Consumer News: Thinking about going solar? Here's how to avoid any costly contract mistakes

Criminals are using new tactics to trick people into sending money and sharing personal information

• Scammers are increasingly targeting digital payment methods like bank transfers, debit cards, digital wallets and peer-to-peer payment apps as consumers rely less on paper checks.

• Artificial intelligence is making fraud more convincing, with criminals using fake websites, impersonation and AI-generated voices to pressure people into sending money or sharing personal information.

• The best defense is to slow down and verify. Experts say pausing before sending money, confirming unexpected requests through trusted sources and using security tools like multifactor authentication can help prevent fraud.

Paying bills, sending money to friends, and shopping online has never been easier. But as more consumers move their financial lives into digital spaces, scammers are finding new ways to take advantage.

While traditional fraud involving checks and deposits is becoming less common, criminals are increasingly targeting digital payment methods such as bank transfers, debit cards, digital wallets, and peer-to-peer payment apps.

Adding to the challenge, artificial intelligence is making more convincing than ever. Fraudsters can now create realistic fake websites, impersonate trusted organizations, and even use AI-generated voices and identities to gain consumers' trust. The result is a rapidly evolving fraud landscape that can catch even cautious people off guard.

To better understand these emerging threats and how consumers can protect themselves, ConsumerAffairs spoke with Jen Martin, Head of Consumer Fraud and Claims at Citizens, who shared insights on the latest fraud trends, common warning signs and the simple steps people can take to keep their money and personal information safe.

What do these look like?

Digital payment are becoming more common because money moves quickly and can be harder to recover. Martin shared the details of what these typically look like.

These often involve impersonation, she said. Fraudsters pose as a trusted source, a bank, a government agency, a retailer, or even a friend or family member, and use urgency to push consumers to act. Fraudsters are contacting consumers via text, email, phone calls and even knocking on doors at homes posing as trusted sources.

Whats changed is the level of sophistication. Were seeing more advanced, AI-driven , including fraudulent websites that closely mimic legitimate ones and highly convincing outreach designed to build trust quickly. At the same time, were seeing more synthetic and quasi-synthetic identities being used to open accounts, adding another layer of complexity to the fraud landscape.

Know how to spot these

Martin shared the top red flags that consumers should be aware of to help spot these .

The biggest red flag is urgency: any message that pressures you to act quickly or creates a sense of panic, she said.

Other common warning signs include:

• Texts, phone calls, emails from unknown sources, even if they look legitimate (like from a bank, UPS/USPS, or government agency)

• Requests from unknown people to move money quickly through P2P apps, wires, or other instant payment methods

• Unexpected payment requests or last-minute changes to payment instructions, especially for small businesses

• Messages that appear to come from a trusted source but ask for personal or financial information

If something feels even slightly off, its important to pause and verify through a trusted source. Immediately disconnect from the call, website, or conversation.

Dos and donts

If you happen to find yourself involved in one of these , here are Martins top dos and donts to make the fallout as minimal as possible.

Do:

• Pause and verify any unexpected request using a trusted source.

• Contact your bank immediately if something doesnt seem right.

• Use available security tools like alerts and multifactor authentication.

• Monitor credit reports, credit scores, bank accounts regularly for suspicious activity.

• Use Report Spam for unknown mobile calls and texts.

• Talk to loved ones about how to spot and what to do if you might be a victim; our elderly and student-aged family members are most targeted and the fraud schemes are different.

Dont:

• Click on links from a text/email, especially from a merchant or delivery company.

• Dont act under pressure or urgency.

• Dont share personal or banking information in response to unsolicited messages.

• Dont send money to someone you havent independently verified.

Slow down

Martin says that the most important step is to slow down.

Fraud today is designed to create urgency and bypass critical thinking, so taking a moment to verify a request can make all the difference, she said.

One of the most powerful defenses is still awareness. The more informed consumers are about how these work, the better equipped they are to protect themselves. Taking a moment to pause and verify can prevent a significant loss.

New research reveals the emotional toll of borrowing for everyday expenses and the pressure families feel to keep up

• Many parents are taking on debt to keep their children from feeling left out, with social pressures and rising costs driving many spending decisions.

