Recovery Scams

A recovery scam (also called a 'refund scam' or 'reload scam') targets people who have already lost money to fraud. The scammer claims to be a recovery agent, solicitor, regulator, law enforcement officer, or private investigator who can locate and return the victim's lost funds — for an upfront fee, tax payment, or legal cost.

Victim lists are actively traded in criminal networks. Once you have been scammed, your contact details, the amount you lost, and the scam you fell for may be known to multiple fraudulent operators. Being scammed once can make you a persistent target for this second wave.

Recovery scams are particularly cruel because they reach people at their most vulnerable — after they have already suffered a significant loss and are desperately hoping for a resolution. The scam exploits that desperation and compounds the original harm.

You are contacted out of the blue — by phone, email, or message — by someone who appears to already know you were scammed. They may name the platform you lost money to, quote figures close to the actual amount lost, or claim to represent a regulator or law enforcement task force.

They sound official and sympathetic. They say your funds have been located or frozen pending recovery. All you need to do is pay a release fee, a legal filing cost, or a tax clearance charge, and the funds will be returned.

Sometimes the scammer impersonates the original fraudulent platform, claiming they have been taken over, investigated, or are now offering a refund programme. Sometimes they pose as a law firm, a government agency, or an international fraud recovery unit.

In every case, the payment goes to the scammer. No money is ever returned, and further fee demands typically follow the first payment.

Recovery scams succeed because the victim has already proven two things: they have money to lose, and they can be persuaded to part with it. The original fraud also creates a deep desire for resolution that a skilled operator can exploit.

The promise of getting money back is extraordinarily compelling after a loss. The scammer provides apparent specificity — knowing the original platform, the approximate amount, the victim's name — which creates a powerful impression of legitimacy. How would they know all this unless they were really investigating?

The shame many fraud victims feel also makes them reluctant to tell anyone about the recovery approach, which removes the check a trusted person might provide. The combination of desperation, apparent credibility, and isolation is very effective.

A person who lost money to an online investment scam receives a phone call from someone claiming to be from a fraud recovery agency. The caller knows the platform's name and quotes a figure close to the amount lost. They say the funds have been traced and are ready for release pending a tax clearance fee. The person, hopeful, pays. A second fee follows. The caller becomes harder to reach. The website for the agency disappears. The recovery never happens.

This is the [agency name] fraud recovery unit. We have located [amount] of your stolen funds. Pay a release fee of [amount] to [wallet/account] to initiate transfer.

I'm a solicitor acting on behalf of a class action against [original scam platform]. We've recovered funds for [number] victims. Your allocation is [amount]. To release it, pay [amount] in court filing fees.

[Platform name] has been shut down by authorities. As part of the settlement, all victims are eligible for a refund. To claim your [amount], complete this form and pay the [amount] admin fee.

We are a private investigative firm specialising in crypto recovery. We can trace and recover your [amount] for a [percentage]% success fee, with a [amount] processing deposit to begin.

Hi, I saw your post about losing money to [platform]. I went through the same thing and got it all back using [firm name]. DM me for details — they're incredible.

Genuine assistance after fraud comes from institutions you contact yourself: your bank, your national fraud reporting service, and, if relevant, a regulated legal professional or consumer rights organisation you find independently.

None of these services will contact you out of the blue claiming to have located your funds. If someone does contact you, independently verify the organisation by searching its name on an official government or regulator database — never use the phone number or website the caller provides.

Search the organisation name alongside 'scam' or 'review'. Search for the individual's name. Real government agencies and law firms have verifiable, publicly listed contact details that do not require you to use personal phone numbers or messaging apps.

If a law firm or investigator is suggested, verify them on the relevant professional body's register in their stated country.