Veterans and their families have always faced unique challenges, but one threat that is rising alarmingly fast is fraud. In 2025, the stakes are higher than ever, with scammers employing increasingly sophisticated tactics to exploit those who have served. From impersonators posing as government agents to deceitful investment schemes, understanding these threats is crucial for safeguarding your hard-earned benefits and personal information.
Understanding Veteran Fraud
Veteran fraud is when scammers specifically target veterans or their families to steal money, benefits, or sensitive personal information. This isn’t just another type of identity theft. It’s a calculated attack on those who have served, often exploiting their trust in official-looking communications and their need for support.
Why Are Veterans Prime Targets?
Access to Benefits: Veterans often receive government benefits, pensions, or healthcare assistance. Scammers know this and try to trick veterans into revealing personal details by pretending to be from the VA or other agencies.
Military Culture: There’s a deep sense of duty and trust in the military community. Con artists use this, posing as fellow veterans or officials, hoping veterans will let their guard down.
Public Records: Service records can be accessed by criminals, making it easier for them to personalize their scams.
The Toll on Veterans and Families
The damage isn’t just about losing money. The emotional stress can be brutal. Victims often feel betrayed, embarrassed, or isolated. Many veterans hesitate to report scams, worried it’ll make them look careless or vulnerable.
Financial Impact: A single scam can wipe out savings or benefits. Recovery can be slow, especially for those on fixed incomes.
Emotional Impact: Feelings of shame, anger, or mistrust can linger long after the scam. Families often feel the ripple effects, dealing with anxiety or strained relationships.
Veteran fraud in 2025 is evolving. Scams are getting more complex, and the emotional stakes are higher than ever. Knowing what’s out there is the first step to protecting yourself and those you care about.
Common Scams Targeting Veterans in 2025
Veterans are top targets for scammers, who prey on their sense of duty and trust in official-sounding offers. In 2025, scams are getting more sophisticated, often blending old tricks with new technology. Here’s a breakdown of the most common scams hitting veterans this year, including some real-world examples and what makes these schemes tick.
Imposter Scams
Scammers often pose as representatives from the VA, DoD, or trusted veteran organizations. They might claim to offer benefits updates, compensation, or special offers—but only if you “verify your identity” or pay a processing fee.
Red Flags:
Unsolicited calls or emails asking for sensitive info (Social Security number, military ID, bank details).
Pressure to act quickly or threats of losing benefits.
Requests for payment via wire transfer, prepaid card, or crypto.
How it Works:
A scammer calls, claiming to be from the VA. They say your benefits will be suspended unless you confirm your bank account. If you comply, your funds are siphoned off in minutes.
Phishing from Fake Agencies
Phishing emails and texts are becoming more convincing, with logos and language ripped straight from official sites. These messages lure veterans into clicking malicious links or downloading harmful attachments.
Common Tactics:
Fake websites that mimic government or military portals.
“Update your direct deposit” requests.
“Account locked” notices urging immediate action.
Tip: Always check the sender’s email address and avoid clicking links. Go directly to the agency’s real website instead.
Fraudulent Investment Schemes
Veterans are often targeted with investment “opportunities” promising high returns, often tied to real estate, crypto, or veteran-owned business ventures.
What to Watch For:
Promises of guaranteed returns or insider access.
High-pressure sales pitches—“limited time only.”
Lack of verifiable credentials.
Real-World Example: The Florida Bodybuilder Case
A notorious 2023 case involved a Florida bodybuilder who defrauded veterans by offering fake investment deals tied to his gym business. He used fabricated documents, manipulated trust, and pocketed thousands—leaving veterans with nothing but empty promises and drained accounts.
How Scams Operate
Trust Leverage: Scammers use military jargon and references to gain trust.
Authority Imitation: They often spoof caller ID or use official-looking email domains.
Personalization: Details about your service or benefits can be easily found online, making the con feel personalized and credible.
Red Flags to Remember
Unsolicited contact from “official” sources.
Requests for sensitive info or money.
Pressure to act immediately.
Unverifiable credentials or sketchy contact details.
If you’re ever unsure about a request or contact, tools like Cloaked can help protect your identity by creating masked emails and phone numbers. It’s one way to keep your real information safe while you confirm whether a contact is genuine.
Psychological Tactics Used by Scammers
Scammers are experts at getting inside your head. They don’t just steal money—they manipulate emotions, plant doubts, and push you into making decisions you’d never consider if you weren’t under pressure. Understanding these psychological tricks is the first step to staying safe.
