Newcomer FinanceTM

Common Scams Targeting Newcomers (and How to Avoid Them)

Newcomers to the US are prime targets for scammers. Learn the most common scams and how to protect yourself.

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Common Scams Targeting Newcomers (and How to Avoid Them)

Scammers specifically target newcomers because they're unfamiliar with how things work in the US. Knowing the most common scams can save you thousands of dollars and a lot of stress.

Immigration Scams

Fake USCIS Calls

  • How it works: Someone calls claiming to be from USCIS, saying there's a problem with your visa. They demand immediate payment or threaten deportation.
  • The truth: USCIS never calls to demand payment. They communicate by mail.
  • What to do: Hang up. Report to the FTC at reportfraud.ftc.gov

Fake Immigration Lawyers (Notarios)

  • How it works: In many countries, a "notario" is a high-level legal professional. In the US, a notary public has almost no legal power. Scammers use this confusion to charge for fake legal services.
  • The truth: Only licensed attorneys or DOJ-accredited representatives can give immigration legal advice.
  • What to do: Verify lawyers at the state bar association's website

Visa Lottery Scams

  • How it works: Email or letter saying you "won" the green card lottery and need to pay a fee to claim it.
  • The truth: The DV lottery is free. Winners are notified through the official CEAC website only.
  • What to do: Delete the message. Never pay for lottery results.

Financial Scams

Fake Check Scams

  • How it works: Someone sends you a check for more than the agreed amount and asks you to wire back the difference. The check bounces days later, and you lose the money you wired.
  • The truth: No legitimate transaction requires you to return part of a payment.
  • What to do: Never accept a check for more than the agreed amount.

Money Transfer Scams

  • How it works: Someone asks you to receive money in your account and forward it elsewhere, offering a cut. This is money laundering.
  • The truth: You're being used as a "money mule." This is a federal crime.
  • What to do: Never let strangers use your bank account.

Predatory Lending

  • How it works: Companies target newcomers with high-interest loans — payday loans (400% APR), car title loans, rent-to-own schemes.
  • The truth: These are technically legal but designed to trap you in debt.
  • What to do: Never use payday loans. If you need emergency money, try a credit union personal loan or ask your employer for an advance.

Rental Scams

Fake Listings

  • How it works: Scammer posts a real apartment at a below-market price. They ask for a deposit before you see the apartment. Once you pay, they disappear.
  • Red flags: Price too good to be true, can't meet in person, demands wire transfer or gift cards.
  • What to do: Never pay before seeing the apartment in person. Never wire money for rent.

Fake Landlords

  • How it works: Someone shows you a property they don't own and collects a deposit and first month's rent.
  • What to do: Verify ownership through your county's property records website. Ask for photo ID matching the property owner's name.

Phone and Online Scams

IRS Phone Scams

  • How it works: Caller claims you owe taxes and threatens arrest if you don't pay immediately with gift cards or wire transfer.
  • The truth: The IRS never calls about debts. They send letters. They never accept gift cards.
  • What to do: Hang up.

Social Security Scams

  • How it works: Caller says your SSN has been compromised and demands payment to "fix" it.
  • The truth: The Social Security Administration doesn't call about this.
  • What to do: Hang up. Report to oig.ssa.gov

Tech Support Scams

  • How it works: Pop-up on your computer says "virus detected — call this number." They charge you hundreds for fake repairs and install malware.
  • The truth: Microsoft, Apple, and Google never show pop-ups asking you to call.
  • What to do: Close the browser. Run your antivirus software.

The Golden Rules

  1. No legitimate organization asks for gift cards — Not the IRS, not USCIS, not the police
  2. If it's urgent and threatening, it's a scam — Real agencies give you time and send letters
  3. Never give your SSN over the phone — Unless you initiated the call to a verified number
  4. If it sounds too good to be true, it is — Free money, lottery wins, easy jobs paying $5,000/week
  5. When in doubt, verify independently — Look up the official phone number yourself, don't use the one the caller gives you

Where to Report Scams

  • FTC: reportfraud.ftc.gov
  • FBI (internet crime): ic3.gov
  • USCIS (immigration scams): 1-800-375-5283
  • State attorney general: Search "[your state] attorney general consumer complaints"

Bottom Line

The best defense is awareness. If you know the common patterns, you'll recognize scams immediately. Remember: legitimate organizations don't threaten, don't demand immediate payment, and don't ask for gift cards. When in doubt, hang up, delete the message, and verify independently.