SCAMS - Don't be an easy Target

As the instances of scamming rises, especially  on-line, we have a number of articles you will find of interest on what exactly scams are, how they work and  what you should do if you think you have been scammed.
Click here to link to one of these articles.

Click here to view the Office of Fair Traing article on 'Scamnesty', their last report into online scamming.

Other Scams Information:

Older consumers are more likely to be targetted but victims are most common in the 35 – 44 year age bracket. 48% of entire UK population are targetted at some point  Why do most scams work – They appeal to trust and authority and the clouding of sensible decision making by the offer of huge rewards or by making people focus on potential losses. In addition, a scam sometimes appears worth the risk as it is only a small one.
1. Always shield your PIN and don't ever send it over the internet or disclose it to anyone. Your bank or the police will never phone you and ask you to disclose it.
2. Consider your card details to be as valuable as cash – in the hands of a criminal there is no difference. 
3. Keep your PC protected by using up-to-date antivirus software. Try to ensure you have the latest operating system and web browser.
4. Shop only on secure websites. Before submitting card details, look for a padlock or an unbroken key symbol on your web browser.
5. Also check that the internet browser address changes from "http" to "https" to indicate that you have a secure connection.
6. Sign up to Verified by Visa or MasterCard SecureCode when given the option. Such systems provide an added level of security as you must register a password with your card company.
7. Check receipts against card and bank statements regularly. If you find an unfamiliar transaction contact your bank or card company immediately. Shred or completely destroy all documents that contain personal details and don't keep such documents in your car or handbag.
8. Try not to let your card out of your sight when making a transaction at restaurants, bars and clubs.
9. Don't use a cash machine that appears to have been tampered with. Report it immediately to the bank concerned.
10. Don't be distracted or accept help from apparently well-meaning strangers while using a cash machine. If someone is crowding or watching you, cancel the transaction and use another machine.
11. When buying tickets online check with the venue to find out when they are being released and sent out. Also check that you know the geographic address of the website company and that they have a working landline phone number. Make sure there is a refund policy in case something goes wrong.
12. When dealing with tradesmen never hand over a cash deposit, be wary of special offers or warnings about your home and don't agree to a trader starting any work straight away. Take time to consult with someone you trust for a second opinion and speak to friends, family or neighbours before making any decision.

See more information below:

Lottery scams
 For some consumers, the idea of winning millions of dollars in an overseas lottery is just a dream come true. Unfortunately, this type of scam can be the beginning of a nightmare.
The Spanish Lottery or El Gordo Lottery scam is one of the most common scams currently doing the rounds. While there are a variety of lottery scams in circulation they are essentially the same in that there are no prizes and any consumer who responds risks losing money and having their identity stolen.
If you receive an email or a letter advising you that you have won a huge cash prize in an overseas lottery it is almost certainly a fraud.
• Lottery scams cost the British public an estimated £260 million a year
• Approximately 140,000 adults fall victim to these scams a year.
• Only 6% of victims report it to authorities.
• In 2009, the Office of Fair Trading received over 4000 complaints about lottery scams
• The Average loss is £1,900 per victim per year
How the scam works
In the typical El Gordo Lottery Scam, the consumer receives a series of credible looking documents either offering tickets in an overseas lottery or advising them that they have won millions of Euros in an official lottery draw. The documents are usually addressed personally to the consumer and are often marked with things like ‘official notification’ or ‘confirmed’ or ‘verified’ in an attempt to create an authentic feel to the scam.
To collect their winnings, consumers have to pay an up-front fee to arrange for the funds to be ‘cleared’ and deposited into their bank account. Often, the initial request for advance payment is followed by demands for more money to cover unexpected expenses.
These scams also require the consumer to provide extensive personal information and give a copy of their driver’s licence and passport to establish their identity. This information can then be used to steal their identity which can devastate their entire life.
Some of the more sophisticated lottery scams may even direct you to websites for European banks for the purposes of depositing money to clear your winnings. These bogus sites are also part of the scam and, by responding, you will be giving the scammers your personal bank account details.
What to do if you receive an overseas lottery letter
Ignore it – it is almost certainly a scam. Warm your friends and family
Never send money or any of your personal information in response to these offers. There is almost no prospect of recovering money sent in response to one of these scams.
Remember if you didn’t buy a ticket in the lottery, you can’t win.
You can also refer the correspondence to the Office of Fair Trading or the Police.

Scam/fraud  Definition
Shopping and online auction fraud (counterfeit goods and websites)  Involves fraud attributable to the misrepresentation of a product advertised for sale; the non-delivery of purchased products (eg through an Internet auction site); false brokerage; or fraudulent payment through a payment service provider, e.g. PayPal. Fake websites that misrepresent genuine companies and goods.