Common Manipulation Techniques
1. Creating a False Sense of Urgency
Scammers want you to act fast—without thinking. They say things like, “Your account will be closed in 10 minutes unless you act now,” or “This offer expires in seconds.” The rush leaves no room for logic or research.
Example: You get a call claiming to be from your bank, saying there’s suspicious activity and you must confirm your details immediately. The panic is real. That urgency is their weapon.
2. Emotional Appeals
They prey on your feelings. Whether it’s fear, greed, or even compassion, scammers use emotions to cloud your judgment.
Fear: “Your child is in danger unless you pay this ransom.”
Greed: “You’ve won the lottery! Pay a small fee to claim your prize.”
Compassion: “We’re raising funds for disaster victims. Can you help right now?”
Anecdote: A retiree receives an email from someone claiming to be a distant relative in trouble overseas. The plea is desperate. Moved by empathy, the retiree wires money—only to find out later it was a scam.
3. Impersonation of Authority
Scammers often pretend to be someone you trust—like a bank official, government agent, or even tech support. They use official-sounding language, company logos, or spoofed phone numbers to seem legitimate.
Example: An email appears to be from your company’s HR department, asking you to update your payroll information. Everything looks official, but the link leads to a fake website designed to steal your credentials.
4. Social Engineering
They gather bits of personal information from your online presence, then use it to gain your trust. The more they know, the more convincing they sound.
Example: A scammer references your recent online purchase, making you believe their request is genuine.
Why These Tactics Work
Stress and Confusion: Under pressure, you’re less likely to think critically.
Desire to Help: Most people want to do the right thing, especially when a loved one or authority figure is involved.
Trust in Authority: We’re trained to listen to those in power—scammers exploit this instinct.
Staying One Step Ahead
It’s easier to spot these tricks when you know what to look for. Tools like Cloaked help protect your identity by masking personal details—making it harder for scammers to gather the information they need to make their ploys convincing. With features like disposable emails and virtual phone numbers, Cloaked gives you more control over what you share online, closing off many entry points scammers rely on.
Recognizing these tactics isn’t just about security—it’s about taking back control from those who try to manipulate your decisions. Stay alert, question urgency, and don’t let emotions override your judgment.
Steps to Verify and Secure Information
Protecting your identity and personal data is more critical than ever, especially for veterans who are frequent targets of sophisticated scams. Here’s a clear, step-by-step approach to verify offers and keep your information locked down.
1. Pause and Analyze Every Offer
Before clicking a link or sharing personal details, take a breath and ask yourself:
Is the source credible? Double-check email addresses, caller IDs, and website URLs. Scammers often use slight variations to appear legitimate.
Are you being pressured to act fast? Legitimate organizations don’t force you to make snap decisions. If you’re feeling rushed, slow down.
2. Cross-Check with Official Sources
Use government and veteran agency websites to verify offers or requests. For example, benefits and support programs should be confirmed through VA.gov or other known government domains.
Call official numbers—never rely on numbers provided in suspicious emails or texts.
3. Use Identity Protection Tools
Set up alerts for new credit activity or changes in your accounts.
Leverage privacy tools like Cloaked, which allows you to create masked emails and phone numbers. This adds a layer of separation between your real data and potential scammers, making it much harder for anyone to misuse your identity.
Enable two-factor authentication on all accounts. This simple step blocks most unauthorized access.
4. Practice Healthy Skepticism
Scammers play on trust and urgency. Develop a habit of questioning:
Unsolicited offers—especially those promising benefits, money, or exclusive access to programs.
Requests for sensitive data like your Social Security Number, bank details, or service history.
5. Keep Communication Secure
Stick to secure channels—use encrypted messaging apps or official portals for sensitive communication.
Avoid sharing personal info over public Wi-Fi or unverified websites.
6. Report Suspicious Activity
If something feels off, trust your gut and take action:
Contact the Department of Veterans Affairs if you suspect a scam targeting your veteran benefits.
Notify your bank or credit union immediately if financial information may have been compromised.
7. Stay Updated
Regularly review scam alerts on veteran-focused sites and federal agencies.
Attend webinars or read newsletters from reputable veteran advocacy groups for ongoing education.
Staying alert and informed is your first line of defense. Using privacy tools like Cloaked can help you protect your identity, especially when interacting online or responding to offers. Remember, a healthy dose of skepticism and secure communication habits can save you from most scams.
Recovering from Fraud
Falling victim to a scam is overwhelming—emotionally and financially. Acting quickly can make a world of difference. Here’s a clear path to help you regain control and protect yourself moving forward.
Immediate Steps After Discovering Fraud
1. Report the Scam Without Delay
Contact your bank or credit card company: Freeze or close accounts to stop further losses.
