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The Recovery Act Federal Grant


How The Scam Works:

Did you receive an e-mail or a phone call from somebody claiming to be from ARRA and having a grant on your name? In this article you'll learn how the scam works and how to report it.

The American Recovery and Reinvestment Act of 2009 (ARRA), also known as the Stimulus or The Recovery Act, was an economic stimulus package signed into law in 2009 by the US President Barack Obama. To respond to the Great Recession, the primary three objectives for ARRA were: to save and create jobs, provide temporary relief programs for those most affected by the recession and invest in infrastructure, education, health, and renewable energy, and third - to foster unprecedented levels of accountability and transparency in government spending. The approximate cost of the economic stimulus package was estimated to be $831 billion between 2009 and 2019. How does the scam work?


Watch How The ARRA Scam Works:

Watch the video below to see the Recovery Act Federal Grant scam exposed:

Recovery Act Grant Scam Video

Unfortunately, criminals have taken this information and started to contact random people via phone or e-mail, claiming to be working for ARRA. Scammers inform the victims that they qualify for a $9,000 federal grant coming from the stimulus.

Using official verbiage from the bill, crooks require that the 'recipient' pay a small administration fee (our reader Catrina was asked for $221) in order to receive the money. "From that, they told me $211 will be refunded to me when I'll get the grant", says Catrina. Criminals also ask that this 'fee' to be paid via MoneyGram or Western Union.

To be more efficient, scammers send victims to the real website of the Recovery Act and sometimes even impersonating the ARRA board members! This way, when victims research the website they find the real person there, not knowing the scammer just claims to be him/her.


How To Report A Recovery Act Federal Grant Scam:

If you have been approached by a scammer claiming to be from ARRA, report him by using the link below:

Report Fraud, Waste, and Abuse


How To Protect Yourself More:

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