Immediate steps to take right after you discover a scam

If you suspect you’ve been scammed, act immediately. Time is critical to limit financial loss and lock down compromised accounts.

  • Secure accounts: Change passwords for online banking, email, and any account that might be linked to the scam. Use strong, unique passwords and enable multi-factor authentication (MFA) where available.
  • Contact your financial institutions: Call your bank or credit card issuer to report fraudulent transactions and request a block, account freeze, or new cards. For unauthorized credit card charges, you’re protected under the Fair Credit Billing Act—report charges promptly to limit liability; many card issuers waive unauthorized charges entirely (CFPB).
  • Stop payments and reverse transfers: Ask your bank to stop pending ACH or wire transfers if possible. For unauthorized electronic transfers from deposit accounts, you may have protections under Regulation E—reporting timelines matter (CFPB).
  • Document everything: Save emails, screenshots, call logs, transaction receipts, and any communication from the scammer. Record dates, times, names, and the exact wording of messages or calls.

Who to report to (official agencies and why)

Reporting the scam to the right agencies does two things: it starts formal investigations and creates a public record that helps authorities spot patterns.

  • Federal Trade Commission (FTC): File a report at reportfraud.ftc.gov or IdentityTheft.gov for identity-related fraud. The FTC collects complaints and provides a personalized recovery plan (FTC).
  • Internet Crime Complaint Center (IC3): For internet-enabled frauds (phishing, online marketplace scams, business email compromise), file a complaint with the FBI’s IC3 at ic3.gov. IC3 shares information with federal and state law enforcement.
  • Consumer Financial Protection Bureau (CFPB): If the scam involves a bank or financial company’s product or service problem, submit a complaint at consumerfinance.gov/complaint.
  • Securities and Exchange Commission (SEC): For investment-related frauds or suspicious broker-dealer activity, contact the SEC’s Office of Investor Education and Advocacy (sec.gov) and consider filing a complaint.
  • State Attorney General and local police: File a police report with your local law enforcement and submit a complaint to your state attorney general’s consumer protection division. A police report can be required by banks or credit bureaus during recovery.
  • Social Security Administration (SSA)/IRS: If your Social Security number or tax accounts were used fraudulently, notify the SSA and the IRS. The IRS offers an Identity Protection PIN (IP PIN) and special procedures for tax-related identity theft (irs.gov/identity-protection).

(Authoritative sources: FTC, CFPB, IC3/ FBI, SEC, IRS.)

Steps to protect your credit and identity

  • Place a fraud alert or freeze your credit: Contact one of the three major credit bureaus—Equifax, Experian, or TransUnion—to request an initial fraud alert (lasts one year) or a credit freeze (blocks new credit). A single request will notify the other bureaus of an alert in many cases. Freezes and alerts are free under federal law (FTC).
  • Get your free credit reports: Use AnnualCreditReport.com to pull reports from all three bureaus and look for unfamiliar accounts or inquiries.
  • Use IdentityTheft.gov recovery tools: If your identity is stolen, file a report at IdentityTheft.gov to get a recovery plan and pre-filled letters/forms for credit bureaus and collection agencies (FTC).
  • Monitor accounts and consider credit monitoring services: Watch bank and credit card statements closely for 12–24 months. Consider paid credit monitoring if you’re at high risk.

Useful FinHelp resources:

How to report specific types of scams

  • Phishing and account takeover: Forward phishing emails to the company being impersonated (many banks and services have an abuse/reporting email). Report to the FTC and the company. If money was stolen, report to your bank immediately.
  • Investment scams: Report suspected broker/dealer fraud or investment adviser misconduct to the SEC and your state securities regulator. Keep all offer materials, emails, and wire records.
  • Romance scams and impersonation: File FTC and IC3 reports, and keep communications which can help investigators trace the scammer.
  • IRS impersonation: Report IRS impersonation phone calls or emails to the Treasury Inspector General for Tax Administration (TIGTA) and the FTC. Do not provide sensitive tax or financial information over unsolicited calls (IRS, TIGTA).

Filing a strong report — information to include

When you file reports, include as much detail as possible. A thorough complaint speeds investigation and recovery:

  • Your name, contact info, and the date/time you first noticed the scam.
  • Names, email addresses, phone numbers, URLs, and payment details used by the scammer.
  • Exact wording from emails or scripts used in calls (copy and paste or screenshots).
  • Bank statements or transaction records showing unauthorized transfers.
  • Any communications with the financial institution and steps already taken.

Dealing with banks, card issuers, and payment services

  • Credit cards: Dispute fraudulent charges immediately. Under the Fair Credit Billing Act, liability for unauthorized charges is limited if reported promptly; many issuers waive liability altogether (CFPB).
  • Debit cards and bank accounts: For unauthorized electronic transfers, contact your bank right away. Federal rules under Regulation E provide timelines and possible liabilities for unauthorized electronic transfers—reporting quickly improves chances for recovery (CFPB).
  • Wire fraud and ACH scams: Banks may not guarantee reversal of wire transfers, but they will attempt to retrieve funds. Early reporting and police reports raise recovery odds.

Recovering money — what’s realistic

Recovery depends on the type of scam and how quickly you act:

  • Unauthorized credit card charges are among the easiest to reverse.
  • ACH/wire transfers and prepaid cards are harder to recover, especially if funds were sent abroad or to cryptocurrency wallets.
  • Banks and payment processors sometimes recover funds, but success is not guaranteed. File claims quickly and provide law enforcement reports to support your case.

Special considerations for seniors and vulnerable adults

Seniors are disproportionately targeted. If an older adult is a victim:

  • Contact their bank immediately and ask for protective steps such as adding a trusted contact or setting transaction limits.
  • Report suspected elder financial exploitation to Adult Protective Services and local law enforcement.
  • Consider placing a durable power of attorney or joint account only after careful review—this must balance protection and autonomy.

Timeline and follow-up actions

  • First 24–72 hours: Secure accounts, call banks/issuers, and file initial reports (FTC, IC3, bank dispute).
  • First week: File police report and state attorney general complaint if asked by your bank; place credit alerts or freezes.
  • 1–3 months: Follow up with creditors, monitor credit reports, and act on recovery letters from IdentityTheft.gov.
  • Ongoing: Continue monitoring for 12–24 months, check IRS notices, and keep records of all interactions.

Professional tips from practice

In my work helping clients recover from scams, certain steps improve outcomes:

  • Create a single folder (digital and physical) for all scam-related records to streamline claims and law enforcement interactions.
  • Use secure lines of communication. If a client must send sensitive documents, advise sending via secure portals, not email.
  • When dealing with elder victims, involve family members and financial institutions early to prevent further transfers.

Common mistakes to avoid

  • Waiting to report: Delays reduce the chance of recovery.
  • Ignoring small unauthorized charges: Small tests can precede larger fraud.
  • Posting details publicly: Avoid sharing account or recovery details on social media; scammers mine public posts.

Final notes and disclaimer

Reporting financial scams promptly helps you recover, protects others, and gives law enforcement valuable leads. This article summarizes common actions and official reporting channels but is educational only. For legal advice or assistance with complex recovery (large losses, international transfers, or suspected criminal rings), consult an attorney or a qualified consumer advocate.

(Authoritative sources referenced: Federal Trade Commission, Consumer Financial Protection Bureau, FBI/IC3, Securities and Exchange Commission, and IRS.)