As the cost of living crisis continues to hit households across Northern Ireland, sadly scammers are devising new and sophisticated phishing scams using Whatsapp, mobile messages and even letters addressed to homeowners, according to Sinead Campbell, Head of Money, Debt & Quality at Advice NI.
She said: “We’re already seeing this year as being an extremely challenging one for many people financially and because of this current climate, individuals are more vulnerable to scams. Criminals will shamelessly take advantage of the economic downturn for their own benefit, so it’s important to raise awareness of how sophisticated these cost-of-living scams are and urge the public to be cautious.”
Sinead shares her advice on new areas of fraud arising, tips on how to spot a scam and where to find support you can trust.
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“The £600 energy support voucher has been the target of scammers. People have reported receiving false ‘access to claim’ letters, emails, and text messages. These can be particularly convincing as they use real customers names and addresses. Scammers may even claim to be from a legitimate organisation such as an energy supplier or government agency, threatening action on outstanding debts if they don’t take immediate action.
“Another is ‘ghost broking’ – which offers cheap car or home insurance online or over the phone to those struggling to get cover. Once payment is received, your policy is cancelled and the money is gone, leaving people with no insurance and potentially liable for fraud or at risk of driving uninsured. These criminals have various ways of operating and may even provide fraudulent paperwork or policies.
“Scammers are also using fast loan schemes offering ‘fast cash’ or investment opportunities in the likes of BitCoin. The scammers will request upfront payment for verification costs or guarantor fees however, when the loan or investment never materialises, those responsible are long gone. These can be advertised on apps, social media posts or online marketplaces. Victims often end up losing money with many facing financial difficulty.”
Below are some of Sinead’s tips on how to spot a scam:
You’re being pressured to transfer money or make a payment in a strange way - such as a transfer service. It’s important to remember your bank or a genuine loan or credit card Company will never ask for an upfront payment to secure funds.
Ask for time to consider your options and for more information about what you are signing up to before sending any money. Often this will annoy the scammers but it will give you time to do some research and once you have had time to consider it, you may be able to spot it as a scam.
If it seems too good to be true – it probably is. Be wary of schemes offering same-day loans, fast and easy ways to make money or insurance and energy companies offering significantly reduced prices.
Look for typos or grammatical errors – these are often a giveaway sign of fraudulent activity.
You’ve been asked for personal details such as passwords, account numbers, pin numbers or a verification code – your bank, bank society, or any other financial institution will never ask for these by phone, text, email, or any other digital method.
If you think you’ve been the victim of a scam, given away sensitive information or made a payment, contact your bank or building society immediately. You can also call Action Fraud via www.actionfraud.police.uk or call 0300 123 2040 or police on the non-emergency number 101.
If you have been a victim of a scam and are struggling with your money, or experiencing debt, support is available, and Advice NI can be the first step in finding a solution. We offer free, confidential advice on personal and business debt and share helpful information on financial support and benefits available for households.
Advice NI and the Independent Advice Network is made up of 65 members and more than 300 advisers across Northern Ireland, all providing free, impartial and confidential advice. To access Advice NI’s money and debt advice service, and free your future, call 0800 915 4604, email advice@adviceni.net or visit adviceni.net/money-debt
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