A scam targeting Michigan residents is attempting to turn unemployment anxiety into quick cash for criminals, with callers reportedly telling people the state owes them thousands of dollars in unemployment benefits, but only if they first pay an upfront fee.
Here's what to know
According to the Detroit Free Press, a Michigan resident was called by someone posing as a manager with the Michigan Unemployment Insurance Agency, who claimed about $4,000 was owed to them.
The caller allegedly demanded $105 be paid in advance before any benefits would be sent. State officials warned that the condition alone was a red flag indicating the offer was fraudulent.
The Unemployment Insurance Agency does not require people to pay either to apply for unemployment benefits or to receive approved payments.
Although the incoming number reportedly showed a 313 area code, scammers can spoof caller ID to make a call appear local or legitimate.
The Free Press noted similarities to a North Dakota warning from the U.S. Department of Labor's Unemployment Insurance Integrity Center about an AI-driven fraudulent call operation.
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Michigan's Unemployment Insurance Agency confirmed that legitimate communication with claimants happens through secure Michigan Web Account Manager, or MiWAM, accounts or by regular mail — not through unexpected calls, texts, or emails offering surprise money.
More background
The warning comes at a time when many are already vulnerable to employment-related fraud.
Data released August 20 by the Michigan Department of Technology, Management & Budget showed Michigan's seasonally adjusted unemployment rate was 4.9% in July, down slightly from 5% in June.
Fraudsters have posed as unemployment agency workers to steal Social Security numbers and other sensitive information, and a 2024 Michigan UIA alert warned that criminals had gained access to cellphones to change banking information connected to unemployment claims.
The Federal Trade Commission reported that consumers lost $79.5 million to job scams in 2025.
Meanwhile, reports filed with the FBI's Internet Crime Complaint Center showed nearly $13 million in losses from AI-related employment scams that same year.
What can be done?
If you receive a suspicious call, text, or email claiming to be from Michigan's Unemployment Insurance Agency, the agency advised ending the call and then contacting its customer service line at 866-500-0017 to confirm whether the outreach was real.
People with current or past unemployment claims can also have customer service review the status of a claim, and checking directly through MiWAM is another safer way to see whether the state actually needs anything from them.
Consumers are urged to avoid unsolicited links, keep personal information private, and never send money to unlock supposed benefits. In Michigan, legitimate unemployment payments are delivered either by direct deposit to a claimant's bank account or on a U.S. Bank debit card.
Residents receiving benefits should also monitor account correspondence and report suspected fraud or identity theft through the Michigan.gov/UIA homepage.
As of July 19, the Free Press reported, claimants must show three job-search efforts each week to continue receiving aid.
"There is no end to the ways criminals prey on people to try to steal their money," said Jason Palmer, director of the Michigan UIA, in a statement. "You should be cautious if you are contacted randomly by someone who says they are from the UIA and offering you money."
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