SNAP Benefits: EBT Scam Brings More Headaches for CalFresh Users
California state officials have issued a warning to SNAP benefits recipients to be wary of CalFresh scams after the frequency of benefits stolen increased by around 4,000% since 2021.
Thousands of Californians have fallen victim to the EBT scam, with their Electronic Benefits Transfer card wiped out of their SNAP benefits.
The California Department of Social Services paid around $92,000 in fraud claims in July 2022, as reported by CBS News.
The agency has cashed out around $3.8 million to victims of CalFresh scams by the same time last year. California has lost around $24 million due to EBT scams in just a 12-month timeframe.
California earlier announced that they intend to pay back all fraud claims. However, if a second claim is submitted within three years, they may not reimburse the lost funds.
READ NEXT: SNAP Benefits 2023: $344.1 Million Approved for January Food Stamp Payments in Texas
CalFresh Scam
Activities related to the CalFresh scam persist in the state.
The San Diego County spokesperson, Michael Workman, noted that the illegal activity is being conducted by a sophisticated crime ring.
Workman added that the criminal activity is most frequent at the start of the month, just after the SNAP benefits are loaded onto the recipients' EBT cards.
CalFresh recipients started alerting caseworkers a day after the funds were electronically deposited into their debit cards.
County workers responded to most theft reports by requesting a client disclosure, which would have the recipient attest that specific charges were not incurred. They would then close out the accounts and issue new cards.
However, the process could take days, and clients often struggle to pay for groceries and other expenses during the times of processing.
The DSS said that it has been working to control the thefts and improve the systems it utilizes in delivering the benefits.
Social Services spokesperson Jason Montiel said in a statement that a Card Verification Value functionality for all EBT cards was recently enabled in the past June.
Montiel added that California Gov. Gavin Newsom recently included $50 million for EBT theft prevention in the new budget.
EBT Scam Across the United States
The U.S. Agriculture Department also received reports of an EBT scam wherein thieves use "card skimming" to steal SNAP benefits.
Card skimming is the practice of fraudsters planting a device on a retailer's card-swiping machine to copy EBT card information. It can occur to anyone that uses a credit, debit, or EBT card.
MLRI attorney Betsy Gwin said that skimming can be seen across the country, but the difference is that EBT users lack federal protections.
Agriculture Department said criminals are posing as SNAP caseworkers to try to get recipients' EBT card information.
To protect your benefits, the U.S. DA advised recipients to keep their PIN secret and avoid sharing it with anyone outside their household.
In addition, EBT recipients should check their EBT accounts regularly for any irregular charges made to their accounts.
If there are any unfamiliar purchases, it is advised to change your PIN immediately.
Checking the card-reading machines can also prevent you from having your benefits stolen from you.
READ MORE: Disaster SNAP Benefits Update: Are You Eligible for New Florida Payments?
This article is owned by Latin Post.
Written by: Mary Webber
WATCH: Fraud Alert for families receiving food stamps benefits - from KPRC 2 Click2Houston
Subscribe to Latin Post!
Sign up for our free newsletter for the Latest coverage!