Chapter 6

JOB SEARCH SCAMS

Posted on April 25, 2026 by Melissa Hart

Fraudulent activities and scams are present with all financial decisions, and that includes career planning. When seeking employment, beware of these deceptive practices:

  • fake jobs and phony companies are designed to obtain your personal data or to get you to accidentally sign up or buy something.
  • impersonation scams involve fake job postings using real names, actual companies, or university staff, which can result in identity theft.
  • ghost jobs are postings that do not exist; recruiters may use this tactic to build a talent database. 
  • phishing involves emails designed to collect sensitive financial information.
  • upfront payment requests to pay for training materials, background check, or an application fee.
  • too-good-to-be-true job that promises high pay for very little work.
  • unsolicited job offer for a position for which you did not apply.
  • fake interview to try to get bank account numbers or personal information.
  • fake recruiters tempt you with attractive opportunities and try to get your personal or financial information.

Job scam warning signs include: (1) a sense of urgency; (2) emails and websites with grammar and spelling errors; (3) generic email domains, instead of company name; (4) vague job descriptions; and (5) requests for upfront money.

To help prevent job scams, consider these actions:

  • be wary of job offers with high salaries, requiring you to work from home, and a rushed hiring process.
  • verify the company on their official website and check online reviews.
  • be cautious before providing personal information and financial data.

For additional information on job search scams, go to:

https://clark.com/employment-military/job-search-scams/

https://www.flexjobs.com/blog/post/common-job-search-scams-how-to-protect-yourself-v2

Teaching Suggestions

  • Have students talk to others to learn about actions they have taken for successful job searches.
  • Have students conduct online and AI research to create a video with warning signs to avoid job scams.

Discussion Questions 

  1. What things might you hear or see that would make you suspicious of a job posting or job offer?
  2. Describe actions a person might take to avoid job scams.    
Categories: Career, Chapter 2, Chapter 6, Frauds and Scams | Tags: , | Leave a comment

PRICING TRICKS

Posted on April 11, 2026 by Melissa Hart

Extensive information is collected on every buying action. This deep data allows companies to adjust prices in two ways:

1) Surveillance pricing uses personal data and past behaviors to adjust prices for a person’s willingness to pay. To minimize this situation:

  • shop online in private mode.
  • compare prices before logging onto the shopping site.
  • use a price-tracking website to know if an item costs more than you are willing to pay. 
  • don’t be tempted to “buy-up” by purchasing a more luxurious item than the basic model you intended to buy.

2) Surge pricing adjusts the price of an item based on demand. When demand is high, prices are raised for ride sharing, hotel rooms, air travel, concerts, or online products. To avoid:

  • plan ahead to take advantage of off-peak times.
  • use a price alert app.
  • look for discounts and promotions for frequent buyers. 

For additional information on pricing tricks, go to:

https://clark.com/shopping-retail/surveillance-pricing/

Teaching Suggestions

  • Have students observe prices online and in stores to monitor trends for items they have bought or plan to buy.
  • Have students do online research to identify price alert apps and to develop a strategy to obtain the best prices for items they buy frequently.

Discussion Questions 

  1. What features of a price alert app could help consumers make better purchasing decisions?
  2. Describe actions a person might take to minimize the influence of surveillance pricing and surge pricing on a person’s buying activities.
Categories: Chapter 6, Wise Shopping | Tags: , | Leave a comment

LOW-TECH BANK SCAMMERS

Posted on December 20, 2025 by Melissa Hart

Digital scams and fraud reported by banks are increasing, and not all involve new technology. Many of these deceptions involve low-tech human error. 

Fraud involves an unauthorized person accessing your bank account to make purchases or other transactions. While scams occur when a criminal tricks a person into sending money under false pretenses.

Social engineering scams involve a fraudster attempting to trick a victim into sending them money.  This cybercrime may occur as phishing (by email), vishing (voice messages), or smishing (text messages).

To protect yourself, cybersecurity experts suggest the following:

  • Confirm that a sender’s email is valid. Scammers use similar but slightly different email addresses than the official ones.
  • Don’t click on suspicious links, which could result in going to a false website.
  • Be skeptical of messages with generic greetings and signatures; also, beware of poor grammar and spelling in the message.
  • Avoid downloading attachments in suspicious, unsolicited messages.
  • Verify money requests. Be sure to look up a company’s legitimate phone number and address online rather than the one provided in an email.
  • Beware of the safety of your phone and home computer.  You may have accidentally checked a box in the past to allow access to what you thought was a “trusted” device.

