Advanced fee and investment scams
Welcome to our new series of blogs designed to help you stay safe in a digital world.
30 April 2024
In our first blog, we’ll be focusing on two scams which were very prominent in 2023, investment and advance fee scams.
Advanced fee scams
What is an advanced fee scam?
When fake companies ask for an upfront fee and then don’t provide the service you’ve paid for.
Scammers create fake adverts for rental properties at low prices, when the property doesn’t exist or has already been rented to multiple victims at the same time.
How do they do this?
This is achieved by producing fake online or social media adverts that say there’s available housing at reduced rent costs, ultimately tricking victims into signing contracts or paying an upfront fee. They’ll then pose as the agent who’s showing the property.
How can we fight back?
The key tip is to be vigilant, if you see an advertisement for a property that seems too good to be true, then it probably is. You should also always do your own research on the company, or the person you’re dealing with.
This will help you confirm the advertiser is genuine and the property exists and is available. Also, don’t feel pressured into transferring large sums of money, especially just to view the property.
Investment scams
Now more than ever, people want their money to go further, which may mean they’re looking for a range of investments. Scammers are taking advantage of this by posing as genuine companies and exciting new start-ups.
They may offer a great deal or say they can help you set up the investments using screen sharing software (which gives the scammer access to your computer and all your money).
Guidance
Be wary of anyone offering to “help” you with financial transactions using screen sharing technology. This can give them more access than you think, and it could compromise your bank accounts.
- Always check the FCA website for help and advice including a company’s genuine contact details, known scams and cloned companies
- It’s always good to speak to a friend or family member before investing, or a registered financial advisor.