• Financial experts say hiding debt can increase stress, strain relationships and make it harder to get back on track financially.

• Open conversations about money, realistic budgeting and teaching kids healthy financial habits early can help families break the cycle of debt.

Parents want to give their children every opportunity they can, whether that means signing them up for sports, paying for school activities, or simply making sure they don't feel different from their friends.

But for many families, keeping up with those expectations comes at a financial cost that's largely hidden from view.

A new survey from MoneyLion found that 40% of parents have gone into debt so their children wouldn't feel left out, highlighting the growing financial pressure many families are facing. While parents often shoulder that burden quietly, the emotional impact can be significant, with many feeling guilt, shame and worry about how their debt could affect their children's future.

ConsumerAffairs interviewed Certified Financial Health Counselor Rudri Patel who explained why so many parents feel compelled to make these sacrifices and how families can navigate financial stress without carrying it alone.

Survey highlights

Over 1,000 U.S. parents were surveyed about their finances. The findings suggest that financial stress is affecting far more than household budgets it's also shaping parents' decisions and emotional well-being.

Here are some of the key findings from the survey:

• Four in 10 parents said they've gone into debt to make sure their children don't feel left out.

• Among parents ages 25 to 34, that number rises to half.

• More than half of respondents fear their debt could follow their children into adulthood.

• Nearly four in 10 parents worry their financial situation could limit their children's future opportunities.

• About 41% of Americans and half of those currently carrying debt said they've hidden how much they owe from someone close to them.

• Nearly six in 10 respondents said they've borrowed money or relied on credit cards to pay for groceries and other household essentials

• More than 40% reported delaying or skipping medication because of the cost.

• More than 80% of respondents said they believe it's acceptable for parents to take on debt for their children, suggesting that many parents may judge themselves more harshly than others do.

FOMO fuels decisions

According to Patel, the fear of missing out (FOMO) is one of the biggest drivers of financial decisions.

With the influx of social media, parents and kids have multiple ways to compare themselves to orchestrated posts and highlight reels, he said. Parents feel the need to overspend on extracurricular activities, products, and vacations. This curated feed is financed through charging on high-interest credit cards and loans.

In addition to the comparison culture, if parents are working full-time and feel that they arent spending enough time with their kids, they may overspend to make up for the guilt.

The long-term risks of hidden debt

Hidden debt can also have physical and emotional weight for parents. Overspending is causing people to forego day-to-day expenses and health needs, which can carry long-term risks.

Secrecy about finances is a risk that may be overlooked but may do long-term damage, Patel said. Over 40% of those surveyed have not told loved ones about what they owe and 35% dont feel comfortable talking about money with close family members. Secrecy creates anxiety and delays which could lead to compounding financial problems. It makes it harder to stop poor finance behavior because there is little to no accountability involved.

Hidden debt can delay life milestones. Over 30% of Americans have put off getting married because of debt, and nearly 35% have delayed having children. The longer debt is not talked about, the more it can impede a familys entire life trajectory.

Budgeting strategies

For parents who want to take control of their finances and budget accordingly, Patel shared his best tips based on his experience as a financial expert:

• Start small. You likely wont fix everything at once. One quick way to get a jump start is to call your credit card issuers and find out if they will lower interest rates. If youre a long-time customer and have been consistent about making timely payments, chances are the issuer will lower your interest rates.

• Create an emergency fund. Having $500 to $1,000 in an emergency fund can make a difference. Youll want to prevent an unexpected expense from derailing your entire budget. Instead of charging on a high-interest credit card or getting a personal loan, you can withdraw from your emergency fund.

• Be honest about your debt. Although these conversations may feel uncomfortable, youll need to have conversations with loved ones regarding your debt. Start by having monthly check-ins. Transparency is the key to reducing shame regarding debt.

• Limit social media usage. If youve recognized that comparison tends to fuel unnecessary spending, limit your social media usage. Minimizing triggers that lead to comparison can help with having a grounded approach to spending.

• Track your spending. Be ruthless with your budget. This means keeping track of every small or large expense.

