How to Protect Yourself from Phone Scams

Your phone rings, and the caller says they’re from your bank. They know your name, warn you about suspicious activity on your account, and tell you that you need to act immediately. It sounds urgent. It sounds official. And that’s exactly the point.

Phone scams use calls to trick people into sending money, sharing personal information, or providing access to their accounts or devices. Many involve someone pretending to be a trusted source, such as a government agency, bank, business, or even a family member. And their financial impact is growing. According to the FTC, reported losses from fraud that started with phone calls have more than doubled over the last five years, climbing from $436 million in 2020 to roughly $1.1 billion in 2025. Older adults can face especially high losses: in 2024, adults 60 and older reportedly lost more than $500 million to senior phone scams, with a median loss of $2,210.

Cristina Duarte, the VP of Regulatory Affairs at InnoCaption, is all too familiar with the danger phone scams pose.

“This has become very personal for me, because I’m seeing friends and other people in our community get pulled into these scams,” she says. “The pressure tactics can be incredibly convincing, and the financial losses can be significant. I give presentations on this to community groups because I want people to know the warning signs and to feel confident enough to stop, hang up, talk it through with someone they trust, and take the time to verify what they were told.”

Here are five important things you can do to protect yourself from phone scams.

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1. Know the Common Signs of Scam Calls

Many scam calls follow the same basic pattern. Think back to that unexpected call or text message from your "bank": first there's a problem, then there's pressure, then the caller wants you to do something.

1. They create concern. Your account has supposedly been compromised; a bill is overdue; a family member is in trouble. The goal is to create enough concern that you react emotionally, not logically.
2. They pressure you to act quickly. You may be told not to hang up, not to call anyone else, or that you only have a few minutes to respond. That sense of urgency is itself a warning sign.
3. They tell you how to pay. Once they have your attention, scammers may direct you toward a payment method that can be difficult to reverse or recover.

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2. How Scammers Try to Gain Your Trust

Maybe the caller ID says “Social Security Administration”; maybe the number has your local area code. When you get a call you weren’t expecting, there are a few telltale warning signs to look out for.

• Spoofed caller ID: Names or numbers on your screen can be manipulated to look like a legitimate agency, trusted business, or local number.
• Urgent pre-recorded messages: You may hear a robotic voice warning that your account has been compromised or that “immediate action is required.” That alarmist language is designed to get you to respond before you have time to think.
• Fake credentials: A caller may give you a badge number, employee ID, or the name of a government official. They might even send you selfies of a police officer or photos of credentials. Those details can seem convincing, but they don’t prove who is actually calling. (For example: a government agent will never send you a picture of themselves or their credentials via text.)

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3. Recognize Common Types of Phone Scams

One caller says you owe the IRS. Another claims there’s a suspicious Amazon order on your account. A third sounds like a loved one asking for help. The story changes, but scammers often pretend to be the people or organizations they know you're likely to trust or be afraid of.

Government & Law Enforcement Scams

• Social Security impersonators claim your Social Security number or benefits will be suspended because of suspicious or illegal activity.
• IRS and tax fraud scammers claim you owe back taxes and threaten arrest or legal action if you don’t pay immediately.
• Medicare and health insurance scammers offer fake plan upgrades or card replacements, or threaten that you’ll lose your coverage.
• Jury duty and police scammers threaten fines or jail time for supposedly missing a court date or jury summons.
• FTC impersonators claim you need to transfer your money to a “safe account” to protect it.

Business & Tech Scams

• Amazon and retail impersonators claim that there’s a suspicious purchase or unauthorized charge on your account.
• Tech support scammers claim your computer has a virus or security problem that requires immediate, paid assistance, or remote access to your computer for them to “fix it.”

Family Emergency Scams

• Grandparent scammers pose as a relative in trouble and ask for money for an emergency, such as bail or medical expenses. They may also be a third party saying a relative is in trouble and that if a certain amount is paid to them no one else will know.
• AI voice cloning scams use artificial intelligence to imitate the voice of a loved one, making a fake emergency call sound more convincing.

These types of family emergency scams can feel especially difficult to question when the voice on the other end sounds familiar. That’s why it’s important to verify the story separately before sending money or sharing personal information.

