Lafayette, LA (KPEL News) - Lafayette and the surrounding Louisiana parishes are fortunate to have a Better Business Bureau that stays engaged with and looks out for our community. Thankfully, they work closely with their parent organization to help consumers identify the most dangerous, costly scams circulating.

Under the umbrella of the national organization, the upgraded BBB Scam Tracker allows consumers to report incidents where someone tried to scam them or they actually were scammed. The information they get is shared with the community and with their parent group to help track scams not only across Louisiana, but also across the United States and Canada. In 2023, more than 1,750,000 people visited the BBB Scam Tracker.

Each year, the Better Business Bureau compiles the data to find out what angles scammers are using to get into your wallet or to gain access to your personal information, maybe both. The information is published in their Risk Report which identifies the most dangerous ways scammers are trying to take what's yours.

The riskiest scam types shifted somewhat in 2023, with a few of them landing in the top 10 for the first time since the BBB launched Scam Tracker. Factors like prevalence of the scam, dollar value of loss, and how susceptible a person is to fall for a scam go into evaluating how risky a scam is. Essentially, the report indicates the most effective ways scammers are able to make you a victim.

Here are the top 5 riskiest scams, according to the BBB Scam Tracker 2023 report:

HONORABLE MENTION - CREDIT REPAIR/DEBT RELIEF SCAMS

Credit repair/debt relief scams landed in the top 10 for the first time since the report was first published in 2016. The median dollar loss rose from $870 in 2022 to $1,000 in 2023.

HOW CREDIT REPAIR/DEBT RELIEF SCAMS WORK

Online ads, social media popups, or unsolicited phone calls offer services to people who are dealing with high debt or bad credit. These offers may “guarantee” a better credit score, pledge to alleviate debt, or promise a better financial situation. Those who are targeted may be tempted to pay the up-front fee to help relieve their stress. The companies that are calling or advertising online frequently promise—and charge for—impossible services. This includes removing past credit mistakes, such as late payments or a bankruptcy, from your credit report. They offer to provide a new “credit identity” or negotiate with lenders or credit card companies to completely eliminate the debt. When the services aren't provided, the person is out the fees they paid.

#5 - ROMANCE SCAMS

The number of people who reported losing money to romance scams increased 308% in 2023, part of the reason romance scams rose from #7 in 2022 to #5 in 2023.

HOW ROMANCE SCAMS WORK

Online ads, social media popups, or unsolicited phone calls offer services to people who are dealing with high debt or bad credit. These offers may “guarantee” a better credit score, pledge to alleviate debt, or promise a better financial situation. Those who are targeted may be tempted to pay the up-front fee to help relieve their stress. The companies that are calling or advertising online frequently promise—and charge for—impossible services. This includes removing past credit mistakes, such as late payments or a bankruptcy, from your credit report. They offer to provide a new “credit identity” or negotiate with lenders or credit card companies to completely eliminate the debt. When the services aren't provided, the person is out the fees they paid.

#4 - HOME IMPROVEMENT SCAMS

Home improvement scams maintained their position at #4 on the list from 2022 to 2023. These scams are typically perpetrated after a natural disaster.

HOW HOME IMPROVEMENT SCAMS WORK

Door-to-door solicitors offer quick, low-cost repairs and then either take payment without returning, do shoddy work, or “find” issues that dramatically raise the price.

#3 - ONLINE PURCHASE SCAMS

Online shopping or purchase scams have held the top spot on the risk report since 2019, but have dropped a couple of notches for 2023. Unfortunately, more than 80% of the people reporting through the BBB Scam Tracker lost money because of one.

HOW ONLINE PURCHASE SCAMS WORK

Nearly everyone who has shopped online is familiar with one type of scam or another. Scammers offer attractive online deals but, once the payment is made, no product or service is delivered. In some cases, fraudsters send low-quality or counterfeit products.

#2 - EMPLOYMENT SCAMS

Reports to the BBB Scam Tracker rose by more than 50% in 2023, with the median loss increasing to nearly $2,000.

HOW EMPLOYMENT SCAMS WORK

Job applicants are led to believe they are applying for or have just been hired for a promising new position when instead they have given personal information via a fake application or money to scammers for “training” or “equipment.” In another variation, a person may be “overpaid” with a fake check and asked to transfer the difference to another account.

#1 - INVESTMENT/CRYPTOCURRENCY SCAMS

More than 80% of people reporting such a scam lost money, some as much as $3,800. Cryptocurrency was added to the risk report in 2019, and the BBB combined it with investment scams in 2023 because most cryptocurrency scams involve investment opportunities.

A Lafayette, Louisiana, man reported to the BBB of Acadiana that he lost $9,000 in a cryptocurrency scam recently. Heartbreaking!

HOW INVESTMENT/CRYPTOCURRENCY SCAMS WORK

Job applicants are led to believe they are applying for or have just been hired for a promising new position when instead they have given personal information via a fake application or money to scammers for “training” or “equipment.” In another variation, a person may be “overpaid” with a fake check and asked to transfer the difference to another account.

The majority of successful scams were completed digitally through websites, social media, and email. Keep in mind that reputable companies and government organizations won't reach out to you requesting money or that you pay immediately. If it feels forced or shady, trust your gut.

Never share personal information over the phone or email with anyone who initiated contact out of the blue.

If something sounds too good to be true, it probably is.