Unemployment fraud scheme: What you need to know
The Colorado Department of Labor and Employment (CDLE) has seen a rise in fraudulent unemployment claims attempting to exploit the overall increase in unemployment insurance claims associated with COVID-19. As many as 400,000 Coloradans have been affected.
This nationwide fraud scheme involves unemployment claims filed using another person’s identity. Get a glimpse of the magnitude and seriousness in this Jan. 14 article from the Colorado Sun.
Many Colorado fraud victims are alerted to the scheme by receiving a U.S. Bank ReliaCard in the mail when they have not filed for unemployment. In a Jan. 14 update, the CDLE reported that fraud victims are receiving IRS 1099-G Forms for unemployment benefits they did not receive. The CDLE should be notified of the fraud, and the department will issue corrected ammended tax forms.
Anyone who has received erroneous 1099-G Forms, debit cards or pin numbers for unemployment benefits they did not request should immediately contact CDLE. See below for instructions.
Suspect someone is using your identity to collect unemployment benefits? Here’s what to do.
Were you sent a 1099-G? Here’s what to do.
Protect yourself from identity theft with a fraud alert
Fraudulent claims are widespread, are not specific to the University of Colorado, and are not connected to a breach or compromise of University of Colorado systems. The information being used by the crime’s perpetrators likely came from a large data breach sometime in the last 10 years. The CDLE suspects the scheme’s perpetrators are not stealing mail but instead working to get PIN numbers the state uses to pay out benefits.
As part of Jan. 8 U.S. Department of Labor guidance, CDLE will implement ID.me to meet federal identification requirements in the next few days. All new claimants will be required to use it to verify their identities before applying for benefits.
Tip: Never give out personally identifiable information over the phone. The Colorado Department of Labor and Employment will never contact you and ask for your Social Security number (SSN), bank account numbers, your PIN, account passwords, or any other personally identifiable information.
Comments
I got such a letter in the mail, telling me of my personal pin number. Do I take any action at this time? Obviously I won't go to the website provided (coloradooui.gov/payment) or do anything with any supposed debit card that might be mailed.
Hi Mark,
I'm sorry this happened to you. Go to the Colorado CDLE website (https://cdle.colorado.gov/fraud-prevention) and you'll find details on how to cancel this debit card, in addition to other steps to take.
I also got a letter like this in the mail. The letter told me the PIN number and talks about a debit card called ReliaCard. Of course, I am not going to the website provided. It looks like a scam to me.
Received reliacard but have not applied for unemployment
Hi Lisa,
The Colorado CDLE website (https://cdle.colorado.gov/fraud-prevention) has details on how to cancel this debit cardand other steps to take.
Trouble connecting to fraud website. No appointments available on Unemployment line. Please call me at 720-877-8570. Thank you
Hi Alison,
Are you still having issues connecting to the CDLE website (https://cdle.colorado.gov/fraud-prevention)?
got a PIN and US bank card
Hi Ann,
The Colorado CDLE website (https://cdle.colorado.gov/fraud-prevention) has details on how to cancel this debit card and other steps to take.
Thank you for this update.
I got a PIN letter, a US Bank Card and a claim was filed under my name. I recommend to everyone to take every available precaution outlined both on this page and on the CDLE website - freeze your credit, file your fraud reports, cancel the credit card. Most of this can be done online without talking to a person. Thank you to CU for providing guidance even though this is not related to CU. Here's a good article about the scam: https://coloradosun.com/2021/01/07/colorado-labor-unemployment-fraud-spike/
I also received a pin and debit card. Boulder County called me to check and see it I filed an unemployment claim which alerted me to the fraud. I did all the steps listed on the website (canceling card, filed fraud with state, FTC and police report, credit alert, etc.) Do I need to notify CU HR directly?
Hi all. I received a letter from the Colorado Department of Labor indicating that an unemployement PIN had been issued to me. I followed the instructions provided by CU by reporting it as fraud to the CO Dept. of Labor. I did not have the best experience with Equifax. They were pushy with their identity protection products. I had a much better experience with Experian. I put a fraud alert on my profile using their automated system on the phone and they indicated that they will notify Equifax and TransUnion. The local police department said that they really don't get involved in this matter, but I could contact the FBI if I wanted to pursue it further. I did not do so. Lastly, I submited a fraud claim with FTC as recommended. Thank you to CU Systems Admin for providing these very useful guidelines.
I received 3 letters from the Division of Unemployment Insurance with my address but names that don't live here. I'm not sure if you need more info about them or should I just throw them away.
Hi Thanks for your help- I also just received the US Bank ReliaCard and PIN request.
Hello - I have received a pin, a credit card from US reliacard and several other documents from the Colorado Dept. of Labor with all my personal information from CU and other institution where I teach. I have filled out the forms online for fraud, called police fraud dept. in my city, the credit reporting agencies... and have not had a response from any of them. I contacted my bank to flag my accounts. Is there anything else I should be doing?
Sincerely,
Tammy Molinar-LeBlanc
Hi Tammy,
Thank you for writing, and I'm sorry this happened to you. Based on recent reports, the CDLE is working through a large number of claims, so there may be delays in recieving a response.
We filed a fraud report online through your website link on January 13 as someone attempted to fie an unemployment claim under my name. However, I never received a confirmation email nor any follow up emails. Will I receive a status update soon? Please advise, thanks!
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