WASHINGTON – Late last week, the USDA Food and Nutrition Service (FNS) issued an alert regarding recent reports from retailers of a scam taking advantage of SNAP retailer-applicants. According to the notice from USDA, since the week of August 10, FNS has received at least a half-dozen complaints from SNAP retailer-applicants.

In the documented complaints, the retailer was in the process of, or had just submitted their SNAP application, and was subsequently contacted by a so-called Third Party Processor (TPP)/Independent Sales Organization (ISO) offering to assist them in expediting the SNAP-authorization process, for a fee (typically $299). In these instances, the retailers provided the self-described TPP/ISO with bank information and the funds were withdrawn, yet the retailer received no further follow-up or information from the company. 

Please note: SNAP does not charge a fee for processing your retailer application, nor does any outside entity have the ability to expedite your application. Any request for information about you or your business will come via an official letter from USDA after the SNAP retailer application has been filed. Under no circumstance should a retailer provide personal information or credit card information over the phone to unsolicited callers. If you have already fallen victim to this or a similar scam, please visit www.ftc.gov/bcp/edu/microsites/idtheft/ for more information on identity theft.

The USDA FNS is continuing to review this issue and has posted an alert about this concern on their website. Retailers are urged to contact the SNAP Retailer Service Center at (877) 823-4369 if they are uncertain about any request regarding the SNAP retailer application.