A phone call that appears official can quickly spiral into a financial nightmare.
Michigan federal prosecutors say scammers are impersonating government agents and using urgent threats to push people toward fast payment methods, including crypto ATMs, wire transfers, cash, and even gold.
In 2025, reported losses from government imposter scams reached $917 million.
What happened?
Last week, the U.S. Attorney's Office in eastern Michigan warned that complaints involving fake federal agents were continuing to mount. More than 375,000 reports involved people pretending to be government officials, according to the Federal Trade Commission, cited by Bitcoin.com.
Many victims first get a surprise call claiming there is suspicious activity involving an account or other finances. They may then be passed to someone presenting themselves as a federal agent who says immediate steps are necessary to keep the money safe.
The supposed solution can take several forms, but the aim is the same: get the victim to move assets quickly. Scammers may direct people to send wire transfers, use payment apps, deposit money into crypto ATMs, shift funds into accounts described as protected, or give cash or gold to couriers.
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To make the story sound real, scammers often layer on false signs of authority such as spoofed caller ID, bogus employee numbers or badges, and letters designed to look official. Some tell victims their Social Security number has been suspended, while others claim a crime has put their savings in immediate jeopardy.
Why does it matter?
Scammers are adapting long-used tactics to newer payment methods while still relying on panic.
A person who believes their bank account, retirement savings, or government benefits are at risk may act before taking time to verify the claim.
The Michigan warning also makes clear that cryptocurrency is only one part of the scheme, not the whole picture. Prosecutors said fraudsters are using whatever payment method will move money the fastest, whether that is crypto, cash, gold, wire transfers, or payment apps.
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The impersonation can feel highly believable. When a caller sounds authoritative and backs up the story with fake documents, badge numbers, or official language, it can be hard to tell what is real, particularly for older adults who are often heavily targeted by fraud schemes.
The financial consequences can be severe. Once money is wired away, handed to a courier, or deposited into a crypto ATM, recovering it can be extremely difficult.
What can I do?
Federal officials tied the warning to World Elder Abuse Awareness Day and to a broader anti-fraud effort aimed at stopping scams before criminals can take control of the conversation. This year's campaign, called Never EVER, urges people to pause before sending money or sharing sensitive information.
One simple step can make a major difference: hang up and verify. If someone claims to be from the government, contact the agency through an official website or phone number you find, not one provided by the caller.
Google is also among companies stepping up its anti-scam efforts on Android phones, with Google recently making in-call scam detection software more widely available as an opt-in for users without any special app download required, native on the device. Among its features are determining if a Caller ID is genuine or spoofed.
Officials also urged people to check with someone they trust before responding to any urgent financial demand. Pressure itself should be treated as a warning sign. Legitimate government agencies do not demand immediate payment through unusual channels or send couriers to collect cash, gold, or other valuables.
As the U.S. Attorney's Office put it: "It's all a lie. No one from the government will ever ask you to do these things. Only scammers will." The office also stressed, "Never ever will someone from the government demand that you pay with a payment app, cryptocurrency, wire transfer, or gift cards."
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