WASHINGTON—The Financial Crimes Enforcement Network (FinCEN) has issued an advisory on the potential indicators of two types of consumer fraud that have been observed amid the coronavirus pandemic: imposter scams and money mule schemes.
The advisory, containing descriptions of these scams and schemes, also includes financial red flag indicators and information on how to report suspicious activity.
The advisory, based on FinCEN’s analysis of coronavirus-related information obtained from Bank Secrecy Act (BSA) data, includes information on red flags related to the economic impact payments (EIP) established under the CARES Act, as well as charitable organization solicitations.
Relatedly, the Federal Trade Commission (FTC) has released an interactive map containing data that shows the cost of coronavirus fraud.
“CNBC reported on the data, which shows that Americans have lost over $77 million in coronavirus-related fraud – with a prime target being the EIP stimulus checks issued in April,” NAFCU noted.
In addition, FinCEN released updated information to provide some relief as financial institutions work through issues caused by the coronavirus and announced the creation of a new online contact mechanism for coronavirus-specific communications in April.