Can you please give me some examples of the different type of scams I need to be aware of?
A response by Jon Caldwell, Security Consultant, at Caldwell Security.
More Blogs available at https://caldwellsecurity.co.uk/blog.
There are many different types of scams, and I have listed below some examples of scams that have been used by Criminals, who have successfully stolen money from their Victims. Unfortunately, Scammers are cunning and clever, and always seeking new and innovative ways, to dupe people into parting with their hard-earned cash. These Scammers are very happy to offer information on successful scams to other Criminals, advertising on the ‘dark web’, and therefore they will send thousands, if not millions of e-mails, texts, letters, and make many telephone calls, hoping that some unsuspecting individual will fall for the scam, and the Criminal will get away with the loot. Scammers can work from anywhere in the World, using technology to make it appear they are legitimate. I therefore recommend you read some of the other relevant Blogs, contained on the Caldwell Security Website, which it is hoped will reduce the risk of you becoming a Victim.
Boiler Room Schemes: - these scams involve promising investors an impressive return, but then deliver nothing except a big loss to the Victim. The Victim will receive a telephone call, out of the blue, offering an investment opportunity with high returns, but they must act fast, and transfer money straight away, often thousands of pounds, usually never to be seen again.
Phishing and Smishing Scams: - These are the most common scams, and involve sending an e-mail (Phishing) or text (Smishing), with Fraudsters posing as someone Official, such as a Bank, or Building Society, requesting you click on a link, to verify your account, and password details. The Criminal then uses the information to raid your Account, and usually you lose your money, and won’t get it back.
Pension Liberation Schemes: - With recent Government changes to Pension Rules, giving more freedoms, Scammers are targeting people, over 55 years of age, with bogus investment opportunities, to try and steal their pension savings. Consumers are contacted by e-mail, text, or phone, and offered free pension advice, or investment opportunities, often abroad, and with UK Interest rates being so low, people have been tempted to take extra risks making them more vulnerable to such fake investments.
Home Buying Fraud: - The Criminal intercepts cash being transferred, as a deposit for a house purchase, to a Solicitor in the lead up to the Exchange and Completion process. The Computer Hacker, monitors e-mails being sent between the Solicitor and Client, and when the house sale money transfer is about to be made, the Criminal e-mails the House Buyer, pretending to be the Solicitor, and tells them the Law Firms Bank Account details have changed, deceiving the House Buyer into sending the cash to the Fraudsters Account, never to be seen again. This usually involves large sums of money, and can destroy the Victims opportunity to purchase the House. Similar Fraud cases involving the intercepting of e-mails between Builders and their Clients, and other similar businesses, informing them of a change in Bank Account details, have also occurred.
Freebie Scams: - The Criminal sends a text, or e-mail, offering a free trial for desirable products, requesting the Customer provide their Credit/Debit Card details stating the Victim won’t be charged for the introductory period, but often the Victim has actually signed up to a very expensive monthly subscription, that is very difficult to cancel. This type of billing is called, ‘Continuous Payment Authorisation’ and means money can be taken without any further contact.
Loan Fee Fraud: - This occurs when someone, with a low credit rating, low income, or limited access to mainstream credit, will be approached by Fraudsters, offering a loan, by paying an upfront fee for the loan, but the loan is never received, some people being persuaded to make several payments before they realise, they have been scammed. The Financial Conduct Authority (FCA) reports this has become one of the most common type of scam reported to them.
DVLA Text Scams: - Fraudsters pose as the DVLA, by sending a text, or e-mail, requesting the Victim confirm personal information, or payment details via a link. Sometimes this will have a capitalised heading ‘Action Required’ or ‘Final Request’ and appear to have a DVLA official number. Alternatives include informing the Victim is owed a tax-refund, and provides a link to access the funds, but the link enables the Criminal to steal money. Or a message that DVLA has been trying to contact the Victim, and that action is required, and provide a link.
Microsoft Phone Scam: - This involves the Fraudster cold-calling the Victim, pretending to be a ‘Security Expert’ from Microsoft, saying the Victims Computer has been infected with malware, and offering to fix the Computer. They request remote access to the Computer, and then steal personal information, passwords, Bank Account details, and steal money. Or they ask for Credit Card details to pay for the service.
Dating and Romance Scams: - Scammers create fake profiles on legitimate Websites. They then try to enter into a relationship with the Victim, usually developing a strong rapport, exploiting emotions by pulling on heart strings, often over many months. They are often very skilled, good communicators, charming, and know how to make a lonely person fall in love. They build up a picture, with fake stories, and information, with offers to meet, until they have gained the Victims trust, and then request help, following an illness, injury, travel, or family crisis. Initially a small amount of money is requested to be transferred, and eventually building up to large sums of money.
DPD Scam: - Scammers send a text, or e-mail, stating they have a parcel for delivery, and give a serial number, and say they need more information before they can deliver the parcel. The Victim is asked to click on the link, but the Scammer then uses the information to steal money.
This is only a small sample of examples of scams. A search of the Internet will provide many others, and as new scams are regularly appearing, it is important to keep up to date with scams, especially if you, or your family, or friends, believe they might be at risk.
You may wish to consider joining the low-cost Caldwell Security Scam Prevention Service, more details are available on the Caldwell Security Website. Click HERE to learn more.
Caldwell Security Consultants will provide, no obligation, security mitigation recommendations, but they do not provide installation, or supply, of any security products.