CONSUMER ALERT – Broker Imposter Scams

Media Contact: media@dob.texas.gov PRESS RELEASE Date: May 12, 2026 CONSUMER ALERT – Broker Imposter Scams The Texas Department of Banking (Department) has been alerted of several attempted broker scams over the past few months which could pose a significant threat to financial institutions and its consumers. In this scam, schemers impersonate banks or brokers and offer fake investment opportunities. In several cases, fraudsters are using legitimate bank names to trick consumers into purchasing fraudulent products. There is very little data on how specific consumers are being targeted in broker scams, but recent information indicates that consumers are targeted after conducting searches for high rate investment opportunities. Individuals contacted by the fraudsters are often not existing bank customers and are located across the United States. In several cases, these fraudsters were speaking directly to consumers on the phone to build trust in their products. They may also use the identities of legitimate brokers that can be verified using the Financial Industry Regulatory Authority’s (FINRA) BrokerCheck tool. Bank management should be aware of these schemes and encourage customers to report any fraudulent activity to FINRA or the Securities and Exchange Commission (SEC), the Federal Trade Commission (FTC), and the FBI’s Internet Crime Complaint Center IC3.gov. The following are red flags that could indicate a broker imposter scam. Banks can share this information with their customers to increase awareness of this scheme. • Unexpected Contact: Cold solicitation, while not always a scam, is a tactic that fraudsters rely on. Verify solicitations by calling the bank or financial institution at a trusted number to inquire about the person that is contacting you. Consumersshould not respond to a phone number, email or contact that is included within the email they have received. • Incorrect Email Address: Examine emails in detail to identify inconsistencies. A quick internet search can verify what an official email address domain should look like. Schemers will often use email addresses that appear similar but are not exactly the same as a bank or other financial institution. When in doubt, contact the bank’s customer service line found directly on their website to verify the identity of the representative and the investment product. • Low Risk/High Reward Offers: Fraudsters will often offer investments that have rates above the market average. These are also offered as risk-free investments, with recent

Press Release May 12, 2026 2 2601 N. Lamar Blvd., Austin, Texas 78705 www.dob.texas.gov scams offering investments in fully insured bank certificate of deposits. Research any investment products offered and verify the product with the originating financial institution. Pay close attention to any CUSIP numbers provided to see if they match the bank name and investment vehicle. Fraudsters often provide CUSIPs to increase the appearance of legitimacy, but these often have discrepancies that can be identified. • Unusual Funding Procedures: Fraudsters may claim that funds need to be sent through a third party and ask for wires to be sent to a different company than their bank or financial institution. Verify wire or check mailing instructions directly with the financial institution rather than the representative. For more information about the latest broker scams, the Department recommends visiting the following resources: • FINRA Scam Factsheet • FINRA Signs of Imposter Investment Scams • FTC - Money-Making Opportunities and Investments Scams Anyone with information about this broker scam or others should contact Consumer Assistance Activities at consumer.complaints@dob.texas.gov or call toll free (877) 276-5554.