Ever received a suspicious or confusing call or text, particularly during tax season? Scammers use this and other schemes to trick people into providing sensitive information. It is essential to know how to recognize these scams, no matter what scheme is used.

March 2-8, 2025, is National Consumer Protection Week. This annual event brings awareness to scams and frauds and provides information on how to protect against them. Portia Johnson, an Alabama Cooperative Extension System financial resource management specialist, said the week is a reminder for people to stay informed and alert about protecting themselves from scams and fraud.

“Scammers work around the clock to steal your hard-earned money,” Johnson said. “People in Alabama should care because Alabamians lost more money to online scams in 2023 than people in any other state. Almost 4,900 Alabamians fell victim to cybercrime, and each person lost $50,600 on average.”

Watching for Scams and Fraud
As technology becomes more advanced and sophisticated, so do scammers. It is important to stay informed of the tactics scammers use. As artificial intelligence tools become more common, scammers use these automation technologies to create scams that appear to be legitimate. For example, they may use technology to imitate the voice of someone trustworthy, like a representative from a utility company, federal agency or bank, to convince someone that it is not a scam.

“Even with facial images, such as a video phone call, scammers use deepfake technology to make it appear that a loved one is video calling your phone,” Johnson said. “The voices and images are scarily accurate and very convincing.”

Johnson said people should be cautious if they receive a phone call that is unexpected or about a topic that they are unfamiliar with. These can include things like a call from a postal worker regarding an unexpected package or someone claiming to be law enforcement.

Does the situation feel unsafe? If something sounds too good to be true, unlikely or bizarre, it probably is. Whenever people feel uncomfortable or unsure, they should stop, take a step back, stay cautious and reassess the situation.

Is the caller applying pressure? Legitimate businesses, companies and agencies will never pressure someone into taking immediate action. If the caller insists that the situation is urgent and they need cash immediately, it is a scam.

Is it difficult to end the call? A scammer can make it difficult for people to end the conversation. When a person attempts to disengage, the scammer can become more forceful or desperate.

Common Scams
There are several common topics surrounding scams, including cryptocurrency, disasters, college financial aid and taxes.

Cryptocurrency scams revolve around fraudulent investment opportunities, cryptocurrency exchanges and pump-and-dump schemes. They promise high returns with little-to-no risk or impersonate legitimate companies.

Disaster scams can include fake charities or relief organizations soliciting donations, repair services and assistance with insurance claims. These often happen after natural disasters or other major emergencies.

College financial aid scams offer services for attaining financial aid or scholarship. They present themselves as a fee-based payment service or one that takes a percentage of awarded funds. Remember, the Free Application for Federal Student Aid is free and something that a student and their guardian completes on their own.

Tax scams impersonate someone from the Internal Revenue Service or a state tax office to discuss back taxes. They often threaten the victim with arrest or a lawsuit if they don’t make an immediate payment.

More Information
Alabama Extension provides in-person programs and digital resources to help people avoid scams. The Extension Human Sciences team offers the Money Smart Adults: Identify Theft workshop in many areas of the state. Visit www.aces.edu/calendar or contact a county Extension office to find an upcoming workshop. Interested individuals can find a variety of scam-related workshops across the state through the following link: https://www.aces.edu/blog/topics/finance-career/human-sciences-extensions-upcoming-scam-and-fraud-prevention-events/.

Extension also has great tips on avoiding scams in the following resources: “Avoid Tax Scams,” “How to Protect Against Identity Theft” and “How to Spot and Avoid Disaster Scams.” Find these at www.aces.edu.