CONSUMER CORNER: What Is A Money Mule Scam?

Provided by the Bucks County Department of Consumer Protection:

Many of us may have never heard of a “money mule” scam but this old scam has unfortunately been mixed with modern technology conveniences more recently.

Money Mule scams can happen in several ways. Sometimes it involves a work at home job opportunity, prizes, or even online dating. The scammer will send money to you, sometimes by check, and then ask you to send some of that money to someone else. They often want you to use gift cards or send the money via wire transfer. They of course don’t tell you the money is stolen and they’re lying about the reason to send it to that next person. There never was a legitimate work at home job, prize, or relationship, only a scam and financial loss for the victim.

These criminals are good at making up legitimate sounding reasons for you to help them move money. In all cases if it sounds too good to be true, it probably is, so just don’t do it. The money may be from other people they have scammed, and you could be helping criminals hurt people just like they’re trying to harm you by involving you in their scam. Some consumers may have seen news segments on some extremely tragic outcomes involving this money mule scam. With rideshare companies such as Uber offering a new feature of package pickup and delivery, these recent news reports highlight the way scam artists have used this new feature to collect funds from their victims without having to meet them in person. The scam artist simply schedules a “package pickup” to have a delivery driver dispatched to the address of a victim the scam artist is attempting to target. This all occurs unbeknownst to the innocent delivery driver thinking they’re just accepting another fare, showing up to pick up a package and deliver it to the destination instructed. While this is a convenient feature of being able to have a package quickly delivered to a loved one or as an alternative to the post office as a sort of courier service for short distance mailings, scam artists have unfortunately found a use for the service as well. One delivery driver was recently shot and killed simply attempting to show up and collect a “package” from a scam victim, that unbeknownst to the Uber driver had just been threatened and coerced into sending money to help a supposed incarcerated relative needing bail money. This scam victim was likely scared by the threats on the phone and thinking the delivery driver was somehow connected to the scam, escalated the situation and shot the delivery driver for trying to leave after he pulled a gun on her and tried to detain her. This tragic situation all stemmed from a scam, which could have been prevented by simply hanging up the phone and not interacting with the scam artist. Unfortunately, many consumers are not informed nor aware of these various money bilking ruses scam artists attempt to perpetrate against them.

There are some easy ways to avoid the money mule, and other various scams. First and most importantly prevention is key so if you don’t recognize the number calling you, it’s always best to err on the cautious side and let it go to voicemail. You can then retrieve any message and properly vet the caller by researching the number prior to making any return call. If in doubt call Consumer Protection and ask for assistance vetting the company or supposed work from home opportunity, prize, or other various ruses the scam artist may be trying to hook you with. Second, always remember the old adage that if it sounds too good to be true then it probably is. This does ring true the majority of the time, so while you may want to remain hopeful, also be realistic and skeptical of the claims made in any unsolicited call.

How can you avoid money mule scams?

Don’t accept a job that asks you to transfer money. They may tell you to send money to a “client” or “supplier.” Say no. You may be helping a scammer move stolen money.

Never send money to collect a prize. That’s always a scam, and they might be trying to get you to move stolen money.

Don’t send money back to an online love interest who’s sent you money. Also, always a scam — and another a way to get you to move stolen money.

If you think you may have been involved in a money mule or money transfer scam, stop immediately. Notify your bank, the wire transfer service, or any gift card companies involved and then report it to the Federal Trade Commission at FTC.GOV/COMPLAINT

The Federal Trade Commission has produced a helpful infographic for consumers to understand these money mule scams and provide education to prevent further victims. Please review this infographic below and feel free to contact our local resource Bucks County Consumer Protection if you’re ever unsure if you’re being victimized by a scam or need some guidance or information. You can contact Bucks County Consumer Protection at 215-348-6060 via e-mail at consumerprotection@buckscounty.org or visit the website for helpful tips and brochures at www.BucksCounty.gov/CP.

Monthly Fraud Alerts brought to you by Bucks County Crimes Against Older Adults Task Force 24-hour hotline: 1-800-490-8505, Bucks County District Attorney’s Office: 215-348-6344, A Woman’s Place (AWP): 1-800-220-8116, Bucks County Area Agency on Aging: 267-880-5700, Bucks County Office of Consumer Protection: 215-348-6060, Bucks County Coroner’s Office: 215-348-3852, Bucks County Register of Wills: 215-348-6265, Network of Victim Assistance (NOVA): 1-800-675-6900, and U.S. Dept. of Health and Human Services/OIG: 1-800-447-8477.

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