What's your strategy for protecting yourself from financial fraud or scams? Share one tip that has helped you stay safe.

Question

In a world where financial scams are increasingly sophisticated, arming oneself with expert advice is more crucial than ever. This article brings together the collective wisdom of seasoned professionals who share their strategies for safeguarding assets. Learn the essential steps to enhance your defense against the myriad of deceptions lurking in the financial realm.

Lyle Solomon · Answer

My number-one strategy? Verify, verify, verify--then verify again. As a lawyer who's handled fraud cases, I've seen scams ranging from fake invoices to phishing emails mimicking court notices. My rule: never act on urgency. If someone pressures you to wire money, share account details, or sign documents ASAP, hit pause. For example, I once had a client who almost wired $50k to a "vendor" with a spoofed email address--until we cross-checked the request via a separate phone call to the vendor's official number.
One tip that's saved me: Use two-factor authentication (2FA) and set up transaction alerts for all financial accounts. Even a $1 charge triggers a text to my phone. It's stopped fraudulent charges cold. For bigger moves--like property deals or loans--I insist on in-person meetings or video calls to confirm identities. Scammers hate face-to-face interaction.
Assume nothing. Trust your gut--if an offer feels too good (or too threatening), it probably is. And document everything: save emails, take notes on calls, and keep records. If things go sideways, that paper trail is gold in court. Fraudsters prey on haste and fear. Slow down, question everything, and protect your peace of mind.

Shane McEvoy · Answer

A lot of financial scams start with a simple phone call. If I get a call from a bank, credit card company, or even a government agency, I never provide personal details right away. Instead, I hang up and call the official number listed on the company's website. This ensures I'm actually speaking with the real institution rather than a scammer using caller ID spoofing.
One time, I received a call from someone claiming to be from my bank, asking me to "verify" recent transactions. It sounded convincing, but I hung up and called my bank directly. Sure enough, they had no record of the call. Scammers rely on people acting quickly without thinking, so calling back through a verified number has become my go-to habit for avoiding these types of fraud.

Andrew Harris · Answer

As someone deeply immersed in the insurance industry, protecting against financial fraud is a priority. One effective strategy I've implemented is education on asset protection strategies for clients. For instance, offering training on recognizing phishing emails or fraudulent communications is integral because awareness can prevent such attacks before they materialize.
A simple yet powerful tip is to ensure all transactions and sensitive documents are verified through multiple channels. At Liberty Insurance, we have a system where significant financial decisions require two-form verification – this adds a layer of protection against unauthorized access or fraud.
I also recommend considering "key man" insurance if you own a business. This ensures that the business remains financially stable in case a crucial team member falls victim to fraud or other incapacitating events. It's a proactive measure that minimizes financial disruption, underscoring the importance of strategic insurance planning in risk management.

Mark Fonville · Answer

In over 18 years as a financial advisor and the President of Covenant Wealth Advisors, I've seen how pivotal it is to protect one's financial integrity. One strategy that has consistently helped me and my clients stay safe from scams is the reliance on credible sources and data for every financial decision. Engaging with well-known publications like Forbes and Barron's has repeatedly reaffirmed the importance of thorough research and verification, which is crucial whether you're evaluating investments or considering a business deal.
Regularly conducting background checks is another effective measure. For instance, when advising clients on portfolio diversification or investment options, we ensure all involved institutions and offers are thoroughly vetted. This is akin to the precise planning and risk management strategies I emphasize, to safeguard not just against market volatility, but also fraudulent schemes.
Lastly, I promote the routine practice of education and awareness among clients. I've given talks at Financial Planning Association events highlighting the changing nature of financial scams. Staying informed about new scams and discussing them in family financial meetings can prevent one from falling prey to fraudulent activities.

Mikhail Kovalev · Answer

As the owner of Kovalev Insurance Agency, I've implemented several strategies to combat financial fraud based on our deep expertise in the insurance industry. A significant approach I've personally found effective is investing in personal cyber insurance as a part of home insurance policies. Coverage like Home Cyber Protection isn't just for businesses anymore; it proactively safeguards against cyberattacks, extortion, data breaches, and online fraud which are increasingly common threats.
One specific tip I'd recommend is keeping your insurance policies updated regularly, especially when your circumstances change. For instance, for commercial clients, expanding business operations or acquiring new assets should prompt immediate policy reassessment. This ensures that any potential gaps are identified and covered, thus protecting against financial fraud or loss due to unforeseen vulnerabilities.
Additionally, staying informed about technological advancements and integrating supportive security measures like anti-theft devices and advanced telematics for vehicle fleets can also play a crucial role. Insurers often offer discounts for these proactive steps, further protecting against financial fraud by lowering premiums while enhancing security. These targeted actions not only minimize the risk but also optimize insurance cost efficiency.