For additional information on bank scams and fraud, click here.

Teaching Suggestions

  • Have students talk to others to obtain suggestions for avoiding scams and fraud.
  • Have students create a one-minute podcast with a scam example and how to avoid it.

Discussion Questions 

  1. What suggestions might be offered to a bank or credit union to help them inform their customers about how to avoid scams and fraud?
  2. Describe actions a person might take if they were a victim of a scam or fraud.
Categories: Chapter 4, Chapter 6, Frauds and Scams, Uncategorized | Tags: , | Leave a comment

“DARK PATTERNS” COSTING TRAVELERS MONEY

Posted on November 22, 2025 by Melissa Hart

Dark patterns are deceptive tactics that manipulate airline customers into paying more than they plan. These psychological tricks can result in a traveler having higher costs as much as double.

These manipulation techniques can occur at various stages of the booking process and include:

  • False scarcity may appear as “Only 2 seats left” to create artificial urgency for higher-priced fare options. Making a quick decision does not allow time to compare prices.
  • Artificial urgency with countdown timers ticking to imply that you only have a few minutes to guarantee your fare or finalize your booking.
  • Fake social pop-ups manipulate you to think that many other travelers are currently considering the same flight. This tactic implies that if you don’t book soon, someone else will take the available seat.
  • Aggressive pop-ups involve prompts at checkout that push upgrades with a prominent, visually appealing button. Remember, the option you initially selected is probably perfectly suitable for your needs. 
  • Bait-and-switch pricing starts with an attractive “bargain fare” without details related to airline, flight times, or restrictions. After you make payment, you realize the schedule or restrictions are no bargain. 
  • FUD (fear, uncertainty, doubt) warnings are created with intimidating red boxes to make the least expensive fares sound terrible. The fear-mongering notes point out restrictions and inconvenience to create anxiety and encourage paying extra to avoid the imagined hassles. 
  • Forced choice prompts require that you clearly accept or decline add-ons like travel insurance.  A hurried traveler may click “yes” to quickly move forward resulting in an unexpected higher cost.

Actions that can help to avoid these deceptive tactics that result in higher costs include:

  • Browsing in “incognito mode” to prevent an airline from tracking your search history and possibly raising prices based on your interest for a specific flight.  
  • Refreshing your search results to clear any fake warnings and timers.
  • Using “meta-search” engines (such as Skyscanner, Kayak, Google Flights) for obtaining fare information without upsells and manipulation tactics.
  • Checking-in online later in the process when better seats might be available for no upcharge.
  • Reviewing the total cost, not just the basic fare, to make sure the bottom line (after fees and taxes) is still the best deal.

For additional information on travel dark patterns, click here.

Teaching Suggestions

  • Have students talk to others or use AI to obtain suggestions for getting the best airfares and bargains when buying other goods and services.
  • Have students create a podcast with tips to warn others of deceptive tactics that can result in paying higher airfares.

Discussion Questions 

  1. What tactics discussed in this article have you observed or experienced when making an online purchase?
  2. Describe actions a person might take to avoid deceptive online marketing tactics.
Categories: Chapter 6, Purchasing Strategies | Tags: | Leave a comment

A FINANCE COLUMNIST SCAMMED FOR $50,000

Posted on November 8, 2025 by Melissa Hart

No one is exempt from being a victim of fraud, not even a financial advice columnist.  Charlotte Cowles, a writer for New York Magazine, had reported about the scam experiences of others but then she became a target.

In October of 2023, as Charlotte began her normal weekday routine, she received a phone call at about noon. The caller, who was professional and articulate, was contacting Charlotte about suspicious activity on her Amazon account.  Charlotte was told that thousands of dollars of electronic equipment had been bought through her Amazon business account. When Charlotte told the caller she didn’t have a business account, the caller said, “it looks like one has been opened under your name.”

