Your family could be just one phone call away from falling victim to a sophisticated bank scam, with losses from internet crime exceeding $20 billion, according to the FBI.
In an alarming trend, individuals may find themselves at a bank counter, ready to wire money to a stranger, all while being guided by a calm and authoritative voice on the phone. This voice could belong to a professional scammer who has meticulously coached the victim on what to say.
The FBI’s 2025 Internet Crime Report reveals that reported losses from internet crime have surpassed $20 billion. Additionally, the Federal Trade Commission (FTC) indicates that impostor scams have remained the leading category of scams, with losses reaching $3.5 billion.
The genesis of these scams often begins with a single phone call. Darius Kingsley, Head of Consumer Fraud and Scam Prevention at JPMorgan Chase, discussed these scams in detail during a recent episode of the CyberGuy Report podcast. He provided insights into how bank tellers identify red flags and what families can do to prevent financial loss.
Scammers typically instill fear and urgency in their victims, often posing as law enforcement or other trusted authorities. “What they’re going to do is they’re going to bring urgency,” Kingsley explained. “One of the most common scams when you get someone on the phone is law enforcement, so you think you’re talking to the police.”
This false sense of authority can paralyze even the most astute individuals. Scammers may reference real agencies or even use the names of actual agents to lend credibility to their claims. Once fear sets in, the scammer begins to issue instructions.
By the time a victim arrives at a bank branch, they may have already been scripted on what to say. “They will have coached you,” Kingsley noted. “They will have told you already what it is you need to say.” This can include fabricated reasons for the withdrawal, such as home renovations or assistance for a family member, along with warnings that the bank will ask probing questions.
In some cases, scammers go so far as to suggest that the bank is complicit in the scheme. “They may even tell you that the bank is in on it,” Kingsley said. This deception can lead victims to view friendly bank staff with suspicion, complicating efforts to halt the scam.
When a teller engages a customer during a large withdrawal, it may seem intrusive. However, Kingsley emphasizes that there is a valid reason for this inquiry. Most transactions are legitimate, as people often withdraw cash for various personal reasons. Bank staff are trained to look for signs of distress, such as nervousness or inconsistent stories.
“We teach them to look for things like people maybe being on the phone at the same time, or just seeming very nervous or their stories falling apart,” Kingsley explained. This interaction at the counter could be the last opportunity to prevent a wire transfer or cash withdrawal before the money is lost.
Many still envision a scammer as a lone individual operating from a basement. However, Kingsley highlights a more significant threat: organized scam centers located overseas. He pointed to operations in Southeast Asia, where criminal groups exploit trafficked workers to target Americans. “They take their passports and the office building has barbed wire around it, and they’re stuck,” he said.
This chilling reality indicates that some scam callers may also be victims of brutal criminal networks, which can be linked to cartels or other illicit organizations. Once a victim sends money, scammers quickly move it through various accounts and overseas, emphasizing the need for rapid response to potential scams.
To effectively combat these schemes, families must remain vigilant and aware of behavioral changes in their loved ones, rather than solely relying on identifying suspicious emails or links. Kingsley advises that relatives should be alert to signs such as someone needing privacy regarding money, rushing to the bank, or becoming defensive about a transaction.
Other warning signs include a loved one remaining on the phone while heading to the bank, refusing to explain the need for cash, or exhibiting unusual stress about a payment. Additionally, the use of cryptocurrency ATMs can signal a potential scam. If someone is depositing cash into a crypto kiosk while following phone instructions, it is crucial to intervene calmly and help them contact their bank using the number on the back of their card.
If you suspect that you or a family member has sent money to a scammer, immediate action is essential. “The best thing you can do is act immediately,” Kingsley advised. “Contact your bank immediately.” This call is vital, as banks may be able to freeze or trace funds in certain cases, although there are no guarantees.
Kingsley also encourages victims to file a police report and report the scam to the FBI’s Internet Crime Complaint Center at IC3.gov. “A lot of people don’t do that step,” he noted. While reporting may not yield immediate financial recovery, it aids law enforcement in understanding the scale of the issue and connecting cases.
Implementing a few simple safeguards can significantly reduce the likelihood of falling victim to scams. Ensure that fraud alerts are activated on bank accounts, utilizing text, email, or app notifications for large withdrawals, transfers, and card activity. Kingsley stresses the importance of this basic step.
Enable two-factor authentication (2FA) for banking, email, and financial applications. This additional layer of security can thwart criminals who gain access to passwords. While text codes provide some protection, they can be vulnerable if a criminal takes control of your phone number.
Consider adding a trusted contact to your bank or brokerage account. This individual cannot make transactions on your behalf but can be contacted by the bank if something appears amiss. Chase, for example, offers trusted contacts on deposit and investment accounts, and other financial institutions may have similar options.
Establish a private family code word for urgent money requests. If someone claims to be a grandchild, police officer, or lawyer, ask for the code word. If they cannot provide it, hang up and call the family member directly using a trusted number.
Scammers often exploit personal information, making it easier for them to craft believable stories. Utilizing a data removal service can help eliminate your information from people-search sites and data broker lists, complicating a scammer’s efforts to deceive you or your family.
Scammers thrive on urgency, pushing victims to act before they have time to think. Establish a family rule that no wire transfer, cryptocurrency payment, gift card purchase, or large cash withdrawal occurs based solely on a phone call. Hang up, verify with the bank, or consult a relative before proceeding.
If a loved one indicates they cannot discuss a money request, take it seriously. Scammers often instruct victims to conceal transactions from family, bank staff, or law enforcement. Legitimate agencies will not demand secrecy while pressuring someone to transfer funds.
In the event of a suspected scam, contact the bank immediately, file a police report, and report the incident to IC3.gov. You can also report fraud to the FTC at ReportFraud.ftc.gov.
It is essential to remember that falling victim to a scam does not reflect foolishness; it is a human experience. Scammers expertly manipulate fear, shame, and urgency, using authoritative tones to compel individuals into action before anyone can intervene. Kingsley’s insights underscore a crucial truth: the best defense for families may be an open conversation about warning signs, establishing a code word, and agreeing that no one should move money under pressure.
For more in-depth information on how these scams unfold and what families can do to protect themselves, listen to the full conversation with Darius Kingsley on the CyberGuy Report podcast at CyberguyPodcast.com.
Have you or someone in your family ever felt pressured to transfer money by a caller who seemed official but turned out to be a scammer? Share your experiences with us at Cyberguy.com.