General, SSI

Unemployment Insurance Fraud and Social Security

February 4, 2021 • By

Reading Time: 1 Minute

Last Updated: March 23, 2021

Unemployment Insurance Fraud and Social SecurityScammers are using the COVID-19 pandemic as an opportunity to file fraudulent unemployment claims, often using someone else’s identity. Scammers may even use the identity of someone who is receiving or applying for Supplemental Security Income (SSI) benefits.

SSI applicants and recipients who begin to receive—or seemingly begin to receive—State Unemployment Insurance (UI) benefits could appear to be ineligible for SSI benefits. They could even appear to be overpaid because of an unemployment claim filed in their name.

These UI fraud schemes are widespread and affect most states. The United States Secret Service is investigating more than 500 claims in over 40 states related to unemployment fraud.

At Social Security, we’re taking steps to verify whether SSI applicants and recipients are victims of UI fraud. We will not reduce or terminate your payments due to a fraudulent unemployment claim. You can find information on how to report fraud on the Department of Labor’s website.

Remember that scammers always look for a chance to exploit your fears. Don’t fall for their tactics—and guard your personal information. Make sure to check out our past blog articles covering scams to stay informed. Please share this information with your friends and family—and let’s help each other stay vigilant.

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About the Author

Darlynda Bogle, Assistant Deputy Commissioner

Darlynda Bogle, Assistant Deputy Commissioner

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Comments

  1. cendi

    Hello I was in abusive relationship I was consumed by the daily abuse .I stopped taking care of myself became very depressed triggered my ptst from when I was kidnapped at age 14 I didn’t go to the Dr like I should have and then their was a death in the family I was close to him then abuser was arrested landlord evicted me caught pro-per sheriff came had to vacate I’m homeless and I begged SSI to help it’s like they ignored me .so at my herring they said I was not disabled but I am all I asked the judge was for time to go to the dr.and be able to fix this .guess not I’m heart broken

    • Sue

      Hi, Cendi, and thanks for using our blog. We are sorry to hear about your situation. For your security, we do not have access to your record in this forum. You should discuss your case with a Social Security representative who can tell you whether you are still within your appeal period or whether you need to file a new application. Please look for the general inquiry telephone number using the Social Security Office Locator. The number may appear under Show Additional Office Information. Please be aware that our call volume and wait times are greater than normal, so be patient. We hope this is helpful.

  2. Denise V.

    I received a 1099 G for unemployment monies I never collected or applied for in an apparent fraud scheme. I have been on disability for 10 years. Now my monthly payments are being reduced.
    I reported this to jfs. Is there anyone I can call to report this to Social Security?
    Thank you!

    • Sue

      Hi, Denise, and thanks for using our blog. If you think someone has used your personal information to file a fraudulent unemployment claim, check out our Social Security and Coronavirus webpage for details on what you can do. We hope this helps!

  3. Edwin l.

    I have been scamed out of 700.00 on my s.s by someone an DX is letting them do it all the time now I’m-129.00 in the hole and bill are coming in and I can’t pay thanks DX!!

    • Vonda

      We are sorry to hear that, Edwin. We do not have access to private information in this venue. We ask that members in our Blog community work with our offices with specific questions. You can call us at 1-800-772-1213 for assistance or you can call your local Social Security office. Please look for the general inquiry telephone number at the Social Security Office Locator. The number may appear under Show Additional Office Information. Please be aware that our call wait times are longer than normal. We hope this information helps.

  4. Jennifer P.

    I keep getting calls stating there is an issue with fraud but when I go online to report it the site says it is a scam site too. How do I confirm there are no issues?

    • Sue

      Jennifer, thanks for reading the blog and for reaching out. The official OIG fraud reporting site was experiencing technical difficulties, but they are resolved now, and the secure site is back online. Thanks for your patience and for reporting Social Security scam calls.

  5. D. M.

    So if I’m getting SS and work part time and get laid off do you COVID-19, can I file for unemployment?

    • Sue

      Hi D. Mowry, thanks for your question. If you file for unemployment insurance and are approved for benefits, they will not affect or reduce Social Security retirement, survivors, and disability benefits. State unemployment compensation payments are not wages because they are paid due to unemployment rather than employment. However, income from Social Security may reduce your unemployment compensation. Contact your state unemployment office for information on how your state applies the reduction.

      If you’re receiving Supplemental Security Income (SSI), unemployment benefits are considered unearned income. If you, your spouse, or a child living in your household have any income other than your SSI payment, including unemployment insurance benefits, you must tell us right away. We do not want to pay you too much in SSI. To learn more about SSI and how income affects your payment, read What You Need to Know When You Get Supplemental Security Income (SSI).

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Comments are closed.