New U.S. Government Scam Classifier Model

Introducing the New U.S. Government Scam Classifier Model: Revolutionizing Scam Detection Across the U.S. Government

The Scam Classifier model is an advanced tool developed to enhance the detection and classification of scams across the United States. This model supports consistent, detailed classification, reporting, analysis, and identification of various scam types, promoting accuracy in scam reporting and aiding in their mitigation. Designed for use alongside the FraudClassifier model, it ensures comprehensive fraud and scam categorization, improving the government’s ability to detect and prevent fraudulent activities.

The ScamClassiferSM model supports consistent and detailed classification, reporting, analysis and identification of trends in scams. It uses a series of questions to differentiate and classify scams by categories and types, and provides a view of the full impact of scams by including cases that resulted in authorized payments, as well as unauthorized payments from account access. The model also can be used to capture attempted scams

How the Scam Classifier Model Works

The Scam Classifier model leverages machine learning and data analytics to identify patterns and characteristics typical of scams. By analyzing vast amounts of data, the model can detect subtle cues and anomalies that may indicate fraudulent activities. It categorizes scams into detailed types, enabling more precise and actionable insights for law enforcement and regulatory bodies.

Benefits and Impact

Enhanced Scam Detection: The model’s sophisticated algorithms improve the identification of scams, reducing the number of successful fraudulent attempts.

Improved Reporting Accuracy: Consistent classification ensures that reports are precise, making it easier to track and analyze scam trends.

Better Resource Allocation: By identifying the most prevalent and harmful scams, resources can be directed more effectively to combat these threats.

Comprehensive Analysis: Integration with the FraudClassifier model allows for a holistic view of both fraud and scams, leading to more effective prevention strategies.

Implementation Across the U.S. Government

The Scam Classifier model will be deployed across various government agencies to bolster national security and protect citizens from financial fraud. Its integration with existing systems will streamline the process of scam detection and reporting, leading to quicker responses and better protection for the public.

To learn more visit: ScamClassifierSM Model: Successfully Registered for Access – FedPayments Improvement

SCAM DEFINITION:

The use of deception or manipulation intended to achieve financial gain

SCAM CLASSIFIER MODEL

STEP 1: CONFIRM SCAM

Does the case appear to meet the scam definition?

YES: Go to Step 2

NO: Refer to FraudClassifier to determine payment fraud classification

STEP 2: CONFIRM AUTHORIZED OR UNAUTHORIZED PAYMENT

What action resulted from the scam?

AUTHORIZED PAYMENT: Authorized party made a payment – Go to Step 3

UNAUTHORIZED PAYMENT: Authorized Party enabled unauthorized account access – Go to Step 3

STEP 3: IDENTIFY THE SCAM CATEGORY

How was the authorized party deceived or manipulated?

SCAM CATEGORY: Products or Services Buying or selling products or services – Go to Step 4

SCAM CATEGORY: Relationship and Trust – Someone posing as a business, organization, vendor, agency or other trusted party – Go to Step 4

STEP 4: SELECT THE SCAM TYPE

Select the scam type based on the deception used

Merchandise
Investment
Property Sale or Rental
Romance Impostor
Government Impostor
Bank Impostor
Business Impostor
Relative/Family/Friend
Other Trusted Party

EXAMPLES OF STEPS AND RESULTS:

Scam > Authorized Payment > Relationship and Trust > Bank Impostor
Scam > Unauthorized Payment > Products and Services > Merchandise

KEY TERMS AND DEFINITIONS

Authorized Payment

A payment entered or requested by a legitimate account owner or user from the owner’s account.

Unauthorized Payment

A payment entered or requested by a third party who has no legitimate right to move money from another entity’s account.

SCAM CATEGORIES AND DEFINITIONS

Products or Services

A situation involving a transfer of funds in exchange for a product or service, irrespective of the nature of the relationship between the two parties, in which the receiver of the funds does not deliver the product or service or delivers a grossly inferior product or service than the one advertised or promised.

Relationship and Trust

A situation involving a transfer of funds to a trusted party, or an impostor acting as a trusted or authoritative party, where there is no expectation or promise of merchandise in exchange for the transferred funds. The seemingly trustworthy party can be an existing or emerging relationship or a party pretending to be an authority or reputable company

SCAM TYPES DEFINITIONS AND EXAMPLES

Merchandise Scam

Purchase of merchandise that is never delivered or is substantially different from the advertised description or quality. Scam examples: Online purchase scams, puppy and pet scams, and sales of fake sports or concert tickets, counterfeit prescription drugs or fake anti-aging remedies.

Investment Scam

An investment in a financial asset with the expectation of a high return rate based on false promises. Scam examples: Investments in fake business opportunities, fake cryptocurrency purchases or buying precious metals that do not exist.

Property Sale or Rental Scam

The purchase or rental of a home, apartment, or property that was fictitious, was not made available or was not rightfully owned by the offering party or agent. Scam examples: Making a down payment for a new home purchase or rental that is not for sale/rent by the real owners. Paying for a fake rental property offered online.