TULSA, Okla. — A sophisticated new scam is targeting seniors' life savings with a variation of what the FBI calls the "phantom hacker" attack. That scheme has already stolen over $1 billion from older Americans.
It represents a dangerous evolution of traditional fraud tactics that combines multiple deceptive approaches to build trust before completely draining victims' accounts.
"It's kind of like a relay race for your life savings," said Truman Kain, cybersecurity product researcher at Huntress.
The scam uses three different entities first to build trust, then take victims for every last dime they have.
"What's unique about this attack is that previously you just have the tech support or just the fake bank call, but this time it's kind of combined to build up that trust and authority and get you to that next step a little bit easier for the scammers," Kain said.
How the 3-part scam works
The fraud unfolds in three coordinated steps designed to maximize trust and urgency.
First, victims receive a call, text, email, or pop-up on their computer claiming to be tech support from their bank, noticing something suspicious in their accounts.
Next, a fake government "official" reaches out to "help" protect their money.
Finally, those two fraudsters use the urgent threat that someone is trying to steal the victim's money to convince victims to give them remote access to their computer.
"Find out where your money is and then move it out of your accounts," Kain said.
Red flags to watch for
The scammers use a false sense of urgency to get victims to act without thinking, while warning them not to tell anyone what's happening — especially their bank — in case someone there is involved in the scheme.
Urgency and secrecy are both major red flags that indicate a scam is underway.
But the most significant warning sign of all involves money movement requests.
"Any instructions to move your money for safekeeping to a third party or out via gift cards or a wire transfer, cash, cryptocurrency, definitely a scam," Kain said.
What to do if you're targeted
Victims who realize they're being targeted in by scammers should immediately hang up and turn off their computer without moving any money.
If you have followed the scammers' instructions, don't let embarrassment keep you silent.
"You definitely want to report the issue to your bank, to the FBI's IC3.gov. You want to make sure that you cancel any accounts or report the fraud that you can. If you're right in the middle of it, hang up, turn the computer off, do not move the money," Kain said.
Victims also need to ask their bank to stop any outbound wire transfers that haven't already been sent.
Unfortunately, scammers aim to get victims to send money in ways that can't be recovered. Once money leaves victims' accounts, it's unlikely they'll ever get it back.
"This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy."
Stay in touch with us anytime, anywhere --
- Download our free app for Apple, Android and Kindle devices.
- Sign up for daily newsletters emailed to you
- Like us on Facebook
- Follow us on Instagram
- Watch LIVE 24/7 on YouTube
