BBB Tip of the Week: How to avoid being taken by the Nigerian ‘Fund Transfer Scam’

Let me tell you the story of Mr. Q and how he lost $15,000 of his money.

Mr. Q was contacted via email by Mr. Ian McDonald who worked for the Bank of London. In the email, it stated a relative had left an inheritance at their death of $1.8 million, and Mr. Q was the next of kin. All he had to do was clear up some medical bills before being able to claim the inheritance to pay for the medical treatment his relative had received from Nigerian doctors and nurses.

These payments, made in monthly installments of $1,345, began in April 2017. Mr. Q was instructed to make payments via money transfer from Western Union and Money Gram by Mr. Gade McCurdy, who claimed to be working for the New York Federal Reserve. Mr. Q was getting ready to send the last payment when his friends recommended he call the Better Business Bureau.

When he called BBB, he provided an account of what transpired. He shared that during the process of making payments, he had to sell his car, among other items, to make the payments. He said he must now get around on foot and is thinking of what else to sell to make additional payments.

So many variations of this scam are popping up. To keep your money safe, BBB encourages you to follow these tips:

If you receive a letter from Nigeria or any other country asking you to send personal or banking information, do not reply. The BBB suggests you immediately delete or throw away the correspondence.

If you already have responded to such a plea, or if you know someone who is corresponding in this scheme, contact local law enforcement immediately.

Ignore individuals who say they are foreign government officials asking for your help in placing large sums of money in overseas bank accounts.

Be leery when strangers are eager to place unexpected, large amounts of money at your disposal in exchange for your bank account number or other personal or financial information.

Cashier checks and money orders can be counterfeit. When a stranger sends a check or money offer to purchase a product or service from you, consult with your bank about the time it will take to verify the check, and wait for the funds to clear.