Adam Garcia · Answer

I've found that enabling two-factor authentication on all my financial accounts has been a game-changer in preventing unauthorized access, especially after my colleague got hacked last year. Whenever I get an unexpected call or email about my accounts, I hang up and directly contact my bank or broker using their official phone number from their website. It takes an extra few minutes but gives me total peace of mind.

Gregory Rozdeba · Answer

I always verify the legitimacy of financial institutions by checking their licenses on official government websites, which saved me from a sketchy 'investment advisor' last year who turned out to be unlicensed. When someone pressures me to make quick financial decisions, I take a step back and consult with my trusted network of advisors first. This approach has helped me avoid several potential scams.

Peter Reagan · Answer

My strategy for protecting myself from financial fraud is to constantly educate myself with guides on how to avoid financial fraud or scams. Along with this, I like to seek professional financial advice. It is important to stay diligent when dealing with transactions, both online and in-person. Always use secure payment methods and work with companies that have an excellent track record. Do your research beforehand and only work with reputable and reliable businesses. Personally, I like to consult close family and friends to see where they have sought professional advice. Knowing they have had trustworthy experiences always makes me feel safer.

Edward Piazza · Answer

At Titan Funding, I've learned that taking an extra 24 hours to verify any unexpected or urgent financial requests has saved me from several potential scams, especially when someone is pressuring me to act quickly. I always tell my clients that legitimate financial institutions won't mind waiting a day for verification, and this simple pause has helped me spot red flags in what initially looked like 'amazing investment opportunities.'

Holly Andrews · Answer

I never click links from banks, even when the message appears perfect. If I receive a "suspicious activity" alert, I close the message and go directly into the bank's app - every time. No exceptions. I've seen phishing scams that looked completely authentic, right down to the sender's email being just one letter off. That tiny detail is all it takes to lose everything.
One extra layer I swear by is maintaining a separate checking account just for online purchases and subscriptions. I only keep about $300 in it. If something suspicious happens - like when that fake Shopify store charged me three times for one item - the damage remains contained. No one gets anywhere near my primary accounts.
I also disable every push notification that includes links. If something actually matters, I'll look it up myself. Scammers rely on creating urgency. The best defense is simply slowing down, double-checking everything, and treating every link as suspicious until proven otherwise.

Karson Kwan · Answer

In my experience as the owner of Kwan Insurance Services, one effective strategy against financial fraud is to regularly educate yourself and your team. Knowledge acts as the first line of defense. For instance, at our agency, we conduct workshops focused on recognizing the signs of identity theft and understanding how scams evolve. This proactive approach helps us stay informed and vigilant, which is crucial in preventing fraudulent activities.
Specifically, in the insurance industry, we see a rise in identity theft cases that can have devastating financial impacts. To mitigate this, I advise individuals to include identity theft protection within their insurance policies. At Kwan Insurance, we offer coverage that not only aids in restoring your identity if compromised but also covers associated expenses like attorney fees and lost income. Empowering clients with this knowledge and coverage means they are better prepared to handle potential threats.
Additionally, sharing real-life case studies has been invaluable in illustrating the importance of awareness. I once advised a client to secure their identity theft coverage, which later spared them from extensive financial damage when they fell victim to a phishing scam. This validation of proactive measures reassures clients and solidifies trust, essential components in safeguarding their financial interests.

Paul Deloughery · Answer

One strategy I've used to protect myself from financial fraud is the use of a two-pronged approach to document security. I advocate using LastPass for storing website passwords, allowing me to keep track of my digital credentials securely. Additionally, I store key personal documents, like estate plans, on platforms such as EverPlans for an extra layer of safety and accessibility.
I also emphasize the importance of entity structuring, such as setting up an LLC, which not only shields personal assets from business-related liabilities but also creates an additional barrier against fraudsters trying to exploit personal accounts. By being meticulous about keeping personal and business finances separate, I've been able to protect both fields efficiently.
Furthermore, I consistently reassess my asset protection techniques. Given that 99% of asset protection plans can fail due to poor setup, regular reviews help me ensure that my methods remain robust against evolving challenges, maintaining strong defenses in any financial landscape.

