Public warned of increased scams involving precious metals

All that glitters is not gold, especially promises made by scammers.

Increased scams involving precious metals are targeting the public and the Idaho Department of Finance is warning people to be aware.

According to the department, the scams involve the physical purchase and delivery of gold and other precious metals, wherein the scammers trick their “victims into believing that either their identity, computer or financial account(s) have been compromised.”

Once the victim is convinced he or she has been compromised, the scammer directs that person to purchase gold or other precious metals to protect their assets, and then the victim is directed to deliver the metal to couriers. The courier poses as a government official, financial professional or tech support staff, who then takes the precious metals and delivers it to the scammer.

In the last eight months of 2023, the FBI reported, the victims, who are typically senior citizens, lost more than $55 million to the scam.

“Idahoans should be distrustful of anyone requesting the purchase of physical gold or precious metals for government or business purposes,” said Patricia Perkins, director of the Idaho Department of Finance. “Physical gold/precious metals scams are conducted by sophisticated illicit actors and organized crime groups, and it is vital for Idahoans to be diligent and take the necessary precautions to protect themselves.”

People should be on the lookout for the warning signs that point to them being targeted. Those include:

• A computer pop-up message appears stating the person has been hacked or an unsolicited call/text message is received from an unknown government official or business professional saying the person is the victim of identity theft or involved in a crime.
• The person is instructed to liquidate assets into gold or precious metals to protect the assets or to act as a form of collateral to ensure he or she is willing to cooperate with a government investigation.
• A new connection maintains frequent contact with the person via text and/or phone calls and instructs him or her to purchase gold or precious metals before directing the person to meet a courier.
• The person is instructed to authenticate the delivery of gold/precious metals by using a passcode.
• A supposed business professional or government official tells the person they will safeguard the assets in a protected account.

Additionally, the department offered tips for people to protect themselves from the scams by:

• Being skeptical of anyone claiming to be from the U.S. government or a legitimate business that directs them to purchase gold or precious metals for their safety or protection;
• not sharing their personal information with anyone they meet over the phone, by text or online;
• never clicking on unsolicited computer pop-ups, text message links or email links or attachments;
• not contacting unknown telephone numbers from computer pop-ups, text messages or emails;
• never giving unknown individuals access to their computer
• and not downloading software from unknown or unsolicited sources.

Those who believe they are someone they know is a victim of the scam should report the encounter to the Idaho Department of Finance Securities Bureau, local police and the FBI’s Internet Crimes Complaint Center, the department urged.