Avoid Tax Scams

Protect Your Finances This Season

Tax season is not just a busy time for filers—it’s also prime time for scammers looking to steal personal and financial information. Fraudsters use fake IRS messages, phone calls, and emails to trick people into revealing sensitive details or making fraudulent payments. For those considering personal loans, it's crucial to stay vigilant against scams that can compromise financial security.

How Tax Scams Impact Borrowers

Scammers often target individuals expecting tax refunds or those seeking financial assistance. If you're applying for a personal loan falling victim to tax fraud could affect your credit, drain your bank account, and make you a target for further scams. Be cautious of:

• Fake Tax Payment Demands – Scammers posing as the IRS may claim you owe unpaid taxes and demand immediate payment, sometimes suggesting a loan or alternative financing to cover the amount.
• Stolen Refunds & Identity Theft – Fraudsters file fake tax returns using stolen personal information, potentially impacting your financial records and delaying loan approvals.
• Loan-Related Scams – Some fraudsters offer fake “tax relief” loans or claim they can expedite your refund in exchange for a fee, only to disappear with your money.

Tips to Protect Yourself

Before making financial decisions, ensure you’re taking the right steps to safeguard your personal and financial information:

✔ Verify IRS Communications – The IRS will never demand immediate payment via wire transfer, gift cards, or prepaid debit cards. If you receive such a request, it's a scam.
✔ Secure Your Personal Information – Use strong passwords and enable multi-factor authentication on financial accounts, especially when applying for loans.
✔ Monitor Your Credit & Bank Accounts – Regularly check your statements for any suspicious activity that could indicate fraud.
✔ Work With Trusted Lenders – When seeking personal choose reputable financial institutions and avoid unsolicited loan offers, especially those requiring upfront fees.
✔ Report Suspicious Activity – If you suspect a tax scam, report it to the IRS and your financial institution immediately.

Stay Safe & Financially Secure

Tax season can be stressful, but by staying informed and taking precautions, you can protect yourself from fraud. If you're considering a personal loan or auto financing, be sure to work with trusted lenders and remain cautious of scams that could put your financial security at risk.

For more fraud prevention tips, visit our Fraud Awareness Library and stay ahead of potential threats.