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4. Watch Out for Payment Red Flags

Imagine a caller tells you to stay on the phone while you drive to a store, buy several gift cards, and read the numbers on the back. That isn’t a normal payment process — it’s a warning sign.

Be especially cautious if an unexpected caller tells you to send money immediately using one of these methods:

• Gift cards are always a major red flag, especially if someone asks you to purchase cards and read the redemption codes over the phone.
• Wire transfers through services such as Western Union or MoneyGram can be difficult to reverse once the money has been sent.
• Cryptocurrency payments, including transfers through Bitcoin ATMs or digital wallets, can be especially difficult to recover once sent.
• Peer-to-peer payment apps such as Zelle, Venmo, Cash App, or PayPal should be treated cautiously when an unexpected caller tells you to send money to an unfamiliar person or account.

A good rule to remember: When in doubt, don’t let an unexpected caller walk you through payment over the phone. If you think a request could be legitimate, hang up first and verify it independently. Use a verified phone number to contact the company, organization, or government agency the caller claims to represent, or call the family member directly at the number you normally use to reach them.

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5. Report Scam Calls

Even if you recognize a scam and hang up before losing any money or sharing personal info, the call is still worth reporting, says Cristina. Your report can help federal agencies identify patterns, investigate fraud, and help others avoid phone scams.

There are two different ways to report suspicious calls:

• File a report with the FTC. Go to ReportFraud.ftc.gov or call 1-877-382-4357.
• File a report with the National Do Not Call Registry. If your number is already on the National Do Not Call Registry, go to DoNotCall.gov and report the scam there. If it isn’t, we still recommend adding your number for protection in the future.

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Removing the Stigma

Beyond the steps we’ve outlined here, there’s one more thing to keep in mind when it comes to protecting yourself from scam calls: talking about them.

“We need to talk more openly about these experiences,” says Cristina. “People are often embarrassed if they fall for a scam and think they should have known better, and that can keep them from telling anyone. Every time I give a presentation on this topic, one person is willing to share what happened to them, and before long, others are sharing their experiences too. Those conversations matter. The more we talk about how these scams actually happen, the more people can learn from one another, recognize the warning signs, and feel less stigma if it happens to them.”

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Frequently Asked Questions

Can scammers fake caller ID numbers?
Yes. Caller ID can be spoofed to look like a local number, trusted business, or government agency. A familiar name or number is not proof of identity.

Is it always a scam if someone demands payment with a gift card?
Yes. Legitimate businesses and government agencies will not require gift cards as payment for a bill, fine, fee, or debt.

What should I do if I sent money to a phone scammer?
Act quickly. Contact the bank, card issuer, payment app, or other provider you used, explain that a scammer tricked you into sending the payment, and ask whether the transaction can be reversed or refunded.

• Zelle or bank transfer: Contact your bank or credit union immediately and ask them to reverse the payment and refund your money.
• Payment apps (Venmo, Cash App, PayPal): Report the transaction through the app and ask them to reverse the payment and issue a refund.
• Wire transfer (Western Union, MoneyGram): Contact the wire transfer company immediately, report the scam, and ask for a refund.
• Credit card: Contact your card issuer immediately, report the charge, and ask for a refund.
• Debit card: Contact your bank or credit union immediately, report the transaction, and ask for a refund.
• Gift card: Contact the gift card issuer using the number on the back of the card, report the scam, and ask for a refund. Keep the card and receipt.
• Cryptocurrency: Contact the exchange or ATM operator immediately, report the fraudulent transaction, and ask whether it can be reversed or refunded. Cryptocurrency can be especially difficult to recover.
• Cash sent by mail: If you mailed cash through USPS, contact the U.S. Postal Inspection Service immediately at 1-877-876-2455. For a fee, they may be able to intercept a domestic package before it’s delivered.

Can money sent by wire transfer be recovered?
Sometimes, but recovery is not guaranteed. Contact the wire transfer company immediately and ask whether the transaction can be stopped or reversed.

What should I do if I gave a scammer my Social Security number?
Visit IdentityTheft.gov to report what happened and receive a personal recovery plan. 

What should I do if I share a password or login information?
Change the password immediately, update any other accounts using the same password, and turn on two-factor authentication when available.

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