Imposter scam: when the caller isn’t who they claim to be

An imposter scam happens when someone pretends to be a trusted authority, a government agency, a business, or even a family member. Here’s how to spot one before it costs you.

What is an imposter scam?

According to the FTC⁠(opens in new window), imposter scams come in many varieties but all work the same basic way: a scammer pretends to be someone trusted to convince the target to send them money. Imposter scams were the most reported type of fraud in the United States in recent years, more common than any other single category, precisely because the underlying tactic works across so many different disguises.

The most common disguises imposters use

Some imposters pretend to represent a government agency, claiming back taxes are owed, jury duty was missed, or arrest is imminent unless payment is made immediately. Others impersonate a well-known business, sending a fake refund notice or a bogus invoice designed to prompt a call to a number or a click on a link. A particularly painful variant, the family emergency scam, involves someone claiming to be a relative in distress, an accident, an arrest, an urgent need for bail money, specifically counting on fear and love for that family member to override usual caution.

What every version of this scam has in common

Regardless of the specific disguise, the FTC notes that a real government employee, agency, or legitimate business will never demand a money transfer, a purchase of gold, or moving funds to “protect” them from a supposed threat. Genuine institutions also don’t create the kind of extreme, immediate urgency scammers rely on, since real legal and financial processes involve documented steps, appeals, and time, not a single unexpected phone call demanding instant payment.

How Remitly protects you

Remitly will never contact anyone demanding an urgent transfer, threatening a penalty for not sending one, or claiming an account must be “verified” by sending money to a specific recipient. A message like this claiming to be from Remitly is not genuinely from Remitly, and shouldn’t be acted on.

Red flags to watch for

• Any call, text, or email demanding immediate payment to avoid arrest, a lawsuit, or another serious consequence. Real agencies don’t operate this way.

• Being told to pay with a gift card, cryptocurrency, or wire transfer specifically. These methods are hard to trace or reverse, which is why imposters prefer them.

• A supposed family member in a crisis who asks that other relatives not be told. Isolating a target from people who could verify the story is a deliberate, common tactic.

• Caller ID showing a familiar or official-looking number. This can be faked and is not reliable proof of who’s actually calling.

• Pressure to stay on the phone and act before there’s time to think or verify independently. This urgency is intentional and designed to prevent checking the story.

Why hanging up and calling back matters more than it seems

It might feel awkward or even rude to hang up on someone claiming to be from a bank or a government agency, but this simple action is one of the most effective protections available, since it removes the target from the scammer’s controlled environment and provides time to think and verify independently. A legitimate caller from any real institution will never object to being called back through an official number to confirm the same information.

Why imposter scams are especially effective against recent arrivals

Someone newly arrived in a country may be less familiar with exactly how a specific government agency or business normally communicates, making an official-sounding imposter call harder to immediately recognize as fake compared to someone with years of experience navigating that same system. Taking time to learn how real government agencies and major companies in a new country typically make contact, and what they would never ask for, builds a specific kind of familiarity that makes an imposter’s script stand out more clearly.

Why hanging up feels harder than it should

Many people describe feeling a strange social pressure to stay polite and continue a call even once something feels off, a natural instinct that scammers specifically exploit by adopting an authoritative or urgent tone. Giving explicit permission in advance to hang up immediately on any call demanding money or sensitive information, without needing to feel rude about it, makes that action easier to actually take in the moment.

Why scammers often ask you to stay on the line

Being told to stay on the phone while completing a specific action, like driving to a store to purchase gift cards, is a deliberate tactic to prevent pausing to consult someone else or research the situation independently. Recognizing this specific instruction as a red flag on its own, regardless of the story surrounding it, provides a reliable trigger to end the call. For a related pattern that specifically builds trust over time before asking for money, this guide to romance scam red flags⁠(opens in new window) covers a variant worth recognizing too.

In Summary

An imposter scam succeeds by borrowing the trust naturally extended to a real authority or loved one, which is exactly why slowing down and verifying independently, rather than reacting to the urgency in the moment, is the most reliable protection.

This publication is provided for general information purposes only and is not intended to cover all aspects of the topics discussed herein. This publication is not a substitute for seeking advice from an applicable specialist or professional. The content in this publication does not constitute legal, tax, or other professional advice from Remitly or any of its affiliates and should not be relied upon as such. While we strive to keep our posts up to date and accurate, we cannot represent, warrant, or otherwise guarantee that the content is accurate, complete, or up to date.