New scams are emerging every year, and whilst we may feel educated on the right from the wrong, our experts warn to always keep a close eye on how fraudsters are working.
Reports of fraud rose by 17% in 2022, resulting in a £2.46 billion loss for UK businesses and individuals, proving that we are still being outsmarted by criminals.
Here, our experts share the five most popular scams this year and how you can protect yourself, so you’re not caught out.
Ecommerce scams
Online shopping and delivery scams are one of the most popular forms of scamming, as we live and breathe the internet. More recently, scammers have been targeting people through online marketplaces, such as Facebook marketplace, selling fake items that never arrive. Once the payment is made, the seller will block the buyer, making it impossible to contact them.
Fake delivery services have also caught out many people, sending either an SMS message or email stating that a parcel is stuck in transit and additional fees must be paid and bank details handed over.
What we recommend
Always check if the seller is verified before making a purchase, and if you sense something is not quite right, do not go through with the purchase. Check seller reviews to see what other buyers are saying, and if there are zero reviews, this may be a red flag. If you are caught out by a scammer online, you can get your debit card provider to contact the seller’s bank to refund the money through the chargeback scheme. For purchases made by credit, a Section 75 claim can be made under the Consumer Credit Act, put only if the purchase was £100 or more.
HMRC scams
Despite HMRC sending out warning messages against this scamming method, unfortunately many fall victim to this type of scam as it is so convincing and threatening. Messages are sent out across a variety of media, such as SMS messages, emails, even phone calls, claiming to be the HMRC, stating that people haven’t paid their tax, or that their national insurance number has been used in fraud.
What we recommend
HMRC have stated that they never ring or send a text message out of the blue asking for money to be transferred, so if this happens to you, ignore the call, or delete the message immediately. If you receive an email and are unsure whether it is legitimate, double check on the MNRC website if the contact is correct.
‘Missing people’ scams
The internet is a powerful tool should someone genuinely go missing, but fraudsters are using them as a con for advertising a fake service. A ‘missing person’ post is uploaded onto common social media platforms, such as Facebook, which gain a lot of engagement over time. Once the post has enough likes, comments and shares, the fraudster will edit it into an investment scam that looks credible due to the good interaction.
What we recommend
Take extra caution with posts that have their comments turned off. If the service is legit and credible, they won’t have any reason to turn them off. If you do spot an account you believe is a scam, then report it to Facebook.
Doorstep cold calling
This form of scamming tends to target elderly people, which sees a cold caller approach a household’s doorstep impersonating a charity worker or salesperson to try and gain access to a property. Once inside they will then steal valuables from the victim. They may also work in twos, with one distracting the homeowner trying to sell them something, whilst the other sneaks in and steals valuable goods.
What we recommend
Ensure that all doors, windows and gates are locked up with a padlock, or sealed to stop or at least discourage unwanted entry. Never allow anyone you don’t know to enter your home, and politely ask to have the conversation outdoors by the door. Always ask for ID for unexpected visitors and if you don’t feel they are trustworthy, say no or ask them to leave.
Imitation scams
These scams tend to be done over SMS messages, pretending to be a family member who ‘has a new number’ or is in trouble financially. To make the scam appear more realistic, they may monitor your social media prior to approaching you, making it even more believable.
What we recommend
Ensure your social media accounts are set to private, so scammers have less access to your whereabout, or digital footprint. Always contact the family members original number to check if they did send this message before replying and limit any correspondence.
