Scams and swindles
A scam is a scheme designed to con you out of your cash. Scams come in many forms and are getting more sophisticated all the time. So, even if you think you would never be fooled, make sure you remain sceptical about offers that seem too good to be true – they usually are!
Scammers aim to con us all. Deceptive premium rate competition scams, bogus sweepstakes and lotteries, get-rich-quick schemes and fake health cures are some of the favoured means of separating the unwary from their money. And the number of scams just keeps on growing.
Types of money scams around at the moment
- Bogus FSA and FOS communications – letters or emails claiming to be from the FSA or FOS asking for your personal information or money.
- Bank charge cold callers – telephone calls or emails out of the blue, offering to help reclaim your charges – often claiming to be from the OFT.
- Identity fraud – someone impersonates you without your knowledge, often by stealing discarded or lost documents.
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Advance fee schemes – letters or emails that offer you vast sums if you make payments up front.
Investment scams
- Share scams (also known as boiler rooms) – a stranger rings you out of the blue and tries to offer you shares in a company you have never heard of.
- Affinity fraud – investment scams that target members of a group, such as a community or a religious, ethnic, elderly or professional group.
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Chain letters – letters or emails that contain a list of names and guarantee you a huge return for your small initial investment.
Online scams
- Fund transfer schemes – money-laundering scams that tempt you to use your bank account by offering a commission, often in exchange for cross-border transfers. But you could wind up with a prison sentence too.
- Online fraud (phishing) – fake bank websites that crooks use to try and get your personal details and money.
Consumer Direct’s website has more information about other types of scam – see Related links.
Report and support
The National Fraud Authority has launched Action Fraud, the national fraud reporting centre. You can report all types of fraud and get support if you have been a victim of fraud – see Related links.
The City of London Police is responsible for coordinating Operation Archway, the national intelligence reporting system for boiler room fraud. They have set up a website where you can get more information, including how to report suspected boiler rooms to them – see Related links.
Protect yourself
For top tips on how to protect yourself and your personal information, see our Stay safe section.
For tips on how to protect your computer, avoid online scams and help with protecting your identity, go to Get Safe Online – see Related links.
For tips on safe online banking see the UK banking industry's Bank Safe Online website – see Related links.
The Metropolitan Police has a special Fraud Alert website, set up to assist in combating specific types of fraud, and to prevent you becoming a victim of crime, through the prevention advice and disruption activity – see Related links.
