Being aware

Unfortunately, fraudsters will use of any and all tools available to get their hands on something that’s not theirs. Advancing technology also means there are more weak points to take advantage of than ever before. Staying armed with the facts about the latest scams and fraud is the best way to keep yourself and your finances safe from unwanted attention.

What to watch out for – the basics

Scammers often pretend to work for large, well recognised and respected companies. Whether this be banks, insurance companies, technology companies or charities. It’s very rare that your bank will call you and ask for your details over the phone.

Here we’ve outlined several things you can look out for to help you spot scammers:

If the caller has called in relation to a banking/insurance product or facility that you have no knowledge of, hang up the phone and call the company back on a genuine number found on their website.

Avoid clicking on any links contained within messages you’re suspicious of. In recent years, scammers have started sending text messages often stating you have charges to pay on a parcel, or provide you with a link to track a parcel you’re not expecting. Most legitimate couriers will email you as well as sending a text message if you have an expected parcel arriving.

In today’s world, scammers will more commonly send out mass emails hoping a few people will read into them. These emails are often sent from made-up email addresses. For example, Hodge colleagues will always email you on an email address ending in @Hodge.co.uk and never Hotmail or Gmail. Emails from scammers will usually be poorly worded with multiple punctuation and spelling mistakes.

Mobile messaging scam

Mobile messaging scams involve a message being send to you, often via WhatsApp, by someone pretending to be your son or daughter claiming they have lost their phone. Once you have the number saved, the scammer will tell you they need money after their ‘incident’, hoping that you will hand over your financial details.

To avoid this scam, make sure you take time to think in these situations, remember that scammers prey on peoples kindness in these situations. You could verify it is the person by calling them directly, makes sure you are 100% sure the request is from someone you trust before you send any money over or your financial details.

You can turn on your WhatsApp two-step verification to protect your account and make sure you are happy with your privacy settings. If you realise it is a scam, make sure you report it to Action Fraud.

Middle aged woman looking concerned at phone

Pension pot scams

Scammers are exploiting pension reforms, by persuading people to release their retirement savings and transfer them into inappropriate or even non-existent investments. They often use the uncertainty created by the pandemic to trick these people out of all their life savings.

If you are contacted out of the blue about your pension then it is likely to be a scam, so make sure you are aware of free pension review offers. You can also check the FCA’s Financial Services Register to ensure that anyone offering you advice or other financial services is authorised by the FCA. Be wary that some scammers may try to pretend to be a FCA registered firm, so make sure you are only using the details on the FCA Register.

Romance Fraud

There has been a significant increase in Romance fraud according to Action Fraud, due to the pandemic leading to people looking for love online. The scammer creates a fake profile on a dating sight to social media platform and targets individuals to try and gain their trust. They then ask the victim for money for investments, legal fees, or travel.

Requests for money early on my be red flags as well as reluctance to talking about their personal life. If you have concerns, talk to someone you trust for help. If you think you have been scammed, make sure you report it to your bank and to Action Fraud.

Spoof HMRC phone calls

Action Fraud has also had an increase in the reporting of malicious calls and voicemails, to members of the public claiming to be from Her Majesty’s Revenue & Customs (HMRC). Fraudsters are able to spoof genuine HMRC telephone numbers to deceive their victims over the phone. They often will tell the victim that due to their non-payment of tax or other duty, they are liable for prosecution or other legal proceedings to settle the balance. They may suggest that the victim can avoid this by making a payment via bank transfer, which then goes into the fraudsters bank account.

The fraudster uses fear to force the victim to pay them money. For example they may threaten immediate arrest or bailiffs to the victims address, and in some cases deportation. Often the period in which the alleged tax was due is distant ago enough that there is little to no paper work to verify the claims.

In genuine cases from HMRC, they will make direct contact via post before following up with a phone call at a later date.

Women worries with credit card and phone in hand

Phishing emails

Phishing emails can appear very convincing, but there are a few things you can look out for which may reveal an email to be not quite what it seems, including:

Spelling mistakes or grammatical errors
Being addressed to Sir or Madam rather than you directly
Unusual email addresses – if you check the address, it may appear legitimate at first, but look closer, it may not be as legitimate as it first appeared. Hovering over the address with the mouse can sometimes show a different email all together
They may offer something of value for free, for example lots of phishing emails currently claim to be from a local council offering money in line with the Government’s COVID-19 initiatives
There will often be a sense of urgency to create a sense of panic that you should respond immediately. You should never feel pressured to respond.