I’ve been seeing lots of ads suggesting that the government will be sending people big checks, usually of more than $12,000, as part of the stimulus plan. Is the Treasury Department really going to send checks of this size?
Answer:
Nope. Scam artists miss no opportunity to take your money, and they started to devise stimulus-related schemes as soon as the law was passed in February. The Federal Trade Commission, Better Business Bureau and Federal Bureau of Investigation are warning people about several types of scams related to the stimulus.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The scam you mention usually involves an ad that says you can order a CD or access a special Web site that will show you how to get a $12,000 government grant -- if you make a small credit-card payment. But the fine print shows that you’re also signing up for recurring credit-card charges that can be tough to get out of. The BBB found that people who signed up for this advice were charged as much as $69.95 every month on their credit or debit cards. The BBB has already received hundreds of complaints about these Web sites.
In another scheme, which also surfaced when the first rebate checks were sent out last year, the crook sends an e-mail claiming to be from the IRS, warning that if you don’t respond promptly (often with your bank-account information), you’ll forfeit your stimulus money. The IRS does not contact taxpayers by e-mail and never asks for PINs, passwords, or secret access information for credit cards or bank accounts.
Just opening an attachment in one of these e-mails could infect your computer with a virus or malicious software. And if you click on a link in the message, you could be directed to a phishing Web site, which the crook sets up to look like a legitimate site (from the government, for example) created to collect personal information.
If you have received an e-mail like this, you can file a complaint with the FBI's Internet Crime Complaint Center and the Federal Trade Commission. For warnings about e-mail hoaxes and phishing scams, see the FBI’s Cyber Investigations Web site. You can also check out companies and learn about recent scams at the Better Business Bureau's Web site. Also see the IRS’s information about phishing and e-mail scams.
-
Stocks Slip to Start Fed Week: Stock Market TodayWhile a rate cut is widely expected this week, uncertainty is building around the Fed's future plans for monetary policy.
-
December Fed Meeting: Live Updates and CommentaryThe December Fed meeting is one of the last key economic events of 2025, with Wall Street closely watching what Chair Powell & Co. will do about interest rates.
-
This Is Why Investors Shouldn't Romanticize BitcoinInvestors should treat bitcoin as the high-risk asset it is. A look at the data indicates a small portfolio allocation for most investors would be the safest.
-
How to Guard Against the New Generation of Fraud and Identity TheftIdentity Theft Fraud and identity theft are getting more sophisticated and harder to spot. Stay ahead of the scammers with our advice.
-
Tax Scam: IRS Warns Taxpayers Against Filing False W-2 InfoScams A new tax scam on social media advises lying on your W-2 to falsely claim credits and bigger refunds.
-
PODCAST: National Taxpayer Advocate Erin M. Collins Wants to HelpFinancial Planning Your tax dollars are at work funding a government bureau to help you deal with the IRS. Strange but true! Also, the price of Amazon is going up.
-
Con Artists Target People Who Owe The IRS MoneyScams In one scheme, thieves will offer to "help" you pay back taxes, only to leave you on the hook for expensive fees in addition to the taxes.
-
Tax Refund Scam Targets College Students and StaffScams The IRS says there's a new phishing scam aimed at people with email addresses ending in ".edu."
-
PODCAST: Taxes on Retirees — What’s NewBudgeting In this episode of Your Money's Worth, senior tax editor Rocky Mengle talks about the latest update of the Kiplinger Retiree Tax Map. Will states with declining revenues make life harder on retirees? Also, the Biden stimulus plan and the hazards of patent scams.
-
Watch Out for Stimulus Check Texting ScamScams Scammers are sending text messages that trick people into disclosing bank account information to get a $1,200 stimulus check.
-
It’s Not Too Late to Boost Retirement Savings for 2018retirement Some retirement accounts will accept contributions for 2018 up until the April tax deadline.
