The reshipping scam is the most dangerous scam for its victims

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Summary:
The re-shipping scam is a work-from-home scheme that requires victims to inspect and reship packages. You’ll not only lose the money you could actually go to jail. The re-shipping Scam is believed to have originated in Russia. It is also known as the “Parcel Mule” Scam. Victims are typically recruited through job sites, dating sites, and chat rooms. A job offer to work-at-home is the most common tactic, but they have also been designed around fake sweethearts who need your help or charities asking you to help their cause.

Please note: If re-shipping scammers are in possession of your personal information, identity theft may occur. How do scams lead to identity theft?

Jump to:
How does the re-shipping scam work?
Methods of recruitment used by scammers?
How does the re-shipping scam start?
The “Chat” Recruitment Ruse
The scam and the “Crime” begins
Problems associated with the re-shipping scam
Consider the impact
What to do if you are a victim of a re-shipping scam
Re-shipping scam blacklist

How does the re-shipping scam work?

The packages that are delivered for re-shipping are stolen goods purchased from various companies through payments usually made with stolen credit card numbers. Amazon is a common source for these packages because the packaging has a known and reassuring name on the package and because of the large number of items available through Amazon. Amazon gift cards are also a preferred currency of scammers and the re-shipping scam is often just a part of a larger scam or a continuation of one.

How do the scammers recruit reshippers?

The re-shipping scam is usually presented as an opportunity to work from home inspecting packages with promised compensation on a par with a full-time employee. Some people have been promised a salary of $96,000 a year.

The victims are often recruited through legitimate job sites like Indeed, Monster, and Craigslist. This continues to lend credibility to the scam and leads victims to believe they are applying for a real job with a real company. Re-shipping scammers also contact people directly via email.

Many times, the email or job listing will direct you to a website. It appears to be authentic and further enhances the legitimacy of the scam company.

The hiring process for anyone applying for a job as a “Package Specialist” or “Shipping Assistant” involves a detailed job application asking for extensive personal and financial information including:

• Full Name
• Address
• Phone numbers
• Social Security Number
• Bank account numbers

The application leads the applicant to believe this is a highly competitive position and they will be informed if they have made the ‘short-list” of applicants.

Our investigations into Common Scams of 2023

How does the re-shipping scam start?

It’s usually with a note of sincere congratulations informing the victim that he/she has been hired and will be responsible for forwarding, or “re-shipping” merchandise purchased in the United States to the company’s overseas home office.

The victim is also informed that they will be paid after a 30-day probationary period.

They reassure the victim that they will receive payment for their first month of work after 30 days and even offer an incentive for earning more if they ship the items faster. Oftentimes, the scammer asks the victim to use their own funds or credit cards to pay for shipping and provide clear instructions on how to document the expenses for reimbursement.

In another scenario, a scammer sends a cashier’s check to the victim for deposit into their bank account to cover shipping costs. The scammer usually sends a check for more than the victim needs and asks the victim to pay back the overage. The victim will later find out that the cashier’s check was fraudulent, and they must pay back any funds withdrawn from the bank.

The “Chat” recruitment ruse

The second means of recruitment involves the victim conversing with an unknown individual in various Internet Chat Rooms. The recruitment begins slowly while the friendship is developed until the scammer feels ready to ask their “friend” for some help. They state that for various legal reasons, his or her country will not allow direct business shipments into their country. This is often followed by laments for how lucky the victim is to live in the U.S.

Our investigations into Common Scams of 2023

This is then followed by a simple request for permission to send some recently purchased items to the victim’s U.S. address for re-shipping. They are quick to say that a private person can ship to their country but because of various political reasons, trade tariffs, and trade sanctions only an individual can ship the package, not a company.

The victim is reassured they will be paid for all shipping material and shipping costs and are invited to open the package to make sure it’s on the level. Shipped items usually include computers, cameras, and other high-end electronics. From there the scam goes into high gear.

The scam and the “Crime” begins

The packages quickly begin to arrive and, as instructed, the “new employee” or “friend” dutifully forwards the packages to their overseas destination. Quite often they are asked to open the packages to reassure them they are not shipping drugs and even asked to photograph the contents and post the photos to the company website to verify receipt and shipment.

Re-shipping scammers use stolen credit cards

The scammer tricks the “reshipper” into believing that the received merchandise was purchased with legitimate credit cards, when in fact it was bought with fraudulent credit cards.

In the worst-case scenario, the merchandise was purchased using the victim’s own credit cards obtained from their job application or credit card accounts opened in their name, using their personal and financial information from their job application.

Using a credit card in the victim-reshippers name makes it easier for the original purchase to go through as the name and address for the credit card is the same as the shipping address.

Eventually, the victim will either see the charges on their credit card statement or will reach the end of the 30-day probationary period making them eligible for their first payment and learn that no payment is forthcoming. Ever.