Talk to your kids about money

The survey found that more than 50% of parents are worried about how their debt will impact their children as they grow into adulthood. But it doesnt have to!

Patel recommends that parents start talking to their kids about money early, as it can help them be more aware of finances from a young age.

Between ages 3 to 5, introduce the concept of money and let them choose one thing to buy at the store, Patel said. By ages 6 to 8, its a good idea to teach children about an allowance and let them decide how they want to spend, save, and donate.

As children get older and hit their early teens, give them a debit card so they can understand the concept of credit, debt, and interest. Introduce them to budgeting apps so they understand the different categories that will likely be relevant as they get older. As they hit their late teens, getting a checking account, credit card, and a part-time job can teach them practical basics about money. You can start by having conversations about personal loans and cars, how to pay for college, and taxes.

Even without location tags or captions, AI can identify where many travel photos were taken

• Your vacation photos may reveal more than you think. AI can often identify where a photo was takeneven without location tags, captions, or metadata.

• Scammers can use those details to make phishing attacks more convincing. They may impersonate airlines, hotels, or travel companies using information tied to your trip.

• You don't have to stop sharing your travels. Being more mindful about what you post, when you post it, and who can see it can help reduce your risk.

Before you share those beach sunsets and vacation selfies, it's worth thinking about what your photos might be revealing.

Thanks to advances in artificial intelligence, a single travel picture can contain more clues than most people realize even if you've removed the location tag and skipped the caption.

According to new research from McAfee, AI tools can often identify where a photo was taken based on the image alone, potentially giving scammers the information they need to create highly personalized phishing emails, texts, and other .

ConsumerAffairs spoke with Steve Grobman, Chief Technology Officer at McAfee, about how this technology works, why it matters, and what travelers can do to better protect their privacy online.

Vacation photos reveal a lot

Groman explained that scammers don't need a specifics like a selfie in front of the Eiffel Tower or Times Square to know where you're traveling. They can use AI to quickly identify more subtle clues like hotel names, airline logos, restaurants, or even details in the background that reveal where you are.

Once they have that information, they can use it to make feel much more believable and targeted, he said. For example, you might receive a text claiming there's an issue with your hotel reservation, an email saying your flight has changed, or a message asking you to pay a tourist fee before you arrive. Because the scam is timed to your trip and the message includes specific details, people are much more likely to trust it.

How to spot these

One of the biggest things consumers should know is that these are designed to blend into the normal travel experience, while also taking advantage of moments when people are rushed, distracted, or on the go.

Groman shared some of the most popular ways these take shape:

• A fake TripAdvisor alert

• A text from your airline saying your flight has changed

• An email asking you to confirm your hotel reservation

• Fake customer support numbers that appear in search results

• QR codes that lead to malicious websites instead of legitimate services

• Messages soliciting fake tourist or exit fees designed to steal your information

Instead of relying on obvious mistakes like bad grammar, today's are designed to blend in with the confirmations, notifications, and updates travelers receive every day, he said.

Consumers should look for signs that a message is trying to rush them into acting. Urgency is always a red flag. If a message asks you to click a link, make a payment, or share personal information right away, take a moment to verify it through the company's official app or website before responding.

Reducing your risk

If youre about to embark on a trip and are now feeling skittish about sharing your photos, Groman has some advice to help reduce the risk of a scam.

His first piece of advice: you dont have to stop posting photos, but you may want to be more thoughtful about what you share and when.

Heres some more tips:

• Take a quick look at your photos before you post them. Ask yourself whether they reveal more than you intended, such as a hotel name, a boarding pass, a room number, or other details that could help someone piece together where you are.

• Consider waiting until you've returned home before posting in real time. Sharing your memories a day or two later can dramatically reduce the amount of context available to scammers while you're still traveling. Think about when you post it. Do you really need to post it while you're halfway around the world?

• Remember that not every vacation photo needs to be public. Reviewing your privacy settings and limiting who can see your posts can go a long way toward reducing your exposure without taking away from the fun of sharing your trip.

