Hurricane Victims Rebuilding Their Homes Face a New Risk: ‘Storm Scammers’
In the wake of Hurricane Harvey, those whose homes were ravaged by the storm now face the arduous task of rebuilding—and many more may soon be in similarly dire straits as Hurricane Irma, having laid waste to the U.S. Virgin Islands and other Caribbean islands, advances toward Florida. And as if facing a waterlogged wreck of a house weren’t devastating enough, these people might also be vulnerable to a new threat: “storm scammers,” con artists who persuade homeowners to pay them for repairs they have no intention of doing—they just take the money and run.
According to CNN, since Harvey slammed into Houston last week, the office of the Texas attorney general has received over 550 storm-related complaints of fraud.
“Fraud affecting individuals and relief efforts are extremely common following disasters,” says Jordan Strauss, associate managing director of investigations and disputes at the risk consulting firm Kroll (he also served with the U.S. Department of Justice on the Hurricane Katrina fraud task force). “Much like other kinds of fraud, criminals take advantage of people when they are must vulnerable and in need of help.”
These people often go door to door posing as contractors offering discounted repair services, or as relief workers who can help victims obtain federal funding—for a small upfront fee, of course.
“Sometimes a person may show up, say that they can help expedite federal relief funds, or offer to ‘help’ with federal flood insurance payments,” Strauss explains to realtor.com®. “Other times, a victim may receive a phone call from a person claiming to be with FEMA, asking for their Social Security number in order to speed up benefits. Some fraud is done in person, and some is done over the phone or internet.”
Homeowners tend to fall victim to scams because they’re desperate to get repairs underway—or are just blind to the red flags.
Here are a few warning signs to watch out for:
While it’s hard not to accept help on your doorstep when you’re scrambling to put your home back together, knowing how to protect yourself from storm-related scams is a must.
Here are some tips to ward off storm scammers’ advances:
If you believe a fraud is underway, call the Department of Homeland Security Office of Inspector General hotline at 800-323-8603, or file a report online.
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Source: Real Estate News and Advice – realtor.com » Real Estate News
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