Telemarketing scams: what they are and how to spot them

What is a telemarketing scam and how do they work?

In a telemarketing scam, a caller poses as a telemarketer to deceive their victims. These telemarketers will call their targets and attempt to obtain their personal information or steal their money. Often, telemarketing scam calls will start with a pre-recorded message or robocall.

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Common telemarketing scams

Here are examples of common telemarketing scams that you should be aware of in case you receive a similar phone call:

Foreign lottery scam phone calls

In this telemarketing scam, a caller will ask you to sign up for an international lottery or pretend that you’ve won a foreign lottery, usually worth millions. They’ll ask you to pay for processing or lottery sign-up fees before you can receive the money that you supposedly won, then disappear with the money you’ve sent them.

Auto warranty scam phone calls

In this type of telemarketing scam, the caller will pose as a car dealership, automaker, or car insurance company telling you that your car’s warranty is about to expire. They’ll try to get you to extend your car’s warranty. The scammer will take your personal information and credit card information, pretending to enroll you in the extended warranty.

Vacation scam phone calls

Some scammers call victims telling them that they’ve won a free or discounted vacation. For example, they may promise a free cruise or discounted airfare. The telemarketing scammer will then ask for your personal information or credit card information to secure your deposit or your reservation for the vacation that you’ve won.

Charity scam phone calls

In a charity telemarketing scam call, scammers will pretend to be representatives from a charitable organization and ask their victims for donations.

How to spot a telemarketing scam

Here are some ways you can identify a telemarketing scam:

• The caller uses urgency to get you to act quickly or make a payment.
• The caller asks you for your personal information.
• The caller offers something too good to be true (like winning a lottery you never signed up for).
• The caller threatens you if you don’t comply with their requests.
• The call begins with a recorded message.
• The caller avoids questions about the company or organization they’re calling from.
• The caller asks for you to make a payment over the phone.

How to avoid telemarketing phone calls

Don’t become a victim of fraudulent telemarketers. Use these tips to avoid scam phone calls:

• Add your phone number to the Do Not Call list. The National Do Not Call Registry is run by the Federal Trade Commission. Adding your phone number to the list means that telemarketers are required to remove your phone number from their call lists.
• Don’t answer phone calls from unknown numbers. If you don’t recognize the number that’s calling you, simply don’t answer it. Let it go to voicemail.
• Hang up on the caller. If you answer a phone call from an unknown number by mistake or on purpose, simply hang up. Don’t engage with the caller or answer any questions.
• Don’t provide personal information over the phone. Don’t give out your Social Security number, credit card information, or any other sensitive personal information that you wouldn’t want a stranger to have.
• Block telemarketing phone numbers. While telemarketers often use new phone numbers to contact people, you can block their number if they repeatedly call you.
• Report telemarketing scams. If you receive telemarketing phone calls 31 days after signing up for the Do Not Call registry, you can file a complaint with the FTC online or over the phone.

Staying up-to-date on current scams can help prevent you from becoming a victim. To stay updated on the latest scam tactics, learn about common text messaging scams.