.
In just one day in August, the imposter scam was reported to police in Athens by three different residents, according to Athens-Clarke police reports.
One involved an imposter posing as 20-year-old man’s grandmother. Another posed as a loan provider to bilk a 58-year-old woman and in a third a person had posed as a woman pretending to be in love with a 32-year-old Athens man.
All three people lost money ranging from a low of $795 to a high of about $60,000.
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Athens-Clarke police Lt. Jody Thompson, the public information officer for the department, was previously a supervisor in the Financial Crimes Unit that investigated scams. He has seen most every scam happen in Athens that are used elsewhere. Last year, he said there were approximately 600 cases of fraud and finance-related crimes reported in Athens that the unit investigated.
The imposter scam, he agreed, is the most common.
Once con artists were able to get the technology to clone or spoof a telephone number, that made it easier for them to make it look like they were calling from an actual government agency or organization, he said.
These con artists quickly convince victims to pay off warrants or other matters by gift cards or other methods. Real police departments would not use those tactics, according to Thompson.
“We would never receive money from bitcoins or gift cards and obviously we would never call anybody and try to get them to pay off a warrant via telephone,” Thompson said. “But still people do think it is so and I don’t know why.”
The Forbes study showed that credit cards were the most common payment for fraudulent activities as more than 25,000 cases were reported that totaled more than $64 million in losses in the U.S.
However, scammers in the imposter scams don’t generally ask for credit card information; rather, they seek money usually through gift cards, bitcoin and apps such as cash app, according to Thompson.
Other scams that entrap people are the online shopping scams that rank second nationwide with 75,500 cases reported in the first four months of this year.
The investment scams generated 19,600 reports across the nation during this same period.
How to avoid becoming a victim of con artists
Forbes Advisor recommended the following tips for people to avoid being scammed:
- Be suspicious of all incoming calls, emails and other communication. Assume any incoming communication is fraudulent. If you receive such a communication don’t respond. Instead contact the source of the message, whether a bank, the IRS or other entity, using a verified channel. Don’t use the phone number or link provided by the communicator.
- Don’t trust caller ID. Scammers can spoof caller ID to make their cons look authentic.
- Don’t be tempted by prizes or free cash. Scammers often use prizes or promises of free cash to lure people into divulging their private information. One tactic is asking a victim to pay a small fee in exchange for a prize.
- Block unwanted calls and text messages. Both iPhones and Androids have useful settings that will weed out spam and lessen the threat of scams. You can also use call-blocking apps to filter spam calls and robocalls.
- Don’t let yourself be scared into acting. Many con artists rely on fear to motivate victims. They may threaten to repossess your car or house if you don’t pay. Before you act, always verify the caller’s identity. Simply hang up and call the agency or organization yourself using a known telephone number.
