4 widespread scams even smart people can fall for

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• Fraudulent activity by scammers trying to get your personal information has increased significantly. 
• Check washing, robo calls, student loan forgiveness and airfare scams can walk scammers right into your bank account.
• A healthy dose of skepticism can help protect you from being scammed. 

With inflation still causing an uptick in costs, many are looking for ways to get out of debt and trying to pinch pennies. Fraudsters are creating scams that prey on consumers' fear of overspending and debt, so it is important to be on the lookout for these predatory scams and to take measures to protect yourself. 

Here are a few of common scams being used right now:

1. Student loan forgiveness scam

How it works: Under the Biden Administration, student loan forgiveness applications opened in 2022. As soon as the applications opened, scammers got to work. Student loan forgiveness scammers may set up a phony application website or even try to contact you by phone to collect your banking information and Social Security number. They will try to pressure you into "applying" before the aid runs out, or they might even charge you a fee to apply. 

How to protect yourself: Applying for student loan forgiveness is free, so anyone that is trying to charge you money to apply is showing you a big, red flag. The best thing to do to protect yourself is to go directly to the Department of Education website. There you will get the correct information along with any updates — and it's free.

Related: The best identity theft protection services »

2. One-Time Password (OTP)

How it works: It's easy to get caught by this scam, because the communication looks like it is coming from a legitimate financial institution or a company that you do business with. It may come through a robocall or a text.

I actually received a text stating that a few expensive items were being purchased through my Amazon account and that I needed to text back my password right away to verify that the purchases were mine. I could have easily sent my password back to the scammer thinking that it was actually Amazon and that I was securing my account, but had I done that, I would have given them access to my account and they could have easily started making purchases through my Amazon account. 

Also, through two-factor authentication, when you log in, the website will send a code to your phone or email to make sure that it is you. In the case of a scammer, they're actually trying to log into your account and trying to get you to give them that code so they can gain access.

How to protect yourself: Don't give personal information over the phone or via text, or click links emailed or texted to you. If a "company' contacts you, go directly to its site and to your account to see if that message is legitimate.

Read more: 4 ways to avoid personal loan scams

3. Check washing scams 

How it works: You may be thinking to yourself, "Do people still write checks?" Yes, they do, and in large enough numbers that scammers have found a way to take advantage of it. It's called check washing and it involves changing the payee names and the amount of the check and then depositing the check into the scammer's account. 

Typically, the scammer gets a hold of your check by taking it out of the mail. They then "wash" it in chemicals to remove the ink and create a blank check. Some will go so far as to create an entire checkbook from one check. 

How to protect yourself: This scam has gotten so out of hand that the US Postal Service has recovered over $1 billion in counterfeit checks and money orders and has issued a warning that checks should not be sent through the mail. Consider alternate forms of payment, like credit cards or payment transfer apps. 

4. Travel cancellation scams

How it works: During peak travel season, travelers are being hit with massive airline delays and flight cancellations. Scammers have seized upon this and created a scam targeting people whose flights have been canceled and are desperate to rebook.

The scammer will put up a fake number or website and will even go so far as to use the logos of the various airlines. If you are doing a search, this fake number and/or website will come up. You call the scam number and the person on the phone, impersonating an airline employee, will offer to rebook you on another flight for a fee that's usually hundreds of dollars.

How to protect yourself: There will be an urgency to their offer and an immediate ask for your personal and financial information, which should be a red flag. If you're being pressured to provide payment information immediately, don't hesitate to hang up. The Better Business Bureau scam tracker has received nearly 200 reports of these travel cancellation or airfare scams.  

How to protect yourself from getting scammed

1. Be skeptical

Right now, money scams are at an all-time high. Scammers can create emails and spoof calls and make it look like it's from legitimate organizations. Don't share passwords, banking information, or one-time codes with anyone, which can make it easy to steal your identity or your money.

2. Be careful with your phone

If you think you are receiving a spam call, don't answer it. If you do, don't push any buttons. I actually have calls that pop up on my phone labeled "scam likely" and I block those calls immediately. Many of us take care of a lot of business through our phones and it can be very convenient, but it's OK to slow down and check first. If you think it may be legitimate, you can call them back after you verify that. This leads to my next point …

3. Research companies

Before you make a purchase (especially if it's over the phone) take a minute to read up on the company. Look at their website, see what the reviews say, and see if anyone has had any bad experiences with them. 

4. Don't rely on that Google search

Scammers can create phone numbers and even websites that are very real looking. Go directly to the company website and use the contact information listed there. If you are trying to rebook a canceled flight and you are being asked for money upfront, that is a huge red flag. Confirm that URL before entering any information so that you are not scammed out of your money and personal information.