Today, one of the most pressing concerns for the Flathead Valley is the availability of affordable housing. Scammers will try to exploit people’s desperation by using real rental listings and post them on various online platforms, such as social media groups, the marketplace, and more. A listing will look like a fantastic deal and the scammer will try and rush you into paying an application fee, deposit, and/or first month’s rent with promises to provide keys later. However, once they’ve received the money, scammers disappear leaving you without your money and with no place to live.
To avoid losing time and money to scammers use the following steps:
- Search for the property’s address online. Often other ads will come up with the same address under a different owner or rental company. Rentals should only show up under one owner or management company, having multiple is a sign of a scam.
- If it’s through a rental company check their website. Scammers will sometimes use the names of reputable companies. If the address is not listed on the company’s website it’s likely a scam.
- If it’s an option, pay by debit or credit card. Using a card provides additional consumer protection that isn’t available when using gift cards, wire transfers, ACH, payment apps (i.e., Apple Pay, Venmo, CashApp, Zelle, etc.), or cryptocurrency. Scammers want you to use these other means because it’s difficult to get your money back.
- Never pay someone you’ve never met in person, or for a property you’ve never seen. It’s best to always see the property or sign a lease before sending funds. If that’s not an option for you, see if a friend or family member can view the property.
Additional warning signs:
- Pictures/features are too good to be true. Often these ads will feature high-end appliances or luxury amenities with a monthly rent well below what you’d expect to pay.
- Feeling pressured to decide or sign a lease immediately. If you’re feeling rushed or pressured by a landlord, then proceed with caution. Scammers will try and invoke a strong emotion such as fear or excitement to make it harder for you to make a rational decision.
- There’s no credit check involved. Most landlords and management companies will perform credit checks and income verification. If you are offered a lease without any of these requirements beware, they may be a scammer.
- The rent is below anything else in the area. Check what similar properties are going for in the area. Scammers will offer rates well below the going rate to try and push you into coming up with a deposit quickly.
Steps to take if you’re a victim of a rental scam:
- Call your bank. If caught in time the bank may be able to stop or cancel payments. If account numbers or debit card information were provided, you should close those accounts to prevent future unauthorized transactions.
- File a complaint with the Federal Trade Commission and local police.
- If you provided information such as Social Security Number, date of birth, or other sensitive personal or financial information, contact the credit bureaus to freeze your credit or set up a fraud alert.
Key Takeaways
If it seems too good to be true, then it probably is. Always be weary if someone is trying to invoke a strong emotion (i.e., fear, anger, happiness, excitement, etc.), take a moment to reassess and do further research.