Problems associated with the re-shipping scam

The victim will soon start to receive some very bad news in waves. It starts when the packages suddenly stop arriving. The re-shipping scammers know this is a short-term scam because the following actions soon take place:

• The companies shipping the products determine that the products have been purchased fraudulently and contact the reshipper to either return the items or pay for them. This comes as an absolute surprise to the victims.
• The banks start to contact the victims informing them that a cashier’s check or checks they have deposited have bounced and because funds were withdrawn the money must be repaid to the bank.
• Credit card companies send bills in the thousands for purchases made in the victim’s name including credit card bills for cards they never applied for. Learn how scams lead to identity theft here.
• The police come to the victim’s home and arrest the reshipper. The charges that could be filed include: credit card fraud, mail fraud, identity theft, wire fraud, bank fraud.

Consider the impact

What makes the re-shipping scam so dangerous is the broad range of damage it inflicts on its victims. Here is the shortlist:

• The victim has worked, sometimes extremely hard, for up to a month for zero compensation.
• The victim has spent their own money on shipping materials and shipping costs and will never be reimbursed.
• The victims are subject to charges for either existing credit cards or fraudulently issued credit cards in their name.
• The victims are subject to repayments to a bank for any funds deposited by check and spent and later returned for insufficient funds.
• The victims could also be liable for a wire transfer in the thousands that are withdrawn by the victim and sent to the scammer before learning the transfer was fraudulent and they are now liable for the full amount.
• The victims are subject to arrest for aiding and abetting criminal, fraudulent activities and theft.
• The victim could face significant legal fees if any charges are brought against them.
• The victims can suffer further damages and fraud as a result of identity theft with the continuing use of their personal and financial information.
• The victim’s credit score and the ability to apply for future credit can be severely compromised.

Our investigations into Common Scams of 2023

Most scams are one-and-done propositions. The scammer gets the money and the victim is left to bemoan their losses and accept a lesson learned the hard way. The re-shipping scam cuts deep and causes significant on-going harm.

It’s a bit reassuring to note that most people who fall victim to the re-shipping scam are not charged with criminal activity. This assumes they can effectively prove they were unaware of the scam and thought they were simply performing a work-from-home job for a legitimate company.

What to do if you are a victim of a re-shipping scam

Given the severity and the range of impacts of a re-shipping scam and the potential for criminal charges being filed against you, it is crucial to act immediately as soon as you suspect that you are a victim.

This list may seem long and complicated but given the multiple threats you are subject to it’s necessary. Keep detailed records as you go down the list. These will help absolve you of complicity in the scam.

Here are some critical first steps:

Stop shipping anything!

Contact the authorities

Contact your local police using a non-emergency number and report your suspicions. Ask to file a police report. This can help you avoid potential criminal charges in the future.

Talk to the shipping companies

Contact any shipping companies you have used for shipping like UPS, FedEx, and the U.S. Postal Service and report your concern.

File a report

If you are certain you are a victim, file a report with the shipping services. All of them have report pages on their websites. For the U.S. Postal Service go to https://www.uspis.gov/report/. You can also call the U.S. Postal Service Inspectors at 1-877-876-2455 (press 5).

Contact the banks

Contact your bank(s) credit card companies and any other financial institution and report your concerns and then cancel your credit cards and request new ones. Even if they didn’t use your credit cards for the scam, they most likely have significant personal and financial information on you.

Meet with a personal banker at your local bank and discuss your concerns and review your accounts. Ask for their advice on any steps you need to take.

File a fraud report with your bank. This may help alleviate any bank charges and will further support your innocence.

Collect, copy, and keep all records of all transactions related to the scam

Check your credit report and continue to monitor it. It would definitely be wise to sign up with an identity theft protection service. Their fee is small relative to their ability to continuously monitor your identity. You can give Lifelock a try here.

Return the items you haven’t yet shipped

Return all items shipped to you to the original shipping source. Contact them first and let them know why you are returning them. This may help you to avoid future charges if your credit cards were used to purchase the items.

If you are facing criminal charges for any reason, there are lawyers on the Internet who specialize in scam recovery and some who specialize in re-shipping scam cases.

Follow Up

Stay in touch with your bank, credit card companies, and continue to monitor your credit reports. Once your information is out on the dark web where scammers lurk you may be the victim of future identity theft or fraud. The only way to protect yourself is to proactively stay vigilant. The best way to protect yourself is to always question any proposition that sounds too good to be true.

Attention: Consumers who have been contacted by re-shipping scammers could have had their personal information breached. TotalScam!™ highly recommends that consumers whose information has been breached obtain identity theft protection service immediately.

There are several companies that offer identity theft protection in the US. One of the most inexpensive options we were able to find is the protection offered by LifeLock. You can start your protection here.

Disclaimer: The information and opinions contained on this site are not endorsed by LifeLock. TotalScam!™ receives compensation from LifeLock. This helps support our scam prevention efforts.

General FAQ

Re-shipping Scam Blacklist

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