Top 5 scams
Knowing how a scam operates is the first line of defence in
protecting yourself from becoming a victim. Here we list
five current scams and explain how they work.
1. Free trials
Beware of online free trials for products such as teeth
whiteners and other ‘miracle cures’. Hidden within the small print
will be a myriad of clauses. These will commit you to additional
payments if you do not cancel within the timeframe and in the
manner specified. The clauses are often very difficult and
sometimes impossible to comply with. You may also find that you
have agreed to sign up to another company paying a monthly fee for
services such as a weight loss programme.
What to do
There have been thousands of complaints about so called free
trials. They are probably best avoided. Giving out your credit
card details can be a high risk as you may be giving permission to
withdraw additional funds without your knowledge.
2. Phishing
This can take many forms. It could be an email claiming to come
from your bank, often giving a convincing reason for contacting
you. The email will usually ask you to enter your account details
and password. These emails can look very authentic with all the
correct bank logos.
Another similar phishing scam is an email supposedly from Her
Majesty’s Revenue and Customs (HMRC). This will normally say that
you have paid too much tax and are eligible for a refund. Again, it
will ask you for your bank details claiming that a refund will be
paid into your bank account.
What to do
Don’t respond to any such email. The best advice is to delete
it. You could also forward it to your bank or the HMRC before
deleting so that they are aware of the scam. Neither of these
organisations would contact you in this way. If you are
unsure, telephone them using a number you know to be correct and
speak to them about it.
3. Cold-calling
This can be by telephone or on your doorstep, and can cover
a wide range of subjects. It could be telling you about cheap
holiday offers, cut price mobile phone contracts or even investment
advice.
A caller at your front door may be:
- someone selling household cleaning products door to door
- a builder claiming that you have a couple of tiles missing on
your roof
- someone claiming to be a water board official who tells you
that they need to enter your property
What to do
It is usually best to avoid buying goods or services from people
who are cold calling either on your doorstep or on the telephone.
You don’t know who you are dealing with. They may claim to be from
a particular company but that may not be true. Do not give out any
of your personal or financial details unless you are absolutely
sure who you are speaking to.
You can register with the telephone preference service. This
should stop, or at least reduce, the amount of telesales calls you
receive.
If someone claims to be an ‘official’ of some sort and wants to
enter your home, check that they are who they say they are by
contacting their headquarters. If they are genuine, they won’t
mind waiting.
4.Street scams or distraction scams
Playwright Alan Bennett had his wallet containing £1500 stolen
by a team of pick pockets. Firstly one of them bumped into
him with an ice cream. He and his girlfriend then went about
cleaning the ice cream off Mr Bennett’s coat, relieving him of his
wallet at the same time. There are many variations of this scam
which allow the pickpockets to get close to you without arousing
suspicion while they offer to clean off the ice cream, tomato
ketchup or other food than has ‘accidently’ been spilt.
Another distraction technique is ‘the photo’. A couple will
approach you and ask you to take a photograph of them. One of
them will then explain how the camera works while the other
attempts to pick your pocket. Sometimes they will target someone
carrying a bag or handbag as there is a tendency to put the bag
down while taking a photograph. This is where a third member
moves in to snatch it and run off.
What to do
Don’t keep your wallet in your back pocket or in the pocket of a
jacket or raincoat. If possible, keep it in your front trouser
pocket or somewhere else where it is difficult to access. If people
do close in on you suddenly, try to keep a safe distance from
them.
5. You've won the jackpot!
It might seem surprising, given all the publicity surrounding
these scams, that anybody is taken in by them but every year,
thousands of people are.
What to do
You cannot win a lottery that you have not entered, and no
legitimate lottery will ask you for a fee to send you your prize
money. If you receive a letter that falls into either or both of
these categories throw it in the bin, or better still recycle
it.