Fraud Tips for Teens: How to Spot a Scam Before You Get Burned

Think you're too young to be a scam target? Think again. Scammers aren't only interested in people with retirement accounts and big savings balances. Teens spend money online, use payment apps, shop through social media, play online games and have accounts full of personal information. That makes you worth targeting.

And scams don't always look like suspicious emails from strangers. They can show up as a DM from a friend, an amazing deal on something you've been wanting, a job opportunity or even a message saying you've won something.

Here are some of the biggest red flags to watch for.

1. Don't automatically trust a message because it came from someone you know.

You get a message from a friend:

“Hey, can you send me $20? I'll pay you back tomorrow.”

Before you send it, make sure it's actually them.

Social media and messaging accounts can be hacked. Once a scammer gets access, they may message the person's friends and followers asking for money, sending suspicious links or requesting information.

If a message seems unusual, contact your friend another way or ask them something only they would know.

Rule to remember: A familiar account doesn't always mean a familiar person.

2. If the deal is ridiculously good, there's probably a reason.

A brand-new gaming console for $100? Designer sneakers for $40? Concert tickets for a sold-out show at half price? You may have just found the deal of the century.

Or you've found a scammer.

Fake stores and marketplace listings can look surprisingly legitimate. Before buying, search for information about the seller, check reviews outside of their own website or profile, and be especially careful if they insist on a payment method that doesn't offer purchase protection.

And don't let a countdown timer or a seller claiming “I have five other people interested” rush you. There will always be another pair of shoes.

3. Never pay money to get money.

Someone tells you you've won a giveaway, scholarship, prize or contest. Great!

There's just one tiny problem: You need to pay a “processing fee” first. 

Stop.

A prize shouldn't require you to send money to receive it. Be especially suspicious if you're asked to pay using gift cards, cryptocurrency, a wire transfer or a person-to-person payment app.

The same rule applies to jobs. A legitimate employer shouldn't send you a check and then ask you to send part of the money somewhere else or buy equipment from a specific person.

If you have to send money to get the money, slow down and investigate.

4. Your verification code is basically a key.

You receive a text with a six-digit security code. Then someone messages you:

“I accidentally sent my code to your phone. Can you send it to me?”

Don't.

Verification codes help websites and apps confirm that you are the person trying to access an account. A scammer asking for your code may actually be trying to log in as you.

The same goes for passwords and PINs.

Never give someone a verification code because they asked for it.

5. Be careful with “easy money” job offers.

Getting paid $500 a week to post on social media from your bedroom sounds pretty fantastic. That's exactly why fake job offers work.

Scammers may advertise jobs through social media, text messages or legitimate-looking websites. They may even conduct an “interview” before asking for your banking information, sending you a fake check or telling you to purchase equipment.

Research the company independently. Find its official website and see whether the job actually exists.

And be skeptical of anyone offering a lot of money for very little work.

6. Don't let someone borrow your bank account.

Someone offers you money to receive a payment, deposit a check or transfer money through your account. You get to keep part of it just for helping.

Easy money, right?

Not exactly.

You could be helping move stolen money.

Scammers sometimes recruit people to receive and transfer funds for them, often called money mules. Even if you didn't steal the money yourself, allowing someone to use your account can create serious financial and legal problems.

Never let someone else use your bank account to move money.

7. Be careful where you click.

A message says your Instagram account is about to be deleted.

Your gaming account has been suspended.

Your package couldn't be delivered.

There's a problem with your streaming subscription.

Click here to fix it.

Instead of clicking the link, stop and open the app or website yourself. Scammers create fake login pages designed to look like the real thing. If you enter your username and password, you've just handed them your account.

Don't use the link to investigate the problem. Go directly to the source.

8. Don't let embarrassment keep you quiet.

Scammers are good at what they do. They use urgency, fear, excitement, embarrassment and even friendship to get people to act before they stop and think.

If you clicked something suspicious, sent money, shared a password or gave someone personal information, tell a trusted adult as soon as possible.

Waiting because you're afraid you'll get in trouble can give a scammer more time to do damage.

Passwords can be changed. Cards can be locked. Financial institutions can investigate suspicious activity. But the sooner someone knows what happened, the better.

The easiest fraud tip to remember

You don't need to memorize every scam on the internet.

When something involves your money, accounts or personal information, remember:

STOP. CHECK. VERIFY.

• STOP if someone is rushing or pressuring you.

• CHECK what they're actually asking you to do.

• VERIFY the situation yourself through a website, app, phone number or person you already trust.

Because online, someone can look legitimate, know personal information about you and even appear to be someone you know.

You don't have to figure out whether they're a brilliant scammer.

You just have to stop before they convince you to do something you can't undo.