Thread by @EthnicMediaSvc

📢Today at 11am PST, we'll explore a new initiative from the @FTC aimed at raising awareness in Indian Country around the prevalence of #scams & #consumerfraud. For more details and to follow the livestream 👉 ethnicmediaservices.org/media-briefing…

How to spot and avoid scams in #IndianCountry is the focus of a new @FTC initiative. "Information is the best weapon in the fight against #scams. The more people are informed, the more likely they are to report illegal actions," says EMS's Sandy Close.

We are happy to join the country in honoring Native Americans and Alaska natives this November, Native American Heritage Month, says @FTC's Rosario Mendez.

"It is a priority for the FTC to reach Native American communities," says Monica Vaca, Deputy Director, Bureau of Consumer Protection, Federal Trade Commission.

In 2021, more than 2.9 million reports of fraud, says Vaca, totaling more than $6.1 billion. "This is what people told us they lost... we know there is more."

Last year the #1 scam was the "imposter scam," where someone contacts you pretending to be with a business or agency you trust. These scams are "rampant," says Vaca. Losses total more than $2.4 billion.

So what does the @FTC do when it gets information about scams. The FTC is a law enforcement agency. It works to stop these activities and, when possible to get money back to victims. "It is our goal in every single case to try to get money back to people."

The Tates Auto Group Case charged 4 auto dealers operating in Az and NM had a huge impact on residents of the Navajo Nation. ftc.gov/news-events/ne…

This was the first FTC action that alleged income falsification by an auto dealer. "This was a very significant case for us," says Vaca.

To report fraud in your communities, visit reportfraud.ftc.gov

"This is a priority for our agency now," says Joannie Wei, Assistant Director, Federal Trade Commission, Midwest Region. Wei says the FTC has been actively communicating with Native American and Alaska native communities.

Wei's office has been connecting with tribal organizations from Wisconsin to Oklahoma through a variety of means, including podcasts with the Native Learning Center.

Phishing emails, debt relief, and robo calls are some of the leading scams, Wei says. So, what can we do? We need to "talk, talk, talk." Information is key. Also, don't give your personal information. "Don't act without thinking."

ftc.gov/consumeralerts is a simple way to get alerts about scams and what to look out for. consumer.gov has info on money, loans, debt, etc. "It's easy to digest and access," says Wei.

Pass It On is another important resource with information for older victims. consumer.ftc.gov/features/pass-…

A question from @FrankBlanquet of @FNXTV on navigating the historical distrust within Native Am. communities of federal agencies. Monica Vaca says forms allow victims to provide as much or little information as they want to.

"The only way to get past this distrust is to open the lines of communication and just show up," says Wei.

One thing scammers are good at doing is staying anonymous, says Monica Vaca. They want to use payment mechanisms that have few protections. "Never send money via gift card or crypto currency or wire transfer. These make it very easy for scammers to stay anonymous."

Michael Elliot is Staff Attorney with DNA-People’s Legal Services in Flagstaff, Az. He is speaking alongside a client from the Navajo Res. who was a victim of fraud.

Buying and finance of automobiles is a major source of scams among the Navajo in the region, Elliot says. The Najavo Reservation is 27 thousand sq. miles. Residents are widely dispersed and have to travel long distance on pretty rough roads.

Merchants operating in border towns realize Navajo residents have few options. Also, unscrupulous salespeople know that the spoken word has an outsize role in Navajo culture, so they often make verbal promises that don't end up in the final contracts.

Geography and socioeconomic circumstances often trap Navajo residents into poor and potentially unscrupulous consumer choices.

Sherry is a resident of the Navajo Nation. She recently had to purchase a new vehicle, noting poor road conditions made it necessary for her to get one that can manage the rough conditions.

Like many residents, Sherry needs her car for essentials like water, food, etc. She visited a local dealer with a flyer that promised trade ins. She spent 3 hrs with a salesperson who right at closing time put papers in front of her and pressed her to sign.

Exhausted, Sherry says she signed the forms. She then asked about the trade in and was told not to worry. She was also never told what was in the contract. Two weeks later she learned she was still being billed for her older car.

She was informed by the dept. of motor vehicles that her vehicle was abandoned and that she would be fined $500. She returned to the dealer, who again gave her the runaround. The car was apparently in an impound lot and it would cost Sherry $2600 to get it out.

In the end the lender repossessed the car. Sherry owed $10.5 thousand dollars. The dealer told Sherry to ignore calls from the lender. This is when Sherry sought legal aid. Ultimately, lawyers got the dealer to pay the $10.5.

We ended up with a good outcome, says Elliot. It took a year and a half - longer than it should have. But we got it.

It was really stressful... a lot of headaches, says Sherry (who has asked that we not use her full name).

The FTC has proposed new rules that aim to eliminate junk fees and other tactics that prey on people like Sherry. ftc.gov/news-events/ne…

Radio on the reservation is an important communication tool, says Sherry. It offers advice and guidance in Navajo on how to handle situations like the one Sherry encountered.

There are too many consumer cases for us to handle, says Elliot. It's better to reach people before they are victimized. Elliot's group works with radio station on the reservation in Navajo and Hopi.

Elliot also says many of these contracts call for arbitration, which can be difficult and costly. He says using fraud reporting mechanisms can shame individuals into negotiating settlements.

Joe Orozco of Hoopa Radio says all reservations should have a fraud desk. "We spend thousands of dollars to get access to millions in grants, but how much do we invest to protect tribal citizens from fraud."

Some parting thoughts from our speakers: Know the process when going into an auto contract, says Sherry. Please report fraud when you experience it, says Monica Vaca. Trusted sources of communication are key, says Joannie Wei.

Don't rush, take your time, and if you are going to sign something, know what it says, says Elliot. "This is a question of consumer education."

Thanks to all our speakers today. Visit ethnicmediaservices.org to see a recording of today's discussion and for reporting on this and previous briefings.

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