- Author: Patti C. Wooten Swanson
Are you age 65 or older?
If so, you may be targeted by a new Medicare scam.
Medicare is issuing new benefit cards with new benefit ID numbers.
Why?
Look at your Medicare card. Your social security number, which is also your benefits number, is printed on your card. This has led to growing rates of identity theft among those 65 years and older.
Its easy for a thief to get your number. Anyone who stands close to you when you check out at the pharmacy can see the number and use it to steal your identity and may even fraudulently claim benefits in your name. The same thing can happen if someone sees your card when you open your wallet at the cash register, or finds your missing wallet (with your Medicare card inside).
What's changing?
The government redesigned the Medicare card so that it does not reveal your social security number. You will be assigned a new personal benefits number. Here's what the new card will look like:
What do you need to do?
Nothing.
That's important because scammers may try to take advantage of someone who is not aware of the process for receiving their new card.
The new card will be sent to you. You do not need to fill out a form, pay a fee, or give someone your social security number. Here's what the Federal Trade Commission advises to protect yourself:
- If you get a phone call, email, text or letter claiming to be from Medicare and asking for your social security or bank account number...
IGNORE it! That's a scam. Medicare will never call (or send an email, text message, or letter) and ask for this information. - If someone asks you to pay for a new Medicare card...
IGNORE them. That's a scam. Your new Medicare card is free. - If someone threatens to cancel you benefits unless you give them information or send money...
IGNORE them.That's also a scam. There will not be any changes to your benefits.
When will this change happen?
Delivery begins in April 2018 and will be completed by April 2019.
Questions?
Learn more at the Centers for Medicare and Medicaid Services. https://www.cms.gov/medicare/new-medicare-card/nmc-home.html
- Author: Dennis Horton of the Rockford Regional Office of Better Business Bureau
The entire morning was dedicated to addressing fraud and in particular how it impacts minority communities. In 2015 an FTC Study revealed an estimated 10.8 percent of U.S. adults – roughly 25.6 million people – were victims of fraud. That's a huge number of people, but what is even more startling is, the study showed that African American and Latino consumers were more than twice as likely to become fraud victims than non-Hispanic whites. That conclusion is at best a guess… and that's due mostly to the fact that problems/issues with fraud, in those communities are more than likely being under reported.
So – what's happening? There are numerous scams that deliberately target minority communities. But, in reference to fraud, at the heart of the matter in the African American and Latino communities there is the need to work and generate income. Fraudsters play to that, as an example, there are pyramid schemes, great job opportunities, or the chance to get in on ground floor with a business opportunity. Issues with debt are also open doors for certain scams; credit repair, debt relief schemes, mortgage relief fraud, and advance fee loans.
The study found, in the Latino community specifically, there is often a language barrier; taking advantage of that, and adding a healthy dose of fear the con artist has found this to be an effective way to quickly intimidate people – especially immigrants. They will impersonate a government official – threaten fines, arrest, or deportation and demand immediate payment.
The results also showed with African Americans there is no language issue that show as an indicator of what fraud issues that community faces; but it did indicate economics is a factor. Researchers, identified debt-related frauds as disproportionately affecting the community. Individuals and companies target African Americans; advertising government-endorsed mortgage assistance programs, phony credit repair and debt relief scams.
As I mentioned earlier these crimes are being underreported by minority communities. Part of the reason it appears there is a general reluctance and embarrassment to report the fraud by filing a complaint. Also it is very probable African American and Latino consumers distrust the government, think their complaints will not make a difference, have concerns about their immigration status, or they simply don't know where to file a complaint.
What's being done? Step one, the FTC working with partners like those attending the conference, is mounting a campaign to encourage people to talk about and report fraud in their communities. As I see it – talking about fraud helps people avoid being scammed.
The FTC also plans to step up its monitoring of advertising aimed at minority communities. And again working with its partners, the media, and law enforcement, they plan to increase consumer outreach and education in the African American and Latino communities.
Source: Published originally on Better Business Bureau, African Americans and Latinos today's fraud targets, byDennis Horton, November 2, 2016.