Oregon Department of Justice Warning Of Gold Bar Scam

An Eastern Oregon woman lost $600,000 to the gold bar scam.  Maddy Alvarado, with the Oregon Department of Justice, said the scammers convince the victim their money is at risk.

"Their solution was that the only way she could protect her assets was to convert her money into gold bars and then hand them over for safe keeping," she said.

How Does The Scam Work?

Federal and local law enforcement warn this is typically how these schemes unfold:

• Initial Contact: Scammers call, email, or text, often claiming to be from a government agency, a bank, or a tech company.
• False Urgency: They create panic by saying your financial accounts are compromised or under investigation.
• Asset Conversion: Victims are told to withdraw large sums of money and convert it into gold or other valuables to “protect” it.
• Courier Pickup: A courier is dispatched to the victim’s home to collect the gold, promising it will be stored safely.
• Theft: Once the gold is handed over, it’s gone—the scammers disappear, leaving victims with nothing.

 Alvarado said the woman's sister called the Oregon Consumer Protection Hotline, and they contacted the police.  The victim was reportedly stopped before giving away another $300,000 in gold bars.  Alvarado says victims often don't report it.

"Some victims are hesitant to report to authorities even if they suspect that they may be involved in a scam or even telling their family, because they're fearful of being judged or blamed," she said. 

Questions? Contact Local Or State Authorities

Alvarado says it's important to talk with older relatives, so they're aware of the scams.  And, if you have questions about an offer, call the Oregon Consumer Protection Hotline at (877) 877-9392.

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