Fraud Alert: “Gold Bar” Government Impersonation Scam is Making the Rounds

The FBI and other federal government agencies are warning consumers about a “Gold Bar” government impersonation scam that has bilked Americans out of millions of dollars.

bankHometown is aware of several cases of this scheme taking place locally. We’re providing this Fraud Alert to help you remain on-guard and protect yourselves.

How The Scam Works

Consumers are contacted by mail, email, and/or phone by fraudsters pretending to be officials from a federal government agency like the FBI, FTC, IRS, or Federal Reserve.

The consumer is told that their identity has been compromised and that the money in their bank or investment account is also in danger. They’re told that the government agency can temporarily “hold and protect” their funds if they take immediate action. The con artists convince the consumer to purchase gold, silver, or precious metals and allow the “agents” to pick them up for safekeeping.

Fraudsters tell victims they should not speak with their bank or anyone else about the matter and threaten legal consequences if consumers don’t keep it confidential.

While law enforcement including the FBI is aware of these scams, unfortunately funds are almost never recovered.

Beware of These Warning Signs

Watch out for these “red flags” that something is a scam. Share this information with friends and family members, especially those who are elderly.

• No government agency will direct you to buy gold, silver, other precious metals, gift cards, or any other asset. No government agent will offer to retrieve it (or your cash) and hold it for safekeeping.
• No legitimate government official should tell you that your funds aren’t safe in a U.S. bank. Remember, your accounts at bankHometown are fully insured by the FDIC, an agency of the federal government.

What Can You Do?

Think you’ve been contacted by a fraudster or been scammed? Take these steps:

• Protect your personal information. Don’t disclose your home address or agree to meet with people you don’t know to deliver cash or precious metals.
• Talk to us. Our staff are trained to spot suspicious transactions. While we can’t stop you from withdrawing your money, we can tell you if we think the reasons behind the withdrawal sound like a scam. If you’ve been a victim, we can place alerts on your accounts to prevent future scams.
• Call the police. If you’ve met a courier or had a courier pick up gold from your home, the thief may still be in the area or there could be evidence the police could collect.
• Contact legitimate government agencies. The Federal Trade Commission wants to hear from people who are victims of fraud. The FBI’s Internet Crime Complaint Center is also an excellent resource.