Sweepstakes and lottery scam

Sweepstakes and lottery scam

This simple scam is one with which most credit unions are familiar.

In this one, scammers inform a member that they have won a lottery or sweepstakes. However, they must make a payment to cover the taxes before they can collect the winnings.

To lend credibility to the scam, people will often be sent a check, which they can deposit partial payment of the winnings into their credit union account.

Before the check has time to be rejected as fraudulent, the scammers will quickly collect money from the older member for the fees or taxes on the prize.

When the check is returned as altered/fictitious, the scammers are long gone, and the member is out all the “tax and fee” money they paid the scammers.

DuTrac provides the latest fraud protection tools and services, from text alerts to chip-enhanced technology.

If you feel you may have been the victim of fraud, don’t hesitate to contact our Fraud Specialist at fraud@dutrac.org. Also, you’re welcome to visit any DuTrac location.