Better Business Bureau warns people to use caution if they are contacted by a government agency demanding money or offering a government grant for a fee. The COVID-19 pandemic saw a rise in reports of scammers pretending to be from government agencies.
In 2021, consumers reported losses of more than $445 million in government impostor and government grant scams to the Federal Trade Commission (FTC), up from $175.4 million reported in 2020. The median loss in government grant scams rose from $800 to $1,000, making it one of the more expensive scams reported to BBB’s Scam Tracker in 2021. Scam Tracker reports also showed government impostor scams as the second-most reported scams by businesses in 2021.
On BBB’s Scam Tracker, one Connecticut resident shared how she was almost conned out of hundreds of dollars earlier this year in a government grant scam. The consumer reported that she received a message on Facebook messenger from a “dear friend,” urging her to call a number to sign up for a “Community Service Block Grant.” The friend told her that he had just filled out the application and received money within five hours.
“I respect this friend very much and trust his advice. When I communicated with the agent he wanted my name address. I was communicating with my friend as I was answering the questions. My friend told me to answer them truthfully and honestly, that this was legitimate . Once I did that the agent told me that I was eligible for this…