Next, Charlotte was introduced to a person who claimed to be an investigator from the Federal Trade Commission (FTC). This person established credibility by providing Charlotte’s address, social security number, and names of family members. The alleged FTC person indicated that Charlotte was being investigated for fraud, money laundering, and other criminal activity since her identity was stolen and being used by others. Dangers to Charlotte and her family were also mentioned.

While Charlotte thought she was being conned, there were no red flags such as asking for money or buying crypto.  Next, she was told her assets would need to be frozen but first to withdraw enough to live on for a year ($50,000).  The bank teller was surprised at the amount but completed the transaction.

She was next told that she would be met by a “CIA colleague” to make sure she and the money were safe. She was assured that the money would be deposited into a new bank account for her. The entire process took place over a six-hour period.  Throughout the ordeal Charlotte felt increasing fear for herself and her family, which is why she followed the instructions of these alleged government officials. The next day she was to have an appointment at the social security office, which never occurred. This is when Charlotte realized she was conned.

She then contacted her brother, a lawyer, and filed reports with the police, FBI, and FTC. Charlotte contacted her bank to secure her other assets but won’t be getting her $50,000 back. She also ran anti-virus software to check for malware on her computer and changed the locks on her apartment door.

Despite her previous knowledge of scams and fraud, these circumstances seemed different and real to Charlotte.  When telling her story publicly, people were shocked since Charlotte was far from the “typical” victim. Her online persona and easy access to personal information by scammers was the basis of the scam. Charlotte noted “the psychological aftermath of being scammed is devastating. It’s such a violating experience and a lot of people have real anxiety and paranoia afterwards. They also feel ashamed, so these scams are wildly under-reported as a result. But if telling my story helps lift the guilt and shame for others, that’s also very gratifying.”  We are all vulnerable.

For additional information on this scam story, click here.

Teaching Suggestions

  • Have students talk to others to learn about any experiences with fraud or scams.
  • Have students create a podcast or visual proposal (poster or slide presentation) with suggestions for avoiding identity theft and scams.

Discussion Questions 

  1. What actions might have been taken to avoid this scam?
  2. Describe actions you might take to avoid identity theft and scams.   

Categories: Chapter 4, Chapter 6, Frauds and Scams, Identity Theft | Tags: ,

National Slam the Scam Day

Posted on June 28, 2025 by Melissa Hart

Social Security impersonation scams impact all age groups and remain one of the most common government imposter scams reported to the Federal Trade Commission.

“I strongly urge our citizens to be vigilant and protect themselves from criminal threats,” said Lee Dudek, Acting Commissioner of Social Security. “Scammers use fear and pressure to steal money or personal information and I implore Americans to hang up, ignore the messages, and report any scam attempts to oig.ssa.gov.”

Social Security will never tell you that your Social Security number is suspended; contact you to demand an immediate payment; threaten you with arrest; ask for your credit or debit card numbers over the phone; request gift cards, wire transfer, gold, cash, cryptocurrency; or promise a Social Security benefit approval or increase in exchange for information or money.

Criminals use sophisticated tactics to trick potential victims into disclosing personal and financial information. Be skeptical and on the lookout for these red flags: Typically, they use these P’s – Pretend, Prize or Problem, Pressure, and Payment. For example, scammers pretend they are from Social Security in phone calls, texts, emails, websites, or direct messages on social media, and claim there is a problem with the person’s Social Security benefits or Social Security number. The scammer’s caller ID may be spoofed to look like a legitimate government number. Scammers may also send fake documents to pressure people into complying with demands for information or money. Other common tactics include citing “badge numbers,” using fraudulent Social Security letterhead, and creating imposter social media pages to target individuals for payment or personal information.

Social Security employees do contact the public by telephone for business purposes. Ordinarily, the agency calls people who have recently applied for a Social Security benefit, are already receiving payments and require an update to their record, or have requested a phone call from the agency. If there is a problem with a person’s Social Security number or record, Social Security will typically mail a letter.

To report a scam attempt, go to oig.ssa.gov.

For more information, go to www.ssa.gov/scam, Social Security and OIG Partner for National Slam the Scam Day | SSA  and www.ssa.gov/fraud.

Teaching Suggestions:

  • Ask students if they or their family members have been contacted by Social Security employees?  If so, what was the reason for the contact?
  • Ask students if they have ever called Social Security local office?  If so, what was their experience with the office?

