Stay Diligent to Prevent Tax Scams

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A lot of money and sensitive information changes hands during tax season, which can bring scammers out of the woodwork to try and maliciously seize identities or refund checks. Fortunately, the IRS is well aware of the heightened risks during the weeks leading up to tax day and wants to help responsible taxpayers keep their eyes peeled for outside threats. Fraudsters may utilize certain tactics to persuade or intimidate their potential victims. However, the IRS will never:

  • Demand immediate payment over the phone or via e-mail.
  • Request debit or credit card information over the phone or via e-mail.
  • Threaten to contact the police or have you arrested for not complying right then and there.

Proceed with caution if anyone contacts you in this regard, or if you're contacted in any other manner that raises red flags. If you believe the IRS has legitimately reached out with an actual tax concern, they encourage you to contact them directly to follow up. Please visit the IRS website for more information.

Fraud prevention is paramount at New Direction Trust Company. In addition to firewalls and other such technological measures that protect your self-directed retirement plans and personal non-public information, we are proud to offer front-line measures to keep your accounts as safe as possible:

  • Your myDirection® pages are protected with security questions whose answers you choose, allowing you to defend your account with specific information that nobody else should know.
  • Account changes submitted through myDirection® cannot take effect without your confirmation via two-factor authentication. This helps ensure that you are the only one who can modify your account information.
  • Among other verification efforts, our live client representatives will request your verbal password before discussing sensitive account information. As with your myDirection® security questions, your verbal password should be unique and therefore difficult to intercept by an identity thief.

A team effort of vigilance from you, the IRS, and New Direction Trust Company can provide a primary defense against criminals and other bad actors. For more information about our security practices or self-directed IRA investing in general, please feel free to give us a call at 877-742-1270 or send us an e-mail at