Credit and debit card fraud (including cash machine fraud)  Includes phone, internet and mail order fraud (card-not-present fraud), counterfeit card fraud (card cloning), card ID theft, mail non-receipt card fraud and lost/stolen card fraud. Criminals also target cash machines to steal cards and card details, typically installing miniature cameras that film customers’ PINs as they enter them into the keypad.

Scam ticket websites  People purchase non-existent tickets from scam websites to events such as music festivals and the theatre believing the sites are legitimate. However, after paying for the tickets, they are not delivered and any calls and emails go unanswered. Sometimes scammers will suggest a customer representative will meet the victim at the venue on the day of the event, but nobody turns up. Victims are left both out of pocket and unable to attend the event.

Lottery, prize draw and sweepstake scams  A fraud that involves victims being informed that they have won a non-existent lottery or prize and being required to send an advance payment for processing or administration in order to release their winnings. Another form of this fraud may involve the victim being promised a high value cash prize but in the end only receiving a low value item.

Identity fraud and theft  Identity fraud happens when fraudsters use a false identity or somebody else's identity details to support their criminal activities by obtaining goods or services through deception. Identity theft is the misappropriation of another person's identity – for example: their name, date of birth, current or previous addresses – without their knowledge or consent.

Phishing emails  Phishing is usually done via instant message or email. Fraudsters try to trick people into providing sensitive information such as credit card details, passwords and usernames by pretending to be a reputable organisation such as a bank, social web or auction site. People are lured into fake websites where they enter information which is then used by criminals for fraudulent purposes.

Scam letters (commonly from west Africa)  This involves soliciting money from the victim for a variety of emotive reasons to assist the fraudster. Typically, the writer claims to be a senior foreign government official, an accountant with a state owned corporation or a relative of deposed or dead politician who needs help in transferring money to a bank in the victims country. The writer asks to use the victims bank account and promises the victim can take a large slice of the transferred amount for themselves

Loan scams  People responding to advertisements for quick loans, regardless of credit history, have applications approved, but before they receive the loan they are told they must pay an ‘insurance fee’ upfront. Once the advance fee is paid, the victim never hears from the company again and the loan is never received.

Premium phone line scams  Phone users inadvertently make calls or send texts using premium services; to purchase phone-related products/ services that turn out to be substandard or non-existent; or to unwittingly sign up to expensive subscription services (eg mobile phone ring tones). Fraudsters can also ensnare victims with the ruse of holding non-existent parcels for collection.

Investment scams (shares, gemstones and fine wine)  Investment that appears to offer a return (income, interest or profit) that is more attractive than a conventional investment, but which turns out in reality to be “too good to be true”. Commonly used in connection with investment in shares, fine wine, gemstones, art, antiques and other ‘rare’ high value items. What is offered is often overpriced, very high risk and difficult to sell on.

Rogue doorstep sellers  Cold-calling and door-to-door frauds including pressure selling, unfair contracts, overpriced or substandard home maintenance or improvements and phoney consumer surveys.

Slimming or miracle cure scams  Fraud involving health and medical-related products (e.g. consumer advertising for ‘miracle’ cures and weight loss products) and fake online pharmacies. It is unlikely that the products have been properly tested or proven medically effective, some might even be dangerous. The advertising often includes fake testimonials from ‘satisfied customers’, unsubstantiated claims about product effectiveness, false claims about clinical tests and worthless ‘money back’ guarantees.

The Office of Fair Trading (OFT) is warning people that the increased potential to meet new people online is being used by scammers to gain trust and con people out of their money. Scammers target singles columns and dating websites to search for potential victims. They create fictitious online profiles or send out unsolicited emails or letters, often with fake photographs. Scammers use the trust gained to persuade victims to part with large sums, with some frauds going on for years. This typically involves saying they would like to meet you but are stranded and don't have money to travel or cover visa costs. They may also say that they or a family member require urgent treatment for an illness.
OFT-managed advice service Consumer Direct offers the following advice to make using internet dating websites safer:
• Know what you are paying for and what the agency promises to provide in return.
• If you receive any requests for money, be suspicious, even if you have known the person for a number of weeks.
• Be sceptical and ask yourself simple questions, for example, 'why am I the only person who can help them, when I have just met them?'
• If you meet somebody unknown to you, always meet in a public place and take a friend with you for support if you are unsure. Or at the very least, let someone know where you are meeting.
Heather Clayton, Senior Director of the OFT’s consumer group, said 'The internet is now an established way to meet and connect with new people, but those meeting on dating and other sites need to be on their guard against potential dating scams. All fraud is destructive but dating scammers are particularly ruthless as they abuse the emotional trust and attachments that people invest when looking to meet someone.'
There is plenty of good advice on avoiding this kind of scam on sites like Get Safe Online.