Bill Mann · Answer

Everything that our organization does revolves around protecting the privacy of people. When individuals prioritize their privacy and security, they are much safer from identity theft and financial fraud. However, without the knowledge to identify a scam, all of these efforts can be futile. In an ideal world, everyone would educate themselves on how to identify phishing and social engineering.
Any large organization such as the USPS or IRS will never text, call, or email you unexpectedly. If you didn't specifically request this type of communication, it's likely a scam. Additionally, any communication that instills fear and requests immediate action is probably a scam. Everyone is capable of recognizing these signs. Our instincts often tell us that something isn't right, but we don't listen to them out of fear. Educate yourself and trust your instincts.

Mike Wall · Answer

I've started requiring all my real estate transactions to go through title companies I've personally vetted after seeing several wire fraud attempts targeting home buyers. When someone sends wire instructions via email, I always verify by calling my known contact using a phone number I already have, not one provided in the email. Having dealt with numerous property transactions, I can't stress enough how important it is to never rush financial decisions, even when someone's pressuring you with a "limited-time opportunity" - that's usually the biggest red flag.

Bill Lyons · Answer

One of the best strategies I use to protect myself from financial fraud or scams is to always verify the source before sharing any personal or financial information. If I receive an unexpected email, phone call, or message asking for sensitive details, I take the time to research the sender by checking official websites, contacting customer service directly, or looking for red flags like urgent language or suspicious links. I also make it a habit to enable multi-factor authentication on financial accounts and monitor transactions regularly to catch any unauthorized activity early. Being cautious and staying informed has helped me avoid potential scams and keep my finances secure.

Corina Tham · Answer

Protecting yourself from financial fraud starts with vigilance and a proactive mindset. One tip that has always worked for me is to never click on unsolicited links or attachments, no matter how convincing they seem. At work, I ensure my team at CheapForexVPS is trained to recognize phishing attempts and fraudulent schemes. Awareness is your first line of defense.
Personally, I double-check the credibility of any unfamiliar financial requests by cross-verifying details directly with trusted sources. Using two-factor authentication for accounts and keeping strong, unique passwords are simple yet effective habits that give me peace of mind. Staying updated on fraud trends is also key; just as I stay ahead of industry trends professionally, I apply the same principle to protect my finances. Lastly, trust your instincts. If something feels off, it probably is—pause and evaluate before proceeding.

Allen Kou · Answer

I've learned the hard way to always verify vendor payment changes through a direct phone call after nearly falling for a spoofed email requesting updated banking details from a food supplier. Now I maintain a detailed log of all our regular vendors' contact information and have implemented a dual-verification system where both my accountant and I must approve any payment changes above $500.

Austin Rulfs · Answer

One strategy I use to protect myself from financial fraud is to stay vigilant about verifying the legitimacy of anyone or anything that asks for personal or financial information. A specific tip that's been really helpful is always checking the credentials of financial advisors or investment opportunities, especially online. Before working with anyone, I look for verified reviews, check their licensing, and confirm their reputation through trusted platforms. 
For example, when investing in property or partnering with new businesses, I always ensure everything is thoroughly vetted, even down to the fine details. It's easy to overlook red flags, but taking the time to double-check can save a lot of trouble down the line. I also make sure to avoid clicking on suspicious links and use two-factor authentication whenever possible to safeguard my accounts. It's all about being cautious and proactive.

Oliver Morrisey · Answer

Over the years, I've come to realize how important it is to stay vigilant when it comes to financial fraud, both in personal finances and within the business world. One strategy that has been incredibly effective for me is regularly monitoring credit reports and bank statements. By doing this, you can spot discrepancies early, which can often be the first sign of fraudulent activity.
For example, I check my credit report at least once every three months, which I can access for free through services like AnnualCreditReport.com. This has helped me catch minor issues before they escalate, like unauthorized small transactions or credit inquiries that I didn't initiate. Since adopting this practice, I've avoided more than $4,000 in potential losses due to fraudulent activity on my accounts.
Another key tip is to always verify the source of any financial communication. If I receive an unexpected email or phone call asking for financial information, I take the extra step to confirm its legitimacy before responding. Fraudsters often try to create a sense of urgency to get you to act quickly, so a bit of skepticism can go a long way in avoiding scams.
Staying proactive and keeping an eye on your financial activities is the best defense against fraud. If you're not already doing so, I highly recommend setting up regular credit checks and always being cautious with your financial information.

Barry L Smith · Answer

I'm passionate about protecting people from real estate scams after seeing too many fall victim to fake property listings. One strategy that has saved me and my clients countless times is always insisting on in-person property viewings. Last month, this helped one of my clients avoid a scammer who was trying to rent out a house they didn't own. I always tell people: if someone is pushing you to wire money without letting you see the property first, that's a huge red flag. Trust your gut and walk away.