File a police report: This creates an official record, which can help with insurance and future legal actions.
Notify the Federal Trade Commission (FTC): Visit reportfraud.ftc.gov to file a complaint. This helps authorities track patterns and warn others.
Inform the Department of Veterans Affairs (VA): If the scam involved VA benefits or impersonated VA staff, contact your local VA office.
2. Document Everything
Keep all emails, texts, or voicemails: These may be crucial for investigations.
Write down all details: Times, dates, and descriptions of the interaction are vital for authorities.
The Importance of Quick Reporting and Legal Help
Every minute counts after you discover fraud. Quick action can limit losses and increase the chances of catching the scammer. Legal assistance is just as important—lawyers or veteran service organizations can guide you through claims, disputes, and recovery.
Legal aid organizations: Many offer free or low-cost advice for veterans.
Veteran Service Officers (VSOs): Certified professionals who help with VA-related issues, including fraud.
Financial Recovery Resources
Recovering stolen funds is tough, but there are steps you can take:
Contact your financial institution: Ask about fraud protection and reimbursement policies.
Credit bureaus: Place a fraud alert or credit freeze. Reach out to Experian, TransUnion, and Equifax.
Fraud isn’t just about lost money—it can shake your confidence and sense of security. Don’t ignore the emotional toll.
Veterans Crisis Line: Call 988 and press 1, or text 838255.
Peer support groups: Talking to others who’ve been through similar experiences can help with recovery.
Counseling services: Many VA centers and nonprofits offer free mental health support.
How Cloaked Can Help
Cloaked’s privacy tools are built to help you shield your personal information. By generating secure, disposable emails and phone numbers, you can keep scammers at bay and protect yourself when signing up for new services or communicating with unfamiliar contacts. This extra layer of privacy can be a crucial defense in a world where scams are on the rise.
No one expects to be scammed, but knowing how to respond makes all the difference. Take each step seriously, seek support, and remember: you’re not alone.
How to Report Scams and Seek Help
Scams are more than a nuisance—they can upend lives, especially for veterans and their families. If you spot something fishy or fall victim, acting quickly is critical. Here’s a straightforward guide to reporting scams and getting support.
Reporting Scams to Authorities
If you suspect fraud, don't wait. Reporting it helps protect you and others. Here’s how to get the ball rolling:
Contact the Federal Trade Commission (FTC):
Go to reportfraud.ftc.gov and fill out their online form. The FTC tracks scam trends and shares data with law enforcement.
Reach out to the FBI’s Internet Crime Complaint Center (IC3):
File an online report at ic3.gov. This is your go-to for internet-based fraud, including phishing emails or fake websites.
Notify local police:
If you’ve suffered financial loss or identity theft, file a report with your local police department. It’s not just about paperwork—it helps build cases against criminals.
Alert the Department of Veterans Affairs (VA):
If the scam involves VA benefits or services, call the VA’s Identity Theft Helpline at 1-855-578-5492.
Trusted Organizations and Resources
You’re not alone—there are organizations built to help:
AARP Fraud Watch Network:
Offers a helpline (1-877-908-3360) and scam-tracking tools, especially useful for veterans and seniors.
If you’re concerned about your digital privacy, tools like Cloaked can help you mask personal details—think of it as a digital shield. By using real-time email and phone number masking, you reduce your exposure to scam attempts.
Encouraging Vigilance and Community Support
Scammers count on silence and confusion. You can push back:
Talk about it:
Share your experience with friends, family, or veteran groups. The more people know, the harder it is for scammers to succeed.
Stay updated:
Scams evolve fast. Follow updates from the FTC, AARP, or trusted cybersecurity blogs.
Use privacy tools:
Consider apps that help you hide personal info when signing up for new services or websites—Cloaked is one such option, designed to help you control what information you share.
Support each other:
If you know someone who’s been targeted, offer help. Sometimes just listening or helping file a report makes a world of difference.
Being proactive and informed is your best defense. Reporting scams isn’t just about protecting yourself—it’s about keeping your community safer, too.
At Cloaked, we believe the best way to protect your personal information is to keep it private before it ever gets out. That’s why we help you remove your data from people-search sites that expose your home address, phone number, SSN, and other personal details. And to keep your info private going forward, Cloaked lets you create unique, secure emails and phone numbers with one click - so you sign up for new experiences without giving away your real info. With Cloaked, your privacy isn’t a setting - it’s the default. Take back control of your personal data with thousands of Cloaked users.
*Disclaimer: You agree not to use any aspect of the Cloaked Services for FCRA purposes.
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