Veterans, service members, and their families have access to valuable financial benefits, but those benefits can also attract scammers. Some schemes are designed specifically around VA payments and home loans, while others use a veteran’s military connection to make a familiar banking or mortgage scam seem more credible.
A request may look official and include accurate financial information. That is why knowing how to pause, verify the source, and recognize common warning signs matters. Here are several financial scams targeting veterans, along with practical steps for protecting your accounts.
Bank Impersonation Scams
The message may look routine: “Did you authorize this purchase?” Replying “no” can set the rest of the scam in motion. A caller posing as a bank employee may follow up, claim your account is under attack, and offer to help secure it.
The caller may already know your name, bank, or part of your account information. This can make the conversation feel legitimate, but it does not prove the person works for your financial institution. The real goal is often to obtain a one-time security code, convince you to transfer money to a “safe” account, or gain access to online banking.
A bank employee should not ask you to read back a security code that says not to share it. If a caller requests one, end the call. Contact your bank using the number on the back of your card or through its official website. If the communication appears to involve a Granite Bank account, contact Granite Bank directly before approving a transfer or sharing account information.
VA Benefit and Direct Deposit Fraud
VA disability compensation, pension payments, and other benefits can attract scammers looking for a predictable source of funds. Rather than attempting to take money from a bank account immediately, a scammer may try to obtain a veteran’s VA.gov or ID.me credentials and change where future payments are deposited.
The first sign of trouble may be a missing deposit, an unfamiliar change to account information, or a message claiming that benefits are on hold until banking details are confirmed. Scammers may also pose as VA representatives and claim that a veteran owes money because of an overpayment.
Do not provide login credentials, banking information, or payment in response to an unsolicited message. Verify any benefit issue by signing in to VA.gov directly or contacting the VA through an official phone number. If a payment is missing or direct deposit information has been changed, notify both the VA and your bank as soon as possible.
VA Home Loan Scams
VA home loan programs are legitimate benefits, but misleading advertisers and scammers may use the VA name, patriotic imagery, government-style seals, or details about your mortgage to make an offer appear official. Accurate information about your property or loan does not necessarily mean the sender is affiliated with the Department of Veterans Affairs, Granite Bank, or your current mortgage servicer. The Consumer Financial Protection Bureau and Department of Veterans Affairs have warned that misleading solicitations may appear to come from a government agency or a borrower’s current lender.
Be cautious of offers promoting an unusually low interest rate, a “no-cost” refinance, guaranteed approval, cash back, skipped payments, or a limited time to respond. A VA Interest Rate Reduction Refinance Loan, commonly called an IRRRL or VA Streamline Refinance, is a legitimate option, but it should be evaluated based on the complete loan terms. A low advertised rate may require discount points, apply to an adjustable-rate mortgage, or involve a shorter term. A “no-cost” refinance may add closing costs to the new loan balance rather than removing them.
Before refinancing, compare the interest rate, APR, discount points, closing costs, loan term, monthly payment, and total loan amount. Consider whether the savings are enough to offset the refinance costs and whether restarting or extending the loan term could increase the total amount paid over time. Be especially cautious of claims about “skipped” payments or “no-cost” refinancing, as costs and accrued amounts do not simply disappear.
Wire Fraud
Homebuyers should also watch for closing wire fraud. A scammer may impersonate a loan officer, real estate agent, title company, attorney, or closing representative and send fraudulent wiring instructions shortly before closing. The Consumer Financial Protection Bureau warns that scammers may target homebuyers in the days leading up to closing.
Before sending closing funds:
- Confirm the wiring instructions verbally using a previously verified phone number.
- Be suspicious of last-minute changes to the instructions.
- Verify the recipient’s name, financial institution, and account information.
- Contact your bank and closing company immediately if you believe money was sent to the wrong account.
If a mortgage offer or communication appears to come from Granite Bank, contact us through a verified Granite Bank phone number before sharing information, changing payment instructions, or sending money.
“Veterans Savings Program” and Other Official-Looking Mailers
Veterans may receive postcards or letters that look official and claim they qualify for a special savings program, additional benefits, a reduced mortgage payment, or another financial opportunity. Be careful. The Federal Trade Commission has specifically warned veterans about postcards promoting a “Veterans Savings Program.” According to the FTC, this program does not exist, and the mailers are designed to obtain personal or financial information.
Other mortgage mailers may come from legitimate companies but still look as though they are connected to your current lender or the Department of Veterans Affairs. They may include details such as your lender’s name, loan amount, property address, or closing date. Having accurate information about your mortgage does not mean the sender is affiliated with your lender or the VA.
Before responding:
- Read the entire mailer, including the fine print.
- Do not assume a company is connected to the VA because it uses patriotic imagery, government-style language, or your loan information.
- Never provide personal or financial information in response to a mailer you have not independently verified.
- Contact your current lender directly if you are unsure whether an offer came from them.
If a mailer appears to come from Granite Bank, contact us through a verified Granite Bank phone number before sharing personal or financial information.
Red Flags to Watch For
Scammers often rely on urgency and fear to keep people from taking time to verify a request. Be cautious if a caller, message, mailer, or financial offer:
- Pressures you to act immediately or threatens the loss of benefits, money, or your home
- Requests your password, PIN, or one-time security code
- Asks you to confirm banking or direct deposit information through an unexpected link
- Demands payment through gift cards, cryptocurrency, payment apps, or an unexpected or unverified wire transfer.
- Claims to represent the VA, your bank, or your mortgage servicer but cannot be independently verified
- Promises a guaranteed mortgage approval, loan modification, or unusually low interest rate
- Advertises a “no-cost” refinance without clearly explaining the fees
- Tells you to stop making mortgage payments or send them to a different company
- Changes closing or wiring instructions shortly before money is due
- Asks you to sign an incomplete document or transfer your home’s deed
How to Protect Yourself
- Call your bank using the number on the back of your card or its official website.
- Access your VA benefits by entering VA.gov directly into your browser.
- Contact your mortgage servicer using the number shown on your monthly statement.
- Never share a password or one-time security code with an unsolicited caller.
- Review the interest rate, APR, discount points, closing costs, loan term, and total loan amount before accepting a refinance offer.
- Confirm wiring instructions verbally with your title or closing company using a phone number you previously verified.
- Use unique passwords and multifactor authentication for your financial and benefits accounts.
- Monitor benefit deposits, bank activity, and mortgage statements for changes you did not authorize.
How to Report a Scam
- VSAFE Fraud Hotline: Call 1-833-38V-SAFE (1-833-388-7233) or visit VSAFE.gov to report veteran-targeted fraud.
- Official VA Benefits Line: Call 1-800-827-1000 to verify if a communication actually came from the Department of Veterans Affairs.
- Federal Trade Commission (FTC): Report scams online at reportfraud.ftc.gov or consumer.ftc.gov.
- FBI Internet Crime Complaint Center (IC3): File cyber and phishing complaints at IC3.gov.
- Granite Bank: If the scam involves a Granite Bank account, mortgage, payment instruction, or communication that appears to come from Granite Bank, contact Granite Bank immediately using a verified phone number or the contact information on Granite Bank’s official website.
