New Phishing Scam Targeting Economic Stimulus Payments
Right on cue we are starting to see phishing scams with an economic stimulus payment flavor. As we discussed in one of the IRS phishing scam blog entries we predicted that as the economic stimulus payment distribution got closer (currently scheduled to begin May 2nd based on the last two digits of your Social Security Number) we would start to see more scams around these payments. We are starting to see some of the first iterations of those scams today.
As has been common with most of the government agency spoofs that we have seen over the past year, this one has an IRS logo at the top of the message that is being pulled directly from the IRS web site at irs.gov.
The samples that we are seeing allege to be from "service@irs.gov" and have a subject line of "2008 Economic Stimulus Refund."
The phish content is as follows:
Over 130 million Americans will receive refunds as
part of President Bush program to jumpstart the economy.
Our records indicate that you are qualified to receive the
2008 Economic Stimulus Refund.
The fastest and easiest way to receive your refund is by
direct deposit to your checking/savings account.
Please click on the link and fill out the form and submit
before April 24th, 2008 to ensure that your refund will be
processed as soon as possible.
Submitting your form on April 24th, 2008 or later means that
your refund will be delayed due to the volume of requests we
anticipate for the Economic Stimulus Refund.
To access Economic Stimulus Refund, please click here.
The "click here" link takes the user to a prototypical phishing site where they are asked for their bank routing number and checking account number so that the rebate can be directly deposited into their checking account. The scammers are also trying to establish a sense of urgency to get you to click the link by saying that you have to fill out and submit the form before April 24th if you want to get your stimulus payment on time. Failure to do so will result in delays. This could be an effective tactic against those who may not be scheduled to receive their rebate until July or against the extremely impatient who think that this could be a shortcut to getting their rebate quicker.
This is about the time that we expected to start seeing these scams start coming out, and this certainly won't be the last of them, especially since the distribution of the stimulus payments is expected to last a couple of months.
As with all of the IRS scams that we have seen to date, there are a couple of things that you should remember:
-- The IRS does not communicate with the public over email.
-- To that point, the IRS does not even know what your email address is. If you use at home tax software the software vendor might ask you for your email address, but this is for the purpose of sending you status updates with respect to your tax filing. These emails are not from the IRS.
With respect to the economic stimulus payments, also remember:
-- The economic stimulus payments are being distributed based on your 2007 tax filing. The information for how to distribute your rebate to you will be done based off of your tax forms.
-- The payment schedule for the economic stimulus payments has already been established by the IRS. There is no way to accelerate this process.
Posted by smasiello at 1:43 PM | Link | 11 comments
Comments
Re: New Phishing Scam Targeting Economic Stimulus Payments
Hey, thanks for this post. I will try to share this information as much as possible. I work for a company that manages and tracks gift cards and we've blogged about this topic on savvywallet.com. There's seems to be a lot of confusion around the topic. I commented how retailers are offering bonuses for people who trade in their stimulus for gift cards. For example: $630 for $600. Consider this: Last year $100B was spent on gift cards and around $8B, was lost/unredeemed. My advice? Save the cash, put it towards debt, heck allow Uncle Sam to finance that 50in plasma I've always wanted.
Posted by Austin Chu on April 22, 2008 at 3:31 PM
Re: New Phishing Scam Targeting Economic Stimulus Payments
Austin,
Good comments. Since you are on the topic I definitely see these "bonuses" as you mentioned as another potential avenue for scams. I would imagine that this could be very lucrative for a scammer if the social engineering tactic used was effective. "Investment Opportunities" are also a very likely candidate for stimulus scams. We've been seeing these dropping off in the past few months as viagra and pill spam has taken center stage again, but with the large dollar figure associated with this stimulus plan ($168B) that is certainly going to be too large a target for cyber criminals to ignore!
Good comments. Since you are on the topic I definitely see these "bonuses" as you mentioned as another potential avenue for scams. I would imagine that this could be very lucrative for a scammer if the social engineering tactic used was effective. "Investment Opportunities" are also a very likely candidate for stimulus scams. We've been seeing these dropping off in the past few months as viagra and pill spam has taken center stage again, but with the large dollar figure associated with this stimulus plan ($168B) that is certainly going to be too large a target for cyber criminals to ignore!
Posted by Sam Masiello on April 23, 2008 at 10:39 AM
Re: New Phishing Scam Targeting Economic Stimulus Payments
There are a couple websites that claim they can help filling a tax rebate online. How do I know they are legitimate? For example taxact.com, tax-stimulus-rebate.net?
Posted by Ani June on April 24, 2008 at 9:58 AM
Re: New Phishing Scam Targeting Economic Stimulus Payments
The rebate is automatic IF you filed your 2007 Tax Returns. There is nothing to fill out, so anyone offering to help you 'fill out' the rebate forms is ripping you off.
