If you've recently fallen victim to a scam, there's a chance you may hear from another scammer offering assistance to get your money back. Recovery scams target people who've already been defrauded using contact lists bought from the original scammers. Here’s how to avoid being targeted twice:

How the Scam Works

According to the Federal Trade Commission, these recovery scams usually follow a pattern:

  • You're targeted because you already lost money to a previous scam.
  • Scammers buy information called "sucker lists" from other scammers that include your name, contact information, what kind of scam you fell for, and how much money you lost.
  • They may reach out to you by phone, email, text, social media, or physical mail.
  • They may pose as a government agency, including the FTC, a consumer advocacy group, a law firm, or the original scam company. They may tell you they're holding money for you or that they can file a claim on your behalf.
  • They may ask for money upfront, often called a "retainer fee," "processing fee," "administrative charge," or a "tax."
  • They may ask for your bank account or Social Security number so they can "deposit" your refund directly.
  • In some versions, they send a check for more than you actually lost and ask you to wire back the difference. The check will eventually bounce, and you will lose whatever money you sent.

Red Flags to Watch For

  • Someone contacts you about money you lost to a previous scam.
  • They guarantee they can get your money back. Legitimate agencies never guarantee a recovery.
  • They ask for an up-front payment before they do anything, especially by gift card, cryptocurrency, wire transfer, or payment app.
  • They claim to represent the FTC, another government agency, or a law firm.
  • You receive a check for more money than you lost, with instructions to send back the extra amount.
  • The emails or texts you receive have spelling errors, or come from a personal email address or phone number that is different from the contact information listed on the company’s legitimate website.

How to Protect Yourself

  • Never pay upfront for help recovering money you lost, and never pay for a refund.
  • Remember that government agencies, including the FTC, will never call, text, or email you asking for payment or guaranteeing they can recover your money.
  • If someone says they're calling from a government agency, hang up and look up that agency's number yourself.
  • Before you engage with anyone offering unsolicited help, search for their name or company online along with words like "complaint," "scam," or "review."
  • Don't share your bank account number, Social Security number, or crypto wallet information with anyone who contacts you first.

It’s easy to see why these scams work. Losing money once to a scam can be painful and embarrassing, and the opportunity to get your money back feels like a real relief. Scammers prey on these emotions and hope you’ll act quickly without pausing to double-check where the messages are coming from.

If You Think You've Been Targeted

  • Don't send any money, gift cards, or account information to the person or company, no matter how official the request sounds.
  • Contact your bank or financial institution directly, using the number on your card or statement.
  • Report it to the FTC and to your state attorney general's office.

Scams keep evolving, and no one can catch every one on their own. You don’t have to face them alone. Carefull keeps watch on your accounts that matter most, so unusual activity gets flagged before a real loss occurs. To protect yourself and your loved ones, get started with Carefull today.