Back-to-school scams and fraudsters to beware: What families must know

As parents and students embark on back-to-school season, experts are cautioning that criminals are taking sneaky opportunities to rip off Americans through a variety of scams, many of which have ties to education.

Even the Federal Trade Commission has stepped in to alert consumers to be aware of these scams and take precautions related to education scams to protect their money and their security. 

Fox News Digital reached out to security experts to identify common traps in which scammers try to prey on vulnerable families.

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Here's a deep dive into four scams to watch for and what to know about them.

1. Deep-discount shopping scams

Back-to-school supplies and gear are expensive and families are always looking for sales and strategies to save money. 

This quest for frugality is on the radar of scammers, and they've developed creative methods to trick you out of your money. 

"Right now, when everyone’s looking to save on back-to-school items, make sure you take a closer look before you buy," warned Terri Miller, a consumer education specialist with the Federal Trade Commission’s Bureau of Consumer Education based in Washington, D.C. 

Many online shopping scams are present on social media, she said.

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"Scammers impersonate real companies with ads on social media, or they offer what seems like a great deal on high-priced, brand-name items," Miller noted. 

Research the seller beyond the platform where you saw the deal. 

So, if you see tech items, for example, with deeply discounted prices, chances are this isn’t a legitimate offer. 

"Unusually low prices are usually a sign of a scam," cautioned Miller.

To ensure that you aren’t falling for a scam, Miller suggested researching the seller beyond the platform where you saw the deal. 

"If you really want the item, check for it through the company’s website using a page you know is official — not the link in the social media ad," she said. 

Also, for an added layer of protection, use your credit card to pay. 

"That gives you more protection, such as disputing the charges if what you get is not what you ordered, or you get nothing at all," Miller told Fox News Digital. 

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Additionally, steer clear of sellers who demand you pay with gift cards, wire transfers, payment apps or cryptocurrency, noted Miller. 

"Sending money in these ways is like sending cash," she said. "It’s nearly impossible to get it back if there’s a problem."

2. Textbook scams

Textbooks can be costly for students. 

It's why many try to save money by purchasing textbooks from secondary markets such as online classified ads, unverified third-party sellers, or social media marketplaces, said Shawn Hall, vice president of product, research, and engineering with Pindrop, an information security company, who is based in Atlanta, Georgia. 

"Scammers take advantage of this by offering textbooks at significantly reduced prices, but once payment is made, the books never arrive, or counterfeit copies are sent," he said.

To better protect your interests, Hall suggested that students buy textbooks from reputable sources such as official university bookstores, verified online retailers like Amazon, or established textbook rental services. 

He also said to check online reviews and ratings on platforms to ensure they are legitimate marketplaces and vendors. 

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Another way to outsmart potential fraudsters is to use secure payment methods. 

"Avoid wire transfers or prepaid debit cards. Instead, use credit cards or payment services like PayPal that offer buyer protection," Hall also said.

3. Financial scams

Families and students facing high tuition bills often fall prey to financial scams that claim to yield quick and high returns. 

"Scammers target students and parents with promises of high-return investments that can help pay for tuition — and these schemes often involve pyramid schemes or fraudulent investment opportunities that result in financial loss," Hall recounted.  

Families need to understand that if an investment sounds too good to be true — they should trust their instinct.

"Be wary of any investment promising guaranteed high returns with little risk," Hall said.

Also, verify credentials to ensure the person or company offering the investment is registered with financial regulatory bodies, he noted. 

A better route to take is to consult with a financial professional before making any significant financial commitments.

4. Scholarship scams

Along the same lines as get-quick-rich investment schemes, scholarship scams can entice students and parents who are in desperate need of funds to cover college tuition. 

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Not only are fraudsters promising fake scholarships, they are using them to bait unsuspecting people to share personal information. 

"Scholarship scams are a method of obtaining personal information from people, which can result in identity theft or obtaining bank account details," warned Dan Cusick, fraud and claims executive with Wells Fargo in Charlotte, North Carolina. 

Also, he said some scholarship scams invite parents and students to pay a fee to get advice about scholarship opportunities. 

This payment arrangement is generally a scam. 

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In addition, Cusick said scammers may promise grants or financial aid packages, and they may ask for bank or personal account information to "confirm eligibility" and then start debiting your account.

"A good mantra to follow in this space, and with all financial decisions, is if it sounds too good to be true, it probably is," Cusick told Fox News Digital. 

To steer clear of scholarship scams, Cusick warned families to be wary of the following: unsolicited, unexpected calls, texts, social media posts, advertisements, emails or regular mail advertisements that request you pay an application fee for academic financial assistance or scholarships. '

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Anyone pressuring you to act or send money immediately, or asking for your account, personal information or access to your device to process a scholarship application should raise an immediate red flag.

Watch for offers for "guaranteed" scholarships you did not even apply for, and services that claim you will be eligible only if you provide an up-front payment.

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Also, when pursuing legitimate scholarship opportunities, it’s best to consult with trusted sources such as school guidance counselors or financial aid staff to make sure you’re accessing approved websites for student financial aid, such as Federal Student Aid, Scholarship America or the College Board, said Cusack.