Scammers Posing as Funeral Home Staff Targeting Families

A recent NFDA article sheds light on a troubling scam targeting grieving families. 

Using details from obituaries—like the decedent’s name, the funeral home, and even specific funeral directors—scammers are posing as funeral home staff to demand fraudulent payments. 

How the Scam Works 

• Phony Bills: Families are told they owe an additional $1,000 (or another amount) for services already rendered. 
• Preneed Deposits: Scammers claim a “security deposit” of $1,500 is urgently needed to secure a preneed account, threatening that the service will be canceled if payment isn’t made immediately. 

In some cases, scammers even spoof funeral home phone numbers, making the calls appear legitimate. Spoofing is a tactic where scammers falsify the caller ID information to make it look like the call is coming from a trusted source.

While some families recognize the scam and hang up, others can fall victim to these predators and send money. In some instances, scammers call back to demand more payments, adding to the family’s distress. 

How Funeral Homes Can Protect Families 

• Alert Families: Proactively inform families about the scam and your billing practices. Emphasize that you’ll never demand immediate payments over the phone or use high-pressure tactics. 
• Educate Clients: Share these FTC tips to help families spot scams: 
• Take your time: Reputable businesses won’t pressure you to act immediately. 
• Verify the source: Contact the funeral home directly using a verified number. 
• Watch for red flags: Scammers often ask for payment via wire transfers, gift cards, or cryptocurrency. 
• Monitor Operations: Be vigilant about spoofing attempts and ensure your staff is aware of this worrying trend. 

By working together, we can help protect families from unnecessary financial and emotional stress during their most vulnerable moments.