Posted by Donnie Hazle on April 24, 2008 at 2:23 PM
Re: New Phishing Scam Targeting Economic Stimulus Payments
For the past few days I have found myself totally frustrated by the inefficiency of the Federal Government.
I filed my 2007 tax refund by paper copy (I filled out my own forms) and received my refund some time ago by direct deposit into my checking account. Based on my social security number my economic stimulus payment was scheduled to be direct deposited in that same account on May 2. It has not. Please note; this is only a very small part of my issue.
The IRS finally confirmed on the 7th that the deposit was made. It just wasn't made to my account; in fact the routing number and last four digits of the account it was posted to bear no resemblance to the ones on my tax forms.
The individual at the IRS I spoke with didn't know how to report this. She had no supervisor available for me to speak to.
The FBI hung up on me, because they don't "handle this."
The IRS hotline email address finally responded yesterday morning, but informed me that I needed to contact another branch of the Treasury Dept., but their initial email neglected to give an address or phone number. Eventually they did respond with that and I reported this issue to what I believe is the proper department.
That Department (Treasury Inspector General for Tax Administration Complaints@tigta.treas.gov) has yet to acknowledge receipt of my correspondence, although I have certainly had emails from every single office that denies any responsibility or ability to help.
The crux of the matter is that someone or some entity altered the information on my tax information after it was entered into the IRS system. This is not a simple matter of transposing a couple of numbers; they are nowhere near similar to one another. And it is not a simple matter of just my little $300 (which only matters to me I suppose.)
If someone changed the numbers from my tax form (and someone had to, either that or the IRS computer system has been hacked) other accounts are also at risk.
Aside from the fact that it is nearly impossible to find a fast method of making direct contact with a human being employed by the Federal Government there is apparently no communication whatsoever between separate Departments or even offices within the Departments.
If no one has received, opened, and read my email reporting my problem, then no one has begun an investigation into the misappropriated funds. Certainly no one has contacted me for additional information regarding the problem. There are criminal issues here as well as the annoyance factor which I have been dealing with.
I have contacted my US Senators, my local police, and the Washington Post with this information. If the designated branch of the government will not work on the problem, I will continue to contact everyone I can think of and I will continue to make people aware of the problem I have encountered by means of the Internet.
Marie Pacha
I filed my 2007 tax refund by paper copy (I filled out my own forms) and received my refund some time ago by direct deposit into my checking account. Based on my social security number my economic stimulus payment was scheduled to be direct deposited in that same account on May 2. It has not. Please note; this is only a very small part of my issue.
The IRS finally confirmed on the 7th that the deposit was made. It just wasn't made to my account; in fact the routing number and last four digits of the account it was posted to bear no resemblance to the ones on my tax forms.
The individual at the IRS I spoke with didn't know how to report this. She had no supervisor available for me to speak to.
The FBI hung up on me, because they don't "handle this."
The IRS hotline email address finally responded yesterday morning, but informed me that I needed to contact another branch of the Treasury Dept., but their initial email neglected to give an address or phone number. Eventually they did respond with that and I reported this issue to what I believe is the proper department.
That Department (Treasury Inspector General for Tax Administration Complaints@tigta.treas.gov) has yet to acknowledge receipt of my correspondence, although I have certainly had emails from every single office that denies any responsibility or ability to help.
The crux of the matter is that someone or some entity altered the information on my tax information after it was entered into the IRS system. This is not a simple matter of transposing a couple of numbers; they are nowhere near similar to one another. And it is not a simple matter of just my little $300 (which only matters to me I suppose.)
If someone changed the numbers from my tax form (and someone had to, either that or the IRS computer system has been hacked) other accounts are also at risk.
Aside from the fact that it is nearly impossible to find a fast method of making direct contact with a human being employed by the Federal Government there is apparently no communication whatsoever between separate Departments or even offices within the Departments.
If no one has received, opened, and read my email reporting my problem, then no one has begun an investigation into the misappropriated funds. Certainly no one has contacted me for additional information regarding the problem. There are criminal issues here as well as the annoyance factor which I have been dealing with.
I have contacted my US Senators, my local police, and the Washington Post with this information. If the designated branch of the government will not work on the problem, I will continue to contact everyone I can think of and I will continue to make people aware of the problem I have encountered by means of the Internet.
Marie Pacha
Posted by Marie Pacha on May 9, 2008 at 8:43 AM
Re: New Phishing Scam Targeting Economic Stimulus Payments
Marie,
That's a very interesting story that you relayed. I am especially concerned with your comment that "The crux of the matter is that someone or some entity altered the information on my tax information after it was entered into the IRS system."
