What would you do if someone supposedly from your brokerage firm called and said your account has been hacked? Most people would be skeptical. But what if that person said someone is withdrawing money right now and that it’s imperative that you act quickly or the money will be lost? It’s different when there’s a sense of urgency. That’s how fraudsters operate.

How to identify fraudsters that are posing as a bank or brokerage employee:

· Urgency. Fraudsters create a sense of urgency. They may claim that your account has been compromised and insist that you act quickly to resolve the situation.

· Unsolicited messages. Ignore all unsolicited email and text messages promoting “exclusive” investment opportunities.

· Fake Fraud Alerts. Scammers send notices claiming fraud on your account and urge you to call them where they will then ask for your sensitive information.

· Crypto Currency. If someone urges you to send bitcoin then it is definitely a scam.

How to protect yourself:

· Enable two-factor authentication. In addition to entering a username and password, important websites should have an additional step where a code is sent to your phone. Enabling this additional step is the most crucial preventative measure that you can take. A financial firm (or someone supposedly from Microsoft or Apple) will never ask for the authentication numbers sent to your phone and if you do provide a scammer the numbers then you will be fully liable for all of their withdrawals.

· Never click on a link in an email or text. Not even an email that has a link to your monthly statements can be trusted. Instead of clicking on a link, go directly to the financial site. It helps to bookmark that page.

· Protect passwords. Never share a password or one-time codes with anyone who contacts you. Also, don’t use the same password for multiple sites.

· Don’t trust caller ID. If someone claims there is a problem with your account then log in to the account or call the firm using a verified phone number from a trusted source.

· Contact your adviser. If you have an investment adviser then immediately call them to help resolve any issues you may have.

David Vomund is an Incline Village-based Independent Investment Advisor. Information is found at www.VomundInvestments.com or by calling 775-832-8555. Clients hold the positions mentioned in this article. Past performance does not guarantee future results. Consult your financial advisor before purchasing any security.