Robbert Bink · Answer

To protect myself from financial fraud, I've always prioritized a layered security approach, both personally and in my business. This includes using strong, unique passwords for each account, enabling two-factor authentication wherever possible, and being cautious with any unsolicited communication, especially those requesting sensitive information. One experience that shaped my perspective was helping a client who fell victim to a phishing scam; they clicked a link pretending to be from their crypto exchange, which compromised their wallet. This taught me to emphasize the importance of verifying the source of any links or requests.
As an entrepreneur, I also advocate for educating others about these tactics to create a culture of proactive security. Knowledge is your first line of defense, and empowering yourself with information can make all the difference.

Ryan Carter · Answer

When it comes to protecting myself from financial fraud or scams, one critical strategy I've employed is leveraging Multi-Factor Authentication (MFA). MFA adds an extra layer of security by requiring more than one form of identity verification, making it significantly harder for unauthorized users to access sensitive financial information. In our work at NetSharx, we've seen clients reduce fraud incidents dramatically, often by over 70%, with this simple yet effective tool.
Another tip I advocate for is conducting regular security audits. This helps identify vulnerabilities before they're exploited. For example, through vulnerability risk assessments, we helped a client strengthen their security posture, saving them roughly $2 million by preventing a data breach. By proactively seeking out weaknesses, you can better safeguard yourself against scams and fraud, ensuring your financial security. These measures have been game-changers for our partners and myself, offering peace of mind in an increasingly dangerous digital landscape.

Dhari Alabdulhadi · Answer

I protect myself from financial fraud by staying proactive and skeptical. With scams evolving, such as phishing emails or fake investment apps, I double-check every link and sender before clicking or sharing details. Also, I use strong, unique passwords for my accounts and enable two-factor authentication everywhere, especially for banking apps.
Regularly monitoring my statements helps me spot any odd transactions quickly. I also avoid deals that sound too good to be true, particularly quick-rich schemes popping up online. One tip that has kept me safe is never sharing personal information over unsolicited calls. Scammers often pose as legitimate companies, but I hang up and call back using official numbers from trusted sources.
It's a simple habit that has saved me from stress and financial loss. Fraud is rising with digital payments, so staying cautious and verifying everything keeps my money secure.

Ben Wieder · Answer

Protecting myself from financial fraud comes down to staying alert and trusting my instincts. If something feels suspicious, I take a moment to think before acting. Scammers often try to create urgency, whether through a phone call, an email, or a text message, so I never rush into anything. If I get an unexpected request for money or personal information, I verify it first. I also make sure to check my bank accounts regularly. From my experience, spotting something unusual early can prevent a bigger problem later. Keeping an eye on transactions and being aware of common scams helps me stay ahead.
One thing that has helped me is avoiding public Wi-Fi for anything related to money. It's easy to check a bank account or make a quick purchase while out, but I've learned that public networks aren't always safe. Now, I use my phone's data or wait until I'm on a secure connection at home. Another habit that helps is being careful with links. If I get an email or message asking me to log in somewhere, I go to the official website instead of clicking on the link. Scammers are always coming up with new tricks, but small habits like these make it harder for them to succeed. Staying cautious is the best way to stay protected.

Cyrus Partow · Answer

I've been in the e-commerce space long enough to know that using unique, complex passwords for different financial accounts is absolutely crucial. I learned this the hard way after a minor security breach at ShipTheDeal. Now I use a password manager and enable two-factor authentication on every single account, even if it means taking an extra 30 seconds to log in. I strongly suggest treating unusual email requests for urgent payments as if they're fake until proven legitimate. Just last month, this approach helped me avoid a sophisticated phishing attempt that looked like it came from one of our vendors.

How to Protect Yourself from Financial Scams

Table of Contents

How to Protect Yourself from Financial Scams

Verify Everything Multiple Times

Hang Up And Call Back

Educate On Asset Protection

Rely On Credible Sources

Invest In Personal Cyber Insurance

Enable Two-Factor Authentication

Check Licenses On Government Websites

Seek Professional Financial Advice

Take 24 Hours To Verify

Never Click Links From Banks

Educate Yourself And Your Team

Use A Two-Pronged Approach To Security

Prioritize Privacy And Security

Insist On In-Person Property Viewings

Verify The Source Before Sharing Information

Never Click Unsolicited Links Or Attachments

Verify Vendor Payment Changes

Check Credentials Of Advisors

Monitor Credit Reports Regularly

Insist On In-Person Property Viewings

Use Layered Security Approach

Leverage Multi-Factor Authentication

Stay Proactive And Skeptical

Trust Your Instincts

Use Unique Complex Passwords

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