Discussion Questions:

  1. What can people do to protect themselves from criminal threats by fraudsters?
  2. What are examples of tactics that scammers use to steal your money and personal information?
Categories: Chapter 6, Frauds and Scams | Tags: | Leave a comment

Top scams of 2024

Posted on May 31, 2025 by Melissa Hart

Even though the number of fraud reports is roughly the same as last year, more people lost a lot more money to fraud. One in three people who reported fraud said they lost money (up from one in four last year), adding up to $12.5 billion (up $2.5 billion from 2023). People lost over $3 billion to scams that started online, compared to approximately $1.9 billion lost to more “traditional” contact methods like calls, texts, or emails. However, people lost more money per person (a median of $1,500) when they interacted with scammers on the phone. And, once again, imposter scams topped the list of scams reported.

Here are some other things to know:

  • The biggest scam losses happened by bank transfer or payment. Among all payment methods, people reported losing more money through a bank transfer or payment ($2 billion), followed by cryptocurrency at $1.4 billion.
  • Investment scams led to big losses. A majority (79%) of people who reported an investment-related scam lost money, with a median loss of over $9,000. The $5.7 billion losses in this category are up about $1 billion from last year.
  • People reported losing money more often when contacted through social media. Most people (70%) reported a loss when contacted on a social media platform — and lost more money overall ($1.9 billion).
  • Job scams and fake employment agency losses jumped — a lot. Between 2020-2024, reports nearly tripled and losses grew from $90 million to $501 million.
  • Younger people lost money more often. People aged 20-29 reported losing money more often than people 70+. But when older adults lost money, they lost far more than any other age group.

The biggest takeaway? Reporting a fraud can make a difference. If you see a fraud or scam, the FTC wants to hear about it: go to ReportFraud.ftc.gov.

For more information, go to:

Top scams of 2024 | Consumer Advice

Teaching Suggestions:

  • Did you or someone you know report a scam to the FTC?  How do such reports help the FTC bring enforcement cases and educate people about scams?
  • Why do younger people lost money more often than people 70+?

Discussion Questions:

  1. Why is it important to report a fraud or scam to the FTC?
  2. How do you report a fraud or scam to the FTC?

Categories: Chapter 6, Frauds and Scams, Uncategorized | Tags: | Leave a comment

Detect Immigration Scams  

Posted on April 19, 2025 by Melissa Hart

Scammers are impersonating attorneys and law firms, offering immigration services on social media. The posts on Facebook and other platforms might be in English or your preferred language. If you press like or leave a comment, they’ll contact you and guarantee you’ll get a work permit, green card, or citizenship — but it’s a scam. How do you spot and avoid the scammers?

The elaborate scam often starts with an offer to help you with immigration paperwork. Next, scammers ask you to send them money using Western Union or Zelle. In return, they say they’ll supposedly get you an appointment with U.S. Citizenship and Immigration Services (USCIS). People who paid scammers report having virtual appointments on Zoom or WhatsApp with a “USCIS officer” in uniform — all part of the scam. The truth? Some immigration proceedings are now virtual, but applicants get their appointments by mail or through their MyUSCIS account, never on messenger apps.

To protect yourself and others from immigration scams:

  • Go to USCIS.gov for legitimate immigration information. If you have a pending application or petition, check your case status online.
  • Recognize fake government websites. Even if a page looks legit, if the address doesn’t end with .gov, it isn’t a government website.
  • Know what types of payment USCIS accepts for filing fees. Anyone who asks you pay USCIS a different way is a scammer.
  • Share what you know. Forward this alert to people in immigrant communities. Tell them to check out ftc.gov/immigration for advice on how to find real immigration help and avoid scams targeting immigrants.

Have you spotted an immigration scam or think you may have paid a scammer? Tell the FTC at ReportFraud.ftc.gov — or in Spanish at ReporteFraude.ftc.gov. To report in other languages, call (877) 382-4357 and press 3 to speak to an interpreter in your preferred language. 

For more information, click here:  

Teaching Suggestions:

  • Make a list of actions one should take to spot and avoid the scammers.
  • What would you do if you spot an immigration scam?

