NEW YORK (AP) – Hurricanes Milton and Helen have opened the floodgates for people seeking disaster relief. With that comes the risk of fraud.
The Federal Trade Commission, Department of Justice, and Consumer Financial Protection Bureau all warn consumers to be wary of identity theft, price gouging, and other scams.
Small business owners also need to remain vigilant and be aware that scammers can attack both online and in person.
“We’re seeing an increase in cyberattacks during disasters,” said Jennifer Butler, disaster recovery partner at global advisory firm EisnerAmper. “Small businesses need to really pay attention to that and be aware of scams, phishing attempts, and potential cyber-attacks on their systems, because this is a time when bad actors are targeting small businesses.”
Small and medium-sized businesses may have a variety of employees and contractors coming and going after a disaster to mitigate damage and restart business, so business owners need to verify the identities of those they work with. You need to be careful.
“Always ask for identification, documents, etc.,” Butler says. People who claim to be employees of government agencies, especially the Small Business Administration, should not ask for payment in advance. “For those who say they’re from the federal government, make sure they’re not paying you to help them,” she added.
Florida officials said there have been reports of scammers in the area posing as Federal Emergency Management Agency employees and attempting to solicit financial information from storm victims.
If you suspect that your property may be a victim of fraud, please contact FEMA to report suspicious activity or possible fraud at 1-866-720-5721.
