IOWA, USA — This Valentine's Day, the Iowa Insurance Division is warning people to be weary of romance scams.
According to the Federal Trade Commission, romance scams were responsible for $1.3 billion in fraudulent claims in the last five years, with record high of $547 million claimed in 2021.
"A romance scammer is when a professional swindler uses a fake identity to gain a victim's trust," Consumer Advocacy Officer for the Iowa Insurance Division Sonya Sellmeyer said.
According to authorities, other than matching on a dating or social media site, the first point of contact could be a random text message or phone call using a fake identity. Scammers might also make excuses like being in the military or living out of the country to avoid meeting victims in person.
"They ask you for money, they ask you for personal information or they ask you to move money for them, which unbeknownst to you, is being a money mule because you're moving that money illegally," Sellmeyer said.
After gaining a victim's trust, scammers will act like they're in an urgent situation that only money can solve. Some examples include medical issues, being stranded in a foreign country or needing to pay legal fees.
"Unfortunately, sometimes if these scams are overseas and the money has been sent overseas, we might not be able to get that money back for you," Sellmeyer said. "But reporting it is the most important step in getting justice on these matters."
Here are some tips on how to stay safe when it comes to online relationships:
- Never give out your personal banking information or send money to someone you don't know.
- Use a reverse image search on Google to check if the profile picture has been used elsewhere.
- Double check all investments with legal aid or your state insurance division.
"The pandemic has caused an increase in our cases in romance scams because of the isolation," Sellmeyer said. "We didn't have a whole lot of reported cases to the insurance division about romance scams prior to the pandemic. We do have more now."
Because victims are ashamed of what happened, Sellmeyer said, they don't usually report it, and therefore, the number of victims and money lost is likely higher than recorded.
If you or someone you know has been a victim of a romance scam, contact your local enforcement, Iowa FBI, Illinois FBI, the Iowa Insurance Division or the Illinois Department of Insurance.
If you're a victim in Iowa, you can call Sellmeyer at 515-654-6538.