Prize Notification Scams via Wire Transfer
Victims are told they have won a large cash prize or vehicle and must wire transfer processing fees, taxes, or insurance costs before the prize can be released.
Part of: Prize Notification Scams
Last reviewed: 1 June 2026
Wire transfer prize notification scams differ from gift card variants by targeting victims with larger promised prizes — luxury cars, holiday packages, or cash awards of tens of thousands of dollars. The higher prize value justifies larger fee demands, and fraudsters use wire transfer because amounts of several thousand dollars transferred to overseas accounts are not unusual for legitimate international transactions.
Once a victim wires money, additional fees continue to materialise: exchange fees, legal fees, transport insurance, and custom duties, each requiring a further wire. Victims can lose large sums before accepting the prize is not real.
How this scam works on wire transfer
An official-looking letter arrives announcing the recipient has been selected as a winner in a sweepstake or loyalty programme. A toll-free number connects them to a 'claims department' that details the prize and explains that regulatory fees must be wired before the prize can leave the holding facility.
Email variants include convincing prize notification PDFs and attach 'official certificates' to add legitimacy. Each wire is confirmed by the fraudster with a receipt, reinforcing the victim's belief they are making progress.
Phone calls sometimes use spoofed numbers from real companies' customer service lines to bolster credibility.
Common red flags
- Prize announced for a competition you did not enter
- Wire transfer required to cover taxes, insurance, or processing fees before collection
- Fee demands continue to grow after each payment
- Caller uses a spoofed number from a real company to appear credible
- You are urged to keep the prize confidential until all fees are settled
- The claims department cannot be reached through the company's publicly listed contact details
How to protect yourself
- Know that no real prize requires upfront wire transfers for taxes or fees
- Contact the company through their publicly listed number to verify any prize notification independently
- Discuss the situation with a trusted person before wiring any funds
- Treat every new fee demand as confirmation the prize is not real
- Report the scam to your national consumer protection authority even if you have not lost money
- Ask your bank to delay or review a wire transfer you feel pressured to make
How to report it
- File a report with your national consumer protection or cybercrime authority
- Report the spoofed phone number to your telecommunications regulator
- Contact your bank if a wire was sent — provide full details including the recipient account
Frequently asked questions
Can banks delay a wire transfer if I think I am being scammed?
Yes — if you contact your bank before or immediately after initiating a wire, they may be able to place a hold or issue a recall request to the receiving bank. Act as quickly as possible. The window is narrow but worth attempting.