Protecting Our Heroes: How to Best Avoid Military Scams

In today's world, digital threats are everywhere, and sadly, those who serve our country are often targeted by scams. Military personnel, veterans, and their families are common targets for fraudsters. That’s why knowing about different military scams and how to avoid them is essential for protecting our heroes and their loved ones. Keep reading to discover some essential tips for protecting military families from online scams and fraud.

Rental Property Scams

Unfortunately, rental property scams are very common, especially around military installations and bases. Scammers post fake ads for rental properties, often promising military discounts to lure service members and their families. They request fees and deposits upfront, ultimately leaving victims without money or a place to live.

How to protect your family from rental property scams:

• Verify Listings Carefully: Always verify rental listings through reputable platforms and avoid those that request payment before you view the property.
• Check for Red Flags: Be cautious of listings with unrealistically low prices and those that pressure you to act quickly. Legitimate landlords will understand your need for due diligence.
• Meet in Person: If possible, meet the landlord or property manager in person and inspect the property before making any payments.

Emergency / Grandparent Scams

These scams prey on the emotions of family members—usually grandparents—and their concern for their service member's safety and well-being. Scammers pretend to be a grandchild, niece, or nephew in distress, requesting money for emergencies like bail or medical expenses.

How to avoid emergency and grandparent scams:

• Be Skeptical: Be cautious of urgent requests for money, especially if they involve wire transfers or prepaid debit cards.
• Verify the Caller: Ask specific questions that only your real relative would know. Contact other family members to confirm the story before sending any money.
• Report Suspicious Activity: If you suspect a scam, notify your local authorities and report the incident to consumer protection agencies. (Information provided below)

DFAS / MyPay Phishing Scams

Phishing scams are designed to steal personal information such as Social Security numbers and bank account details. Fraudsters pose as representatives from the Defense Finance and Accounting Service (DFAS) or other military groups, often claiming there's an issue with your account that needs immediate attention.

How to stay safe from DFAS and MyPay phishing scams:

• Never Share Personal Info: DFAS and other military organizations will never ask for personal financial information via email or phone. Watch out for unsolicited requests for information.
• Stay Updated: Regularly update your computer's security software and educate yourself on the latest phishing tactics to stay ahead of scammers. (View Armed Forces Bank’s educational resources below)
• Verify Communication: If you receive a suspicious message, contact DFAS directly using their official contact details to verify its legitimacy.

Payday Loans

While payday loans aren't necessarily fraudulent, they are still a type of scam. Payday loans may seem like a quick fix for financial troubles, but they often lead to a cycle of debt. These high-interest loans can trap borrowers in a never-ending loop of repayments.

How protect yourself from payday loans:

• Seek Alternatives: Consider alternatives like military personal loans, which offer better terms and lower interest rates. For example, Armed Forces Bank provides flexible military loans¹ that make borrowing funds both safe and easy.
• Avoid Unlicensed Lenders: Ensure that any lender you consider is licensed and reputable. Unlicensed lenders often charge excessive rates and use predatory practices.
• Military Lending Act Protections: Active-duty service members are protected by the Military Lending Act(MLA), which caps interest rates and fees on certain types of loans at 36%.

Car Sale Scams

Car sale scams often target first or second-time car buyers, and they involve unrealistically low prices or special deals. These can lead to hidden fees, high interest rates, and vehicles with undisclosed issues.

How to avoid car sale scams:

• Comparison Shop: Research multiple dealerships and compare prices to ensure you are getting a fair deal.
• Check Repair History: If you are buying a used car, always ask for the vehicle's repair history and have it inspected by a trusted mechanic before purchasing.
• Read the Fine Print: Carefully review any contracts or agreements to avoid hidden fees and unfavorable terms.

How to Recognize Other Military Scams

Many other scams target the military community, including fake military charities, employment scams, bank impersonations, credit monitoring fraud, and countless others. Here are some tips to help you stay protected:

• Fraudulent Charities: Verify the legitimacy of charities before donating. Use resources like to check their credibility.  Use resources like Charity Navigator to check their credibility.
• Employment Scams: Be cautious of job offers that require upfront fees or promise guaranteed employment without an interview process.
• Bank Impersonation Scams: Watch out for fraudsters who pose as your bank through fake websites, phone calls, text messages, and emails. Always verify directly with your bank before sharing any personal information.
• Credit Monitoring Fraud: Only use reputable credit monitoring services. Scammers often exploit service members' trust to gain access to their financial information.

What Should I do if I Fall Victim to a Scam?

If you or someone you know has fallen victim to a scam, it's essential to report it and seek assistance.

1. Change Your Password:If you have entered your credentials on a fake site, change your password immediately to regain control of the situation.
2. Report Scams: File a complaint with the Federal Trade Commission(FTC) and the Consumer Financial Protection Bureau(CFPB). This can help track and prevent further scams.
3. File a Police Report: To hold scammers accountable, also reach out to local law enforcement and file a police report.
4. Notify Your Financial Institution: Banks and credit unions play a big role in spotting financial problems and assisting with investigations. It's important to report scams to these institutions because they possess the tools and expertise to identify suspicious activities and safeguard individuals from financial exploitation. (To contact Armed Forces Bank’s Client Care, call 888-929-2265; Monday - Friday, from 8:00 AM - 7:00 PM, Central Time).

Armed Forces Bank Protects the Community

Armed Forces Bank proudly stands as the first line of financial defense for those who protect our nation. At our military bank, we are committed to defending our military community from scams and fraud. We build strong relationships with our clients, enabling us to quickly identify suspicious activities and take swift action. We regularly review accounts to ensure security and detect any signs of fraud or exploitation. In fact, our team is trained to spot red flags and investigate any unusual activity. We also provide educational materials to keep our clients informed about the latest scams and how to protect themselves.

If you or someone you know has been affected by a scam, don't hesitate to seek support from our dedicated team. We are here to help you navigate through the recovery process and ensure your financial well-being.

By staying informed and alert, we can protect our heroes from scams and keep honoring their service by protecting their financial health. For more information and resources, visit our website or contact us directly.

Together, let's create a safer and more secure environment for our military community!

For more information about fraud prevention, review these helpful resources:
Education: Banking Safely and Securely
Understanding Pig-Butchering Scams
Identifying Phishing Emails
Recognizing Text Scams
Avoiding Phone Scams
Elder Financial Abuse
Cybersecurity and Tax Returns

Member FDIC

¹ Subject to credit approval. Restrictions Apply. Direct deposit relationship required. Origination fee, 10% or $100 whichever is less. Annual Percentage Rate (APR) is based on credit score. Only one personal loan allowed to any borrower at any time. Loan terms are based on the loan amount.