Protect Your Brand: How to Identify and Stop Text Message Scams Before They Do Damage
Contents
1. What Is an SMS Scam?
2. How Do SMS Scams Work?
3. How SMS Scams and Identity Theft Impact Businesses
4. Types of Spam Text Messages You Should Know
5. How SMS Scam Fraud Differs from Other Messaging Fraud
6. Identifying Fake Text Messages
7. Protecting Your Mobile Device
8. How to Prevent SMS Scams
9. Reporting Spam Text Messages
10. Protect Your Brand with Trusted Messaging
In a world where messaging is instant, global, and essential—text message scams have become a serious threat, not just to individuals but to businesses and brands alike. One fraudulent message can damage trust, tarnish your reputation, or put your company at risk of regulatory violations, campaign interruptions, and major financial losses.
Securing your cell phone is crucial to prevent falling victim to text message scams. Recognizing and reporting these threats can help protect your personal information and ensure responsible use of your device.
(See our blog on the FCC’s new compliance rule.)
It’s never too late to take control of your business messaging strategy. Here’s what you need to know about SMS scams, how they work, and how to protect your organization.
1. What Is an SMS Scam?
An SMS scam is a deceptive text message designed to trick recipients into giving up sensitive information, clicking malicious links, or taking harmful actions—usually for the benefit of cybercriminals. These messages often impersonate legitimate companies like banks, retailers, healthcare providers, or government agencies.
2. How Do SMS Scams Work?
These scams rely on social engineering—manipulating people into acting before thinking. Scammers typically:
- Send phishing links
- Request login credentials or payment details
- Ask for personal data
- Trick users into downloading malware
- Provide fake customer support numbers
- Send fake messages to deceive recipients into providing personal information
They often disguise these attempts as urgent alerts, missed deliveries, or suspicious account activity. The personal nature of SMS—and the perception that it’s a “safe” channel—makes these scams especially effective.
3. How SMS Scams and Identity Theft Impact Businesses
Scammers may be targeting consumers, but your brand is often the collateral damage:
- Reputation Risk: Even if you’re not behind the scam, your brand may be associated with it. Scammers often steal personal information, which can lead to significant financial and reputational damage for businesses.
- Loss of Trust: Customers grow hesitant to engage with your legitimate messages, impacting engagement and conversion rates.
- Legal Exposure: If your platform is used for scams—even unknowingly—you may face regulatory penalties, legal action, or steep fines.
- Deliverability Issues: High volumes of flagged messages can lead to carrier-level blocks, affecting your ability to deliver time-sensitive notifications and everyday communication.
4. Types of Spam Text Messages You Should Know
Not all SMS fraud looks the same. Here are the most common types:
- Smishing (SMS Phishing): Links to fake websites that harvest personal data.
- Spoofing: Messages sent using forged sender IDs to appear legitimate.
- Fake Opt-Ins: Users unknowingly subscribed without proper consent.
- Prize/Reward Scams: “You’ve won!” messages designed to steal information.
- Urgent Alerts: Fake security or account notices intended to trigger panic responses.
- Fake Messages: Scammers send fake messages to trick recipients into revealing sensitive information.
5. How SMS Scam Fraud Differs from Other Messaging Fraud
Unlike email, SMS has no built-in spam filter—and users are more likely to trust and act on text messages. The personal and immediate nature of SMS makes scams more dangerous and harder to detect.
Text messaging is a vital communication method that requires robust security measures to prevent scams.
While industry players are working to strengthen protections, many anti-fraud efforts remain fragmented, leaving brands and recipients vulnerable. No single solution solves it all—which makes a proactive, layered approach essential.
6. Identifying Fake Text Messages
Fake text messages can be tricky to spot, but there are several red flags that can help you identify them. Here are some tips to help you recognize fake text messages:
- Urgency: Scammers often create a sense of urgency, urging you to act quickly or risk losing something valuable. Legitimate companies will not pressure you to make hasty decisions.
- Spelling and Grammar Mistakes: Many fake text messages contain spelling and grammar errors. Professional companies typically ensure their communications are error-free.
- Unknown or Unverified Source: Be cautious of messages from numbers you don’t recognize or that seem suspicious. Verify the source before taking any action.
- Asking for Personal or Financial Information: Legitimate companies will never ask for sensitive information like account numbers, phone numbers, or passwords via text message.
