Memorial Day is a time to honor those who have lost their lives for our country.
Unfortunately, this is also a time when it’s necessary to be on the watch for schemes that target our active military members through a patriotic or military-themed approach.
In 2021, active-duty military reported losing significantly more money ($300) than military spouses ($170) or veterans ($220). While the percentages of military spouses and veterans who reported losing money when exposed to a scam were nearly identical to the percentage of the general population (approximately 48%), the susceptibility of active-duty military was about 42% higher according to the 2021 Better Business Bureau Risk Report.
Here are highlights of scams that BBB finds are typically directed at service members:
– High-priced military loans. Advertisements for loans that promise a guarantee, instant approval or no credit check will often come with hidden fees and extremely high interest rates. Remember that legitimate lenders will never guarantee a loan before you apply, and loans that require an upfront fee are likely a scam.
– Veterans’ benefits buyout plans. This buyout plan will offer a cash payment in exchange for a disabled veteran’s future benefits or pension payments. The cash amount is only about 30-40% of what the veteran is entitled to. These buyout plans can be structured in several different ways, so research thoroughly before signing anything over.
– Fake rental properties….
