Scams targeting utility customers are becoming more and more prevalent, both in Alabama and nationwide. Scammers are becoming increasingly sophisticated in their tactics; millions of dollars are lost each year to these types of imposter scams. More than ever, it’s important to be informed on what these tactics look like, how scammers work to gain trust of customers, and how to avoid becoming a victim to a utility scam.
“Currently, the most common type of scam is disconnection deception,” says Amanda Kemp, co-host and co-producer of Huntsville Utilities’ HUTV. “You’ll get a call claiming that your utilities will be turned off in the next thirty minutes unless you pay them immediately. They will tell you to go purchase prepaid debit cards, call them back, and read the information on the back of the card. They may also ask for your account number, banking information, or credit card information, and you never want to give any of these to the caller.”
In this tactic, scammers create a sense of urgency to pressure you into complying quickly without thinking it through. Remember that your utility company will send multiple disconnection notices via mail if your payment is past due, and you should not follow a caller’s instructions or give them any personal information.
Another new tactic that was first reported in February involves a scammer asking for payment in an external payment app. In this scam, the caller states your bill is past due and your service is about to be cut off. The only way to avoid this, they claim, is to go to an outside website, click a link, then pay using the Zelle app.
“Not only is this an attempt to steal your money, but it also puts your personal financial information at risk,” says Huntsville Utilities. They remind customers that they do not accept payment via Zelle or other payment apps, and the only way to pay your bill online is through the My Account feature of their website (www.hsvutil.org).
Remember to protect your personal information by keeping in mind that a utility company will not do the following over the phone:
- threaten imminent disconnection
- demand immediate payment to avoid disconnection
- ask you to pay using a payment app (Venmo, CashApp, Zelle, PayPal, etc.)
- ask you to meet a representative at an off-site location with cash
- ask you to pay using prepaid gift cards
- ask you for personal information (banking numbers, SSN, etc.)
Additionally, Huntsville Utilities customers can always check the status of their account through the “My Account” feature of the website (www.hsvutil.org) or by calling the Customer Information Center at 256-535-1200.
If you believe you have been the victim of a scam, call local law enforcement and your financial institution immediately.
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