An overpayment scam occurs when a scammer tricks victims into accepting a fraudulent payment, usually for more than the agreed amount. The scammer then requests a refund of the excess money before the victim realizes the initial payment was fake or reversed.
How This Can Happen:
Scammers often target online sellers, freelancers, or landlords by "accidentally" overpaying via fake checks, stolen credit cards, or fraudulent transactions. They then ask the victim to return the extra amount, which, once refunded, results in a financial loss when the original payment bounces.
Example of a Scam:
A scammer buys a laptop online, pays $1,500 instead of $1,200, and asks for a $300 refund. Later, the bank reverses the $1,500 payment, leaving the seller at a loss.
How to Protect Yourself:
- Never accept overpayments.
- Verify payments before issuing refunds.
- Use secure payment methods.
- Be cautious of urgent refund requests.