Protect Yourself from Grant and Sweepstakes Scams: What You Need to Know

Winning a grant or sweepstakes sounds like a dream come true – until you realize it’s actually a scam designed to steal your money and personal information. These scams follow a predictable pattern, but the results are always the same: you lose money, time, and peace of mind.

How Grant and Sweepstakes Scams Work

Here’s how scammers typically operate:

1. The Bait: You receive a text or message congratulating you on winning a grant or sweepstakes. The sender claims they need your personal information – such as your name, address, income, and age – to confirm your identity and process your winnings.
2. The “Fees”: You’re asked to choose the amount of your supposed prize, with the condition that you pay a “clearance fee” upfront. For example:
   • Pay $850 to claim $35,000
   • Pay $2,150 to claim $100,000
   • Pay $3,500 to claim $200,000
3. The Gift Card Trap: The scammer instructs you to withdraw cash, purchase gift cards, scratch off the codes, and send photos of the cards.
4. The Never-Ending Fees: After sending the initial payment, more fees follow, such as a “stamp fee” or “Homeland Security paperwork fee,” often disguised as refundable expenses. Each time, you’re asked to send money, usually in creative ways like mailing cash hidden in boxes labeled as gifts.
5. The Realization: No matter how much you pay, the promised winnings never arrive. By the time you realize it’s a scam, the money is gone, and recovering it is nearly impossible.

How to Protect Yourself

Follow these tips to avoid falling victim to grant or sweepstakes scams:

• Ignore Unsolicited Messages: If you receive a text or message from someone you don’t know claiming you’ve won a prize, delete it immediately. Do not engage with the sender.
• Verify Before Trusting: Legitimate organizations will not ask for payment to claim a prize. If you’re unsure, contact the organization directly through official channels.
• Be Suspicious of Gift Card Requests: No legitimate sweepstakes or grant will ask you to pay fees with gift cards. This is a common red flag for scams.
• Guard Your Personal Information: Do not share sensitive details like your Social Security number, bank account information, or passwords with unsolicited contacts.
• Report the Scam: If you’ve fallen victim to this type of fraud, report it to your local FBI office or file a complaint with the Federal Trade Commission at ReportFraud.ftc.gov.

Your Security Is Our Priority

At Central Pacific Bank, we occasionally run promotional campaigns or contests, but we will never contact you to request account details, passwords, or one-time codes as part of these activities. We also won’t ask you to click on unsolicited links or provide personal information. If you ever receive such requests, they are not from us. For questions or concerns, contact our Customer Service Center directly at 808-544-0500.

For more tips on avoiding fraud and staying safe, visit cpb.bank/fraud.