Pandemic Brings New Scams, Too
Billions in stimulus funds create new opportunities for fraud ranging from unemployment benefits to vaccine cards.


In good times and bad, scammers are looking for their next mark, and the billions of dollars in government benefits delivered during the pandemic created numerous opportunities for fraud. It’s not just money that con artists are after; they’re also trying to persuade you to share sensitive information they can use to steal your identity. Common targets for fraud:
Unemployment benefits. Unemployment-benefits fraud skyrocketed during the pandemic as millions of people filed for benefits for the first time. The claims overwhelmed the ability of some states to process unemployment-benefits applications, and some states lacked measures to verify that the applications were legitimate, says Pete Eskew, senior vice president, public sector, at ID.me, an identification-verification software company. In addition, some states removed authentication measures in an effort to speed up the processing of benefits as job losses increased. That made it easier for crooks to file claims using stolen identities. Most victims don’t discover that their information has been compromised until they receive a Form 1099-G from their state informing them that they owe taxes on benefits the scammer received in their name.
If you’ve received a Form 1099-G for benefits you did not receive, report the fraud to the IRS and the state that issued the form. Go to https://www.irs.gov/identity-theft-fraud-scams/identity-theft-and-unemployment-benefits for more information.

Sign up for Kiplinger’s Free E-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.
You can protect yourself by creating an account at your state’s unemployment website, even if you’re not filing for benefits. Once you have created an account, it’s much more difficult for a scammer to create one using your information. However, a swindler can still create an account in other states, says Eva Velasquez, president of the Identity Theft Resource Center, so remain on guard and take steps to protect your personal information.
Stimulus checks. Three rounds of economic stimulus checks have also created fertile ground for swindlers. And with the IRS scheduled to start sending out monthly advance payments of the child tax credit in July, there will likely be another round of scams, including “known perpetrator” fraud, which occurs when someone you know misuses your (or your child’s) information. For example, an ex-spouse bearing a grudge could use his former spouse’s credentials to claim a child, then route payment to himself.
Vaccine passports. As millions of Americans get vaccinated, the next wave of fraud is expected to focus on fake “vaccine passport” sites, as well as counterfeit vaccination cards.
“You might get an e-mail or call saying that it’s from your state government and that they need more information, such as your Social Security number, for an alleged vaccine passport,” says Lauren Hall, author of advocacy group Consumer Action’s Scam Gram newsletter. Don’t post a photo of your vaccine card on social media, because scammers will use that information to make counterfeit cards look credible.
FEMA funeral funds. The Federal Emergency Management Agency recently announced a funeral reimbursement program for families of people who have died from COVID-19. The program will reimburse families for up to $9,000 per funeral, with a maximum of $35,500 per application. (If you lost more than one family member, you can have more than one funeral listed on your application.) Families must provide a death certificate that identifies COVID-19 as the cause of death. Hall expects that scammers will pose as FEMA agents looking to help grieving families, as death certificates and obituaries are easy to find. Don’t give out personal information over the phone to someone claiming to be from FEMA or click on a link purportedly from the agency. If you believe you’re eligible for funeral assistance, call the COVID-19 Funeral Assistance line at 844-684-6333.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Rivan joined Kiplinger on Leap Day 2016 as a reporter for Kiplinger's Personal Finance magazine. A Michigan native, she graduated from the University of Michigan in 2014 and from there freelanced as a local copy editor and proofreader, and served as a research assistant to a local Detroit journalist. Her work has been featured in the Ann Arbor Observer and Sage Business Researcher. She is currently assistant editor, personal finance at The Washington Post.
-
8 Rules for Choosing the Right Financial Adviser
Not all advisers are created equal. Here's how to find one qualified to manage your wealth and protect your legacy. From verifying credentials to trusting your gut, follow these rules to find a financial adviser.
-
A Hated TSA Rule Was Finally Phased Out
After nearly 20 years, the TSA is ending its shoes-off policy. Travelers will still need a Real ID, and advanced screening remains in place. Here’s what to expect on your next flight.
-
Amazon Resale: Where Amazon Prime Returns Become Your Online Bargains
Feature Amazon Resale products may have some imperfections, but that often leads to wildly discounted prices.
-
How to Guard Against Identity Theft in 2025
Scammers are getting better at impersonating legitimate businesses.
-
Roth IRA Contribution Limits for 2025
Roth IRAs Roth IRA contribution limits have gone up. Here's what you need to know.
-
Four Tips for Renting Out Your Home on Airbnb
real estate Here's what you should know before listing your home on Airbnb.
-
Five Ways to a Cheap Last-Minute Vacation
Travel It is possible to pull off a cheap last-minute vacation. Here are some tips to make it happen.
-
Social Media Scams Cost Consumers $2.7B, Study Shows
Scams related to online shopping, investment schemes and romance top the FTC's social media list this year.
-
How Much Life Insurance Do You Need?
insurance When assessing how much life insurance you need, take a systematic approach instead of relying on rules of thumb.
-
When Is Amazon Prime Day? Everything We Know, Plus the Best Deals on Apple, Samsung and More
Amazon Prime Amazon Prime Day is four days this year. Here are the key details you need to know, plus some of our favorite deals to shop during the sale.