Financial scams are not a pleasant topic. However, if we don’t speak openly about them, they will continue to harm innocent people.
The best way to avoid bank scams is to arm yourself with knowledge. You need to know the most prevalent scams and how they work. In this article, we will detail the most common UK money scams and what you need to look for, so you can manage your money better.
Different scams come and go, but the premise is usually the same. The scammers camouflage themselves as a real organisation and trick people into entering personal information.
According to research from Natwest, here are the 10 most common scams in the UK.
Phishing scams are fake emails, messages, websites or calls that look like they are from legitimate companies. These ask for personal and financial information.
The second most common scam is the ‘trusted organisation scam’. These criminals impersonate energy companies, HMRC or service providers. They will tell you that you owe a fine or something is wrong with your account.
In a refund scam, a criminal impersonates a business and contacts you, telling you you are due a refund. They will also ask for your banking details or a one-time passcode to start the refund.
Friend and family scams have appeared a lot in recent years. In these, scammers message your social media or phone pretending to be someone you know. They will ask for money for a new phone, bills or another emergency reason.
Purchase scams are a prevalent online scam. Scammers make fake adverts for products on social media or auction sites and save people’s financial details. These are usually for tech, concert tickets, designer goods or holidays.
Get-rich-quick schemes urge you to quickly invest in a company with the promise that you will earn it all back plus extra.
Investment scams are similar to get-rich-quick schemes, as they urge you to invest in pyramid schemes or fake opportunities.
Lottery scams inform you that you have won a prize and must send financial information to claim it. These are false claims and should be ignored.
A safe account scam happens when scammers call you pretending to be the police or your bank. They will usually tell you there has been fraudulent activity and you must move your money to another account to keep it safe.
Lastly, friendship scams occur when criminals create fake social media accounts with the aim of becoming your friend. After gaining your trust, they will ask for money and personal information.
Around 13% of Brits have lost money to fraud and scams. So, it is essential to be on the lookout for these tricks.
Phishing and trusted organisation scams are the two most common, but you need to remember all ten to keep yourself safe.
Always check the address of the company contacting you. Remember that legitimate companies won’t ask for your security details over the phone or email.
If something feels off, never give your money or personal information away. Instead, contact the company and ask if the request is actually coming from them. It is better to be safe than sorry!
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