What to do if youve been involved in one of these

If you think youve been attacked by a scammer, Groman encourages consumers to act as quickly as possible.

He shared some additional advice for scam victims:

• Stop interacting with the message immediately. Don't click on any additional links or reply to it. Instead, contact the company that the scammer was impersonating using its official website or app to confirm whether there really is an issue.

• If you've already clicked a link or downloaded something, run a security scan on your device to ensure everything is safe. McAfee can help identify malicious apps or malware that may have been installed without your knowledge. If you've shared personal or financial information, contact your bank or credit card company, change any affected passwords, and monitor your accounts for suspicious activity.

• One of the biggest misconceptions is that once you've clicked, there's nothing you can do. That's rarely the case. Acting quickly can often prevent a bad situation from becoming much worse.

How to spot the warning signs of a risky solar contract

• Don't trust high-pressure solar sales. Be skeptical of promises like "no electric bill" or "this deal ends today," and always get at least three quotes before signing.

• Never sign a contract you can't keep. If everything is done on an iPad, insist on receiving a complete copy of the signed contract by email or in print before the salesperson leaves.

• Do your homework first. Research the installer's reviews, licensing, and complaint history, and consider having ChatGPT review the contract for potential red flags before you commit.

Installing solar panels can be a smart long-term investment, but experts say homeowners should be careful before signing anything especially if the offer comes from a door-to-door salesperson.

The warning comes after financial personality Dave Ramsey discussed a caller's experience with a solar company that allegedly promised to eliminate his electric bill in exchange for monthly payments on a solar system. The homeowner later said the deal wasn't what he believed he had agreed to and wanted to know whether he could get out of the contract.

While every situation is different, consumer advocates say the story highlights several red flags that we should watch for before signing a home improvement contract.

Be skeptical of 'too good to be true' promises

One of the biggest warning signs is a salesperson making sweeping promises, such as:

• "You'll never pay another electric bill."

• "The system pays for itself."

• "You can cancel anytime."

• "This offer expires today."

Solar panels can definitely reduce your electricity costs, but savings depend on factors such as your home's energy use, local utility rates, available incentives, and the terms of your financing agreement. Always keep in mind that no salesperson can honestly guarantee identical savings for every homeowner.

If someone promises dramatic savings without reviewing your energy usage or utility bills, treat it as a red flag.

Never sign a contract you can't review later

According to Ramsey, one of the biggest warning signs in the caller's situation was that the entire transaction took place on a salesperson's iPad.

The homeowner said he reviewed the agreement electronically and signed it on the device, but afterward was told the company didn't provide a paper copy of the signed contract.

That's a major red flag.

Before signing any contract electronically, make sure you receive a complete copy either printed or emailed to you. Make sure this happens before the salesperson leaves your property.

Once you have the contract in your hands, be sure to review every page carefully, paying close attention to the total project cost, interest rate and financing terms, monthly payment amount, equipment warranties, and the transfer rules if you sell your home.

If you can't easily access the final signed contract, don't move forward.

Pro tip: Take the contract and copy and paste it into ChatGPT and ask if anything about it looks abnormal or out of the ordinary. ChatGPT will quickly inform of you any potential red flags or questions you need to ask the company before moving forward.

Get multiple quotes

One of the easiest ways to avoid overpaying is to compare offers.

Experts generally recommend getting at least three quotes from different installers. That gives you a better sense of pricing, financing options, equipment quality, and estimated energy production.

A salesperson who discourages comparison shopping or pressures you to sign immediately should raise concerns.

Research the company first

Before signing anything, spend a few minutes researching the installer.

Specifically, check out recent customer reviews on Google, Better Business Bureau complaints, state licensing information, and how long the company has been in business.

Spending a few minutes doing a little research can uncover warning signs before they become expensive problems.

If you think you've been misled

If you believe a solar company misrepresented the terms of your agreement, act quickly.

Start by gathering copies of your contract, emails, advertisements, and any text messages you received.

You can file a complaint with your state attorney general's office, your state's consumer protection agency, or the Federal Trade Commission. If significant money is involved, consulting an attorney who handles consumer protection or contract disputes may also be worthwhile.