Discussion Questions:

  1. Why do scammers want you to send them money using Western Union or Zelle?
  2. How can you recognize fake government websites?
Categories: Chapter 6, Consumer Complaints, Frauds and Scams, Identity Theft | Tags: , , | Leave a comment

USE THE NUDGE THEORY TO CUT SPENDING

Posted on March 1, 2025 by Melissa Hart
  • Useless spending can crush your savings goals.
  • The easier it is to spend money, the more likely you will spend it. 
  • Making things difficult can actually be a good thing.
  • Small changes can result in significant improvements over time.

These principles make up the nudge theory, which suggests that behavior can be shaped through small, subtle changes. Making spending harder can discourage spending and increase your financial awareness to achieve savings goals.

Adding friction to your spending activities can force you to make more deliberate purchases. To nudge your savings by reducing spending, consider the following actions:

  • Only pay cash for several weeks or months. The inconvenience of obtaining cash and keeping track of it for payments can reduce spending on frivolous items. Seeing cash in your hand can also make you more aware of its value.
  • To be more disciplined, write out a list of purchases on paper or using a notes app. While this can be annoying, it can result in immediately having more money for savings.
  • Account for all spending to avoid wasting money on silly and useless things such as empty calories and products you may not use.
  • Before making a credit card purchase, check your current account balance to help deter unneeded purchases and increased debt. 

These strategies are useful for those who are concerned about their spending and who live paycheck to paycheck. While companies make every effort to remove barriers for your spending, don’t make it simple for your money to leave you…put up obstacles.

This approach may not be for everyone. However, taking some action might save you $1,000 a year, which over ten years could be worth over $15,000 when the money is placed in an index fund or other stable investment.

For additional information on the nudge theory, click here.

Teaching Suggestions

  • Have students talk to others to obtain suggested actions for controlling their spending.
  • Have students create a podcast to communicate actions to control spending.

Discussion Questions 

  1. What aspects of the nudge theory might be useful for your money management activities?
  2. Describe actions a person might take to place barriers on their spending.   
Categories: Budget, Chapter 1, Chapter 2, Chapter 6, Financial Planning | Tags: , , | Leave a comment

DYNAMIC PRICING

Posted on January 18, 2025 by Melissa Hart

As you read this, prices are changing and can vary several times today. Dynamic pricing makes use of machine learning and artificial intelligence to determine changes in the costs of goods and services.

Setting prices for a product of service is an economic art to ensure a profit from the sale of each item. However, a fair price as perceived by customers is also necessary for attracting repeat sales.

Dynamic pricing differs from price gouging, which involves exploitation often because of a natural disaster (hurricane, tornado, earthquake). When an extreme need for water, food, batteries and other necessities exists, a business may radically raise prices on those items: that’s price gouging and is prohibited in many states.

Examples of dynamic pricing include:

  • Online retail prices can vary several times during a day. These variations are based on supply, demand, prices charged by competitors, the season, and clicks for an item.  The price may also vary if purchased on your phone or on your computer.
  • Fast-food businesses and other restaurants may adjust prices based on customer tracking data, demand and peak times.  Dynamic pricing can encourage customer visits on less popular days and slow times.  A backlash can occur when customers know they are being charged more during lunch than at other times of the day.
  • Ticket prices for sporting events, concerts, and Broadway shows in great demand are often higher than other events.
  • Airlines are a major user of dynamic pricing. Weekend airfares are often more expensive than weekdays as are holiday travel prices.  The fare can vary by day, location, weather, and other factors.  Flexibility of travel dates, checking online sites at different times, and viewing online calendars provided by airlines can result in savings.  
  • In addition, dynamic pricing is used by hotels, local stores, supermarkets, gas stations, car rental companies and others.

In the future, expect companies to continue to use technology to change prices many times each day. Consumers need to be smarter, shop around, and be diligent. Bottom of Form

For additional information on dynamic pricing, click here.

Teaching Suggestions

  • Have students monitor prices several times over two weeks to determine changes in an item in a store or online.
  • Have students identify online sites and apps that monitor prices to assist consumers in getting the best prices for various items.

Discussion Questions 

  1. What factors commonly affect price changes for items you buy regularly?
  2. Describe actions a person might take to get the best prices.   
Categories: Chapter 6, Wise Shopping | Tags: , | Leave a comment

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