Learn How to Outsmart Utility Bill Scammers

Have you recently received multiple calls or voicemails from a 517-area code from someone claiming to be with Consumers Energy and wanting to discuss supply charges on your gas bill? Don’t call the number back. If you answer, hang up and call Consumers back using a verified phone number on their website. Many people in Mid-Michigan are being targeted by fraudsters posing as Consumers Energy representatives.

In this article we will break down what the utility bill scam is, tips for protecting yourself, and what to do if you do become a victim of the scam.

What Is the Utility Bill Scam?

In this con, scammers pose as representatives from utility companies like Consumers Energy or Great Lakes Energy. They contact victims, usually by phone, claiming that their bill is overdue and their service will be disconnected unless they make a payment immediately. Scammers create a sense of panic and pressure victims into paying quickly, often through unconventional methods like wire transfers, prepaid debit cards, or gift cards. Unfortunately, these methods make it difficult to trace the money and nearly impossible to recover it once it’s sent.

Example of the Scam 

Maria receives a phone call from someone claiming to be a representative from her electric company. The caller warns Maria that her bill is several months overdue, and her power will be shut off within the hour unless she pays immediately. Concerned about losing electricity, Maria agrees to pay. The caller instructs her to buy a prepaid debit card and provide him with the card number and PIN over the phone. Maria follows the instructions, relieved to have avoided disconnection. However, a few days later, she receives her regular bill from the electric company, showing no outstanding balance and no record of late payment or threats of service interruption. She realizes she has been scammed and contacts the company to report the fraud.

Tips for Protecting Yourself

• Question unsolicited calls. Be wary of callers claiming that urgent payment is needed to avoid disconnection. Legitimate utility companies typically send written notices in advance.
• Verify the caller. If you receive a suspicious call, hang up and call your utility company directly using the number on your bill or the website. Don’t trust caller ID, as scammers can spoof numbers.
• Protect your information. Never share personal or financial information over the phone unless you initiated the call and verified the caller’s identity.
• Avoid unconventional payment requests. Never make payments through wire transfers, prepaid debit cards, or gift cards.

If You’ve Been Scammed

• Contact your utility company. Contact your utility company using the number on your bill or the website to confirm your account status and report the scam.
• Contact us. If you provided your bank account information, contact us to report the fraud and request we stop any unauthorized transactions. 
• Report the scam. File a complaint with the Federal Trade Commission (FTC) and your local police department. Provide as much detail as possible about the scam, including the caller’s phone number and any information you shared.