- Suspicious Links or Attachments: Avoid clicking on links or downloading attachments from unknown sources, as they may lead to malicious websites or malware.
- Too Good to Be True: Be wary of messages that promise something that seems too good to be true, such as guaranteed money-making schemes or high-paying jobs with little effort.
If you receive a text message that exhibits any of these warning signs, it’s likely a fake text message. Do not respond, click on links, or provide personal or financial information.
7. Protecting Your Mobile Device
Protecting your mobile device from spam text messages and fake text messages is crucial to prevent identity theft and financial losses. Here are some tips to help you safeguard your mobile device:
- Use a Messaging App with Built-In Security Features: Apps like WhatsApp and Signal offer built-in security features that can help protect you from spam text messages and fake text messages.
- Use a Digital Security Solution: Consider using a VPN or antivirus software to protect your mobile device from malware and other online threats.
- Keep Your Operating System and Apps Up to Date: Regularly updating your operating system and apps can help protect your mobile device from security vulnerabilities.
- Use Strong Passwords and Two-Factor Authentication: Protect your mobile device and online accounts with strong passwords and two-factor authentication to prevent unauthorized access.
- Be Cautious of Public Wi-Fi: Public Wi-Fi networks can be vulnerable to hacking. Avoid accessing sensitive information or conducting financial transactions on public Wi-Fi.
By following these tips, you can help protect your mobile device from spam text messages and fake text messages, reducing the risk of identity theft and financial losses.
8. How to Prevent SMS Scams
Preventing SMS fraud takes a mix of strategy, technology, vigilance, and compliance:
- Use Verified Sender IDs: Register with carriers and platforms to validate your identity. If you’re using 10DLC in North America, registration with The Campaign Registry (TCR) is a must. (See our blog on 10DLC best practices – link coming soon.)
- Implement Opt-In/Opt-Out Verification: Make sure you’re only messaging customers who have clearly consented. With the latest FCC 1:1 consent requirements, now is the time to ensure you’re fully compliant. Need help? Contact us for a free consultation: contact@vvpusa.net
- Monitor Campaign Health in Real Time: Keep tabs on anomalies and flag suspicious activity early.
- Educate Customers: Be transparent about what kind of messages your brand sends—and what you’ll never ask for via SMS.
- Partner with Compliant Messaging Providers: Use platforms that prioritize security and compliance with built-in safeguards against fraud.
9. Reporting Spam Text Messages
Reporting spam text messages is an important step in preventing identity theft and financial losses. Here are some steps to follow to report spam text messages:
- Report to Your Phone Provider: Contact your phone provider, such as Verizon or AT&T, to report the spam text message. They can help block the number and prevent future spam text messages.
- Report to the Federal Trade Commission (FTC): Report the spam text message to the FTC, which tracks and works to prevent spam text messages.
- Report to Relevant Authorities: If the spam text message is related to a specific industry, such as banking or healthcare, report it to the relevant authorities, like the Federal Reserve or the Department of Health and Human Services.
- Delete the Message: After reporting, delete the spam text message to prevent any further action.
- Educate Yourself and Others: Stay informed about the dangers of spam text messages and share this knowledge with others to help protect them.
By reporting spam text messages, you can help prevent identity theft and financial losses, and protect yourself and others from online threats.
10. Protect Your Brand with Trusted Messaging
Trust is the foundation of every customer interaction. If your messaging isn’t secure, neither is your reputation.
VORTxT, our patented technology, helps businesses:
- Verify recipient identity so you know you are reaching the intended recipients
- Capture and document opt-in/out with indisputable evidence
- Provide audit-ready data logs so that you can resume your campaign within hours instead of weeks.
- Monitor campaign health in real time and take proactive measures to prevent interruption or steep fines
- Offer cross-campaign visibility. If you’re running multiple campaigns or using different messaging platforms, VORTxT acts as the central source of truth.
VORTxT doesn’t just help you check the compliance box—it helps you build long-term trust, avoid legal risk, and run smarter, safer messaging campaigns.
🚀 Ready to Protect Your Business?
Give us a call or text via 913-643-3100 and see how our patented technology, VORTxT, can help you prevent SMS scams, stay compliant, and safeguard your brand’s reputation from day one.
