February 2025: Educate and Protect Yourself from Scams

Our top priority as your community bank and financial partner is to keep you and your financial information safe. We believe in a layered approach to security that includes our own company security measures and procedures in addition to providing you with education on different types of fraud and recent scams. Take a moment to educate yourself on how you can protect yourself against instances of fraud.


 

Scams to Watch Out for this Year

Quishing and Surprise Package Scams

A newer scam being reported to law enforcement and financial organizations nationwide involves the deceptive use of QR codes, referred to as "quishing." When the QR code is scanned, victims are directed to a fraudulent website that requests their personal information or directs them to download malicious malware. This type of scam has commonly been paired with unsolicited messages or packages. For example, you may receive a package in the mail with a “gift” inside along with a QR code that instructs you to scan it to discover the identity of the sender. But as soon as you scan it, you find yourself on a fraudulent website.
 

How to Protect Yourself

• Don’t scan QR codes from unknown senders or sources.
• Block any numbers or email address that send you scam messages.
• Never input your personal information in unfamiliar websites.
• Verify all QR codes you receive via text or email.
• Look for any signs of tampering of a QR code (e.g., visible signs of damage).

 

Toll Road and Express Lane Scams

Thinking about take a trip this spring? Another scam to lookout for is connected to the use of toll roads and express lanes. Fraudsters impersonate legitimate entities, like the Minnesota Department of Transportation (MnDOT), sending you a text or email claiming you have an invoice, payment or violation that needs immediate attention. It will prompt you to click on a link where you’re asked to input personal information, including your debit or credit card number, to “resolve” the issue.
 
According to MnDOT, you will never be asked to provide personal information like your card numbers via text or email. If you receive any sort of invoice, including by mail, always verify its legitimacy with your state’s department of transportation.
 

How to Protect Yourself

• Do not click on any links from unknown senders or sources.
• Block any numbers or email address that send you scam messages.
• Never input your debit or credit card number in unfamiliar websites.
• Educate yourself on your state’s tolling system, and if you’re traveling, research any potential tolls you may come across and payment methods in advance.

 

Example of an Express Lane Text Scam

 

 

Fake Refund or Unpaid Bill Scams

The last type of scam to look out for involves claims that you are entitled to a refund or that you have an unpaid bill. Fraudsters often pose as a well-known company such as a postal or delivery service, even incorporating their branding to appear legitimate. They may also target specific services that you may have recently utilized. For example, fraudsters may send you a scam text claiming you still owe money from a recent car repair.

• Fake Refund
  • In the fake refund scam, fraudsters direct victims to visit a website that is linked in the text message to claim a refund for a specific purchase or service. Once on the site, they request personal information, including bank account or card details so they can “credit” your card or deposit the fraudulent fund directly into your account.
• Unpaid Bill
  • The unpaid bill scam operates similar to the fake refund scam in which fraudsters guide victims to a particular website to settle an outstanding payment. They then typically ask you for your financial information so you can pay the fraudulent fee and “resolve” the issue.

 

How to Protect Yourself

• Do not click on any links from unknown senders or sources, even if they claim to be a well-known company.
• Block any numbers of email addresses that send you scam messages.
• Never input your personal or financial information in unfamiliar websites.
• Inform yourself of the payment methods used by companies you buy products and services from.
• Keep record of all your recent payments.

 

Example of an Unpaid Bill Text Scam

 

 

Keep Yourself Safe During Tax Season

Common Tax Scams:

• Identity Theft
  • There are two types of identity theft that a fraudster may attempt. The first is when an individual files a tax return in your name to collect your refund. Unfortunately, this type of identity theft isn’t caught until the legitimate tax return is rejected by the IRS. The second is when an individual uses your Social Security number when reporting their job wages. When this occurs, the IRS may notify you that you owe taxes on wages from an employer that you don’t actually work for.
• Fake IRS Messages
  • Another stunt fraudsters employ is impersonating the IRS to steal your personal information such as your Social Security number or bank account information. They may try contacting you by phone, text, email or even social media. Most often, the fraudster will use language that communicates a false sense of urgency, stating that you have an unclaimed refund or a required payment due. These messages may be coupled with a link where you are prompted to enter personal information.
• False Tax Preparers
  • In this type of scam, fraudsters will pose as a tax preparer offering to do your taxes. They often will collect big upfront fees but will suddenly disappear or “ghost” you without ever signing or filing your return.

 

What to Do if You Experience Tax Fraud

If you do experience tax fraud, it’s important to take immediate action and report it to the IRS and Federal Trade Commission at IdentityTheft.gov. Depending on the type of fraud, you may need to take additional action.

• Identity theft: Notify your financial institution(s) and the three major credit bureaus (Experian, TransUnion and Equifax) so they can add a fraud alert to your account(s).
• Fraudulent tax return: Submit an identity form affidavit or police report reporting that you’re a victim of identity theft. You must respond within 10 days after your legitimate tax return is rejected by the IRS.
• False wages under your name: Submit an identity form affidavit and follow any instructions outlined in any letters you receive from the IRS.
• False preparer: File a police report and tax return preparer fraud or misconduct affidavit with the IRS.

 

How to Protect Yourself

• Keep all documents and information locked in a safe place. If they are digital, store files in a password protected drive.
• Shred any physical documents used while filing taxes before disposing of them.
• Utilize extra-security steps like two-factor authentication.
• Do not send any sensitive documents or information over email or text message.
• Never click on any links from unknown senders, especially if you feel pressured to do so.
• Visit our security page on our website for more resources.

 
Remember that the IRS will never contact taxpayers via text, email or social media.

 

Next Steps If You’ve Experienced Fraud

If you think your bank account information has been compromised or you are a victim of identity theft, contact your local Merchants Bank and ask to speak to a Universal Banker.