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Phone return scam targets new device buyers with fake refund calls

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A disturbing message arrived in our inbox, revealing a scam many people have never seen before. Before we get into the details, here is the email Gary from Florida Palmetto sent us:

“This happened to a friend of mine. This was the first time I heard of this scam. He bought a new phone from Spectrum. 2 days later, he received a call saying they were from Spectrum and that they accidentally gave him a refurbished phone instead of a new one and they asked him to send it back, so he did. But that night he had a feeling something was wrong. He contacted UPS and Spectrum the next day and confirmed that it was a phone. He committed the scam and luckily managed to get his phone back but UPS gave him the return address right after delivery.” “And he said he changed his destination. But like I said, this is new, no one I’ve talked to has heard of it yet,” he wrote.

This experience shows how quickly scammers evolve. It also highlights how important it can be to act quickly when something goes wrong.

HOW WERE 3.5B WHATSAPP NUMBERS DRAWN AND DISCLOSED

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Scammers time their calls right after a new phone delivery to make the story realistic. (Cyberguy.com)

How does this new phone refund scam work?

You can avoid this scam when you know the steps criminals use to achieve this. Here’s how they work.

1) Scammers track recent purchases

They start by tracking recent phone or carrier purchases through leaked data, phishing, or stolen delivery information. Since they know when a phone call is delivered, they can time the call precisely.

2) They call with a compelling story

They then pretend to represent Spectrum or another carrier. They claim there was a mix-up and say the customer received a refurbished device. The story feels believable because the conversation is directly linked to an actual purchase.

3) They pressure the victim to send the phone

After that they send out a prepaid label that looks official. After the victim ships the phone, they change the destination via UPS or FedEx vehicles or hacked accounts. As a result, the device is quickly redirected.

4) They follow up to reduce suspicion

Sometimes they even send a second message or call to confirm receipt. This extra touch delays the victim from realizing that the package is going to a different address.

5) Quick action saved Gary’s friend

Gary’s friend sensed something was wrong. He immediately contacted UPS and Spectrum, which allowed them to intercept the shipment before final delivery.

FAKE AGENCY PHONE SCAMS ARE SPREAD RAPIDLY IN THE USA

Steps to protect yourself from phone return scams

These simple actions can stop these scams early and keep your new phone safe.

1) Confirm each return request

Always contact your carrier via official phone number or website chat before shipping a device.

2) Ignore tags sent by callers

Consider any tags that appear outside of your verified online account as suspicious, as scammers use them to redirect packages.

3) Send only after confirming the address

Use your own shipping method and ship the phone only after confirming the correct return address with your carrier.

4) Pay attention to the pressure

Scammers use phrases like we made a mistake or we will credit your account for quick processing. Slow down and acknowledge before doing anything.

5) Add carrier account PIN

Create a PIN and turn on two-factor authentication (2FA) to protect your account from unauthorized access.

A man is holding an iPhone 14

Fake return labels look official, which leads victims to believe they are sending the phone back to the carrier. (REUTERS/Thomas Peter/File Photo)

6) Use strong antivirus software

Powerful antivirus software blocks phishing sites and dangerous links that scammers use to steal account data. It also alerts you to fraudulent calls and messages linked to known threats.

The best way to protect yourself from malicious links that install malware and potentially access your private information is to have strong antivirus software installed on all your devices. This protection also keeps your personal information and digital assets safe by alerting you to phishing emails and ransomware scams.

Get my picks for the 2025 best antivirus protection winners for your Windows, Mac, Android, and iOS devices at: cyberguy.com.

7) Use personal data removal service

A data removal service pulls your information from people search sites, which reveal your address, carrier details and phone number. Mitigating this risk reduces targeted scam calls.

While no service can guarantee complete removal of your data from the internet, a data removal service is truly a smart choice. They’re not cheap, and neither is your privacy. These services do all the work for you by actively monitoring and systematically deleting your personal information from hundreds of websites. This is what gives me peace of mind and has proven to be the most effective way to delete your personal data from the internet. By limiting the information available, you reduce the risk of fraudsters cross-referencing data obtained from breaches with information they can find on the dark web, making it harder for them to target you.

YOU ARE DOING IT WRONG IN SEARCHING FOR SCAMMERS.

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8) Check your account for new orders or changes

Scammers sometimes add fake orders or create refund requests to your carrier account. Reviewing your activity can quickly reveal tampering. Check your carrier account for new orders or changes. Look for returns, shipping labels, or edits you didn’t make.

9) Turn on shipping alerts for packages

Most carriers and shipping companies allow you to enable text or email alerts. This makes it harder for fraudsters to redirect a package without your knowledge. Turn on delivery alerts with UPS, FedEx or USPS. Real-time updates help you capture reroutes before your device gets too far away.

10) Protect your shipping login information

Scammers often use stolen UPS or FedEx credentials to change addresses. Secure your UPS or FedEx accounts with strong passwords. This limits unauthorized access that fraudsters rely on. C.Consider using a password manager that securely stores and generates complex passwords, reducing the risk of password reuse.

Next, see if your email has been subject to past breaches. Our #1 password manager pick includes a built-in breach scanner that checks to see if your email address or passwords appear in known leaks. If you find a match, immediately replace reused passwords and secure those accounts with new, unique credentials.

UPS truck

Acting quickly with UPS or the shipping company before the package reaches the wrong hands can stop fraud. (iStock)

Check out the best expert-reviewed password managers of 2025 at: cyberguy.com.

11) Avoid reading tag numbers out loud on the phone

Some scammers ask victims to read their tracking number or tag details. They use these codes to hijack posts. Never share tracking numbers or tag details with anyone who calls you. Scammers use these numbers to redirect packages.

12) Report attempted fraud

Your report helps operators investigate similar initiatives. Report suspicious calls to your carrier’s fraud department. Your story may help protect other customers from the same scheme.

Kurt’s important takeaways

Phone return scams continue to spread because scammers are watching for any time people feel rushed or distracted. When a new device arrives, most of us are excited and eager to install it, which opens a narrow window for criminals to attack. Taking a few simple steps to verify each return request could result in the entire scheme being shut down before it reaches your door. Slow down, check the details, and trust your instincts if something goes wrong. Your caution can save you from losing a brand new phone to a convincing lie.

What scams have you or someone you know encountered recently that others should be aware of? Let us know by writing to us. cyberguy.com.

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