SUMMARY: Government impersonation scams are on the rise, targeting vulnerable individuals with official-sounding threats and urgent demands for money. Learn how to recognize the warning signs and how we’re trained to protect members from financial harm.

When a longtime member came into one of our branches asking to empty his account, something didn’t seem right.

The member appeared distressed and reluctant to explain what was happening – but through gentle conversation and awareness of red flags, our team suspected a scam and acted quickly to protect him.

The member eventually shared that a government agency was involved, that someone had stolen his identity, and – most concerning of all – that he’d been instructed not to tell his spouse. Those signs pointed to a common and growing form of fraud: government impersonation scams.

In these schemes, scammers pose as officials from agencies like the U.S. Treasury, IRS, FBI, or Bureau of Alcohol, Tobacco, Firearms and Explosives. They often use fake badges, official-looking emails, and even real personal information to sound convincing. Victims are pressured to wire money or withdraw large sums under the guise of protecting their accounts or complying with a legal threat.

The Federal Trade Commission (FTC) warns that government agencies will never contact you via phone, text, email, or social media to ask for money or personal information. Only a scammer will.

At the Credit Union, our staff is trained to recognize warning signs – especially when a member makes unusual or large withdrawals, appears nervous or afraid, or says they’ve been told to keep the transaction a secret. Asking questions like “Can I ask who you’re sending the money to?” or “Has anyone asked you not to talk about this?” can make all the difference in revealing a scam in progress.

In this case, collaboration between our branch and fraud teams helped stop the scam before the member lost any money. It's a powerful reminder that listening closely, asking the right questions, and trusting your instincts can protect not just accounts – but people.