I'm curious, you mentioned that you filled out your own forms, but didn't mention if you used a commercial application like a TurboTax to file them. Do you do all of your tax worksheets by hand or do you use an out of the box software application to do the math and e-file?
That's a very interesting story that you relayed. I am especially concerned with your comment that "The crux of the matter is that someone or some entity altered the information on my tax information after it was entered into the IRS system."
I'm curious, you mentioned that you filled out your own forms, but didn't mention if you used a commercial application like a TurboTax to file them. Do you do all of your tax worksheets by hand or do you use an out of the box software application to do the math and e-file?
Posted by Sam Masiello on May 12, 2008 at 1:12 PM
Re: New Phishing Scam Targeting Economic Stimulus Payments
I completed my tax forms manually (no softward applications or third parties), and submitted them by USPS. My refund was directly deposited to the correct account.
As of yesterday, three Senators' offices (I contacted one from my previous state of residence) and a Congresswoman's office had responded to my pleas for assistance. I must admit I was quite impressed with those responses.
The IRS has also phoned me as of yesterday and informed me that the payment is being "bounced" back to them, and they will issue a paper check on the 23rd.
They (the IRS) also informed me that the information from my original return was transferred electronically to the stimilus payment; ie no human hands should have touched it.
While that should reassure me, it does not.
That explanation still does not answer how this occurred and to me would indicate any number of payments could be affected. It also does not reasure me as to whether or not my confidential financial information has in some way been compromised.
One of the IRS's explanations for presuming that this is an isolated incident it the fact that apparently complaints like mine are not presenting themselves. I can tell you that given the difficulty I had finding ANYONE to take notice would have discouraged most individuals from continuing to find someone to take action. It just made me more determined and persistent in my search for answers.
Marie
FYI, according the IRS website now; using any type of tax preparer or program where funds are withdrawn for fees will cause the payment to arrive by check as opposed to direct deposit. Anyone interested should check the IRS website for the exact wording and details.
As of yesterday, three Senators' offices (I contacted one from my previous state of residence) and a Congresswoman's office had responded to my pleas for assistance. I must admit I was quite impressed with those responses.
The IRS has also phoned me as of yesterday and informed me that the payment is being "bounced" back to them, and they will issue a paper check on the 23rd.
They (the IRS) also informed me that the information from my original return was transferred electronically to the stimilus payment; ie no human hands should have touched it.
While that should reassure me, it does not.
That explanation still does not answer how this occurred and to me would indicate any number of payments could be affected. It also does not reasure me as to whether or not my confidential financial information has in some way been compromised.
One of the IRS's explanations for presuming that this is an isolated incident it the fact that apparently complaints like mine are not presenting themselves. I can tell you that given the difficulty I had finding ANYONE to take notice would have discouraged most individuals from continuing to find someone to take action. It just made me more determined and persistent in my search for answers.
Marie
FYI, according the IRS website now; using any type of tax preparer or program where funds are withdrawn for fees will cause the payment to arrive by check as opposed to direct deposit. Anyone interested should check the IRS website for the exact wording and details.
Posted by Marie Pacha on May 13, 2008 at 7:06 AM
Re: New Phishing Scam Targeting Economic Stimulus Payments
Question, We filed our income tax with a private service. Our income tax came within three weeks deposited in our bank acount. According to notification of when it should be deposited, ours is running late according to our lst two digits of s.s.number.
Posted by Lisa Praetorius on May 25, 2008 at 11:58 AM
Re: New Phishing Scam Targeting Economic Stimulus Payments
Check the IRS website Lisa. If individuals paid someone to prepare their taxes it says they will receive a check as opposed to direct deposit; even though the refund was direct deposit.
Posted by Marie Pacha on June 2, 2008 at 1:28 PM
Re: New Phishing Scam Targeting Economic Stimulus Payments
Marie, you are very incorrect in your perception of the facts. If you used an option to receive a RAL, Refund Anticipation Loan or had filing or Preparer Fees deducted from your refund, then yes you will be waiting for a paper check. However, if you used the option to pay for your filing fees or prep fees yourself, you would receive your stimulus exactly as you received your refund. Also, if you used more than one account to deposit your fed refund, you will get a check.
Posted by Sara Jones on June 4, 2008 at 8:52 AM
Re: New Phishing Scam Targeting Economic Stimulus Payments
I reposnded to the postmaster@irs.gov mail with my name address and social number but not bank information. Any recommendations about what to do? Has the site been shut down? What can't the irs buy up all the irs.gov sites so we will not be fooled? Appreciate advice
Posted by Pia on October 31, 2009 at 3:58 PM
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