Together At Hereford Wealth & Financial Planning, we prioritise your privacy and the confidentiality of your personal information. Our goal is to help you stay secure, particularly when managing your finances.

Details of the latest scams are reported in the media daily. These scams employ techniques such as creating fake websites, sending ‘cloned’ emails that appear to be from legitimate organisations, and more recently, we have identified fraudsters attempting to convince clients that a Bonafide business has changed its bank account details, encouraging funds to be paid into the fraudster’s own account. Recently, fraudsters have been impersonating financial services providers and financial advice firms. This usually involves criminals pretending to be a legitimate organisation by:

• Creating fake websites using the firm’s name and logo
• Sending ‘spoofed’ emails
• Setting up fraudulent bank accounts

These fraudsters are often articulate and knowledgeable, using sophisticated techniques to impersonate companies and research their targets, making their scams appear as genuine investments. Typically, experienced investors and those over 65 with savings over £10,000 are targeted for investment fraud, but anyone can be a victim.

The best way to protect yourself and your loved ones is by understanding how these crimes are carried out, enabling you to stay one step ahead.

Cash machine fraud

What you should look out for.

Card Skimmers:

• Does the cashpoint look like it’s been tampered with?
• If you give it a wiggle, does it feel loose?

Protect your PIN:

• Always use your hand to shield the keypad when entering your PIN.
• Look around the ATM for cameras, especially around the keypad area that might be trying to record your PIN.

Card Traps:

• If you’re card gets stuck in the machine, it might be trapped by a device so call your bank immediately and do not re-enter your PIN.

People around the ATM:

• Be careful, if someone is hanging around the ATM offering to help or trying to distract you.

If something seems off with an ATM, report it to the bank immediately.

Investment scams

Clone Firm Scams:

• Fraudsters impersonate legitimate financial firms, using their name and details to offer fake investment opportunities. They often use sophisticated websites and email addresses to appear credible.

Pyramid Schemes:

• Like Ponzi schemes, but instead of just collecting money, individuals recruit others to invest, promising high returns. The scheme depends on constantly getting new members to pay returns to earlier investors.

Advance Fee Fraud:

• Scammers promise high returns on investments but require an upfront fee. Once the fee is paid, the scammer disappears, and the investment opportunity never materialises.

Boiler Room Scams:

• High-pressure sales tactics are used to persuade people to buy worthless or overpriced shares, often in non-existent companies.

Cryptocurrency Scams:

• Fraudulent initial coin offerings (ICOs) and fake cryptocurrency exchanges lure investors with promises of high returns. Once they have collected enough money, the scammers vanish.

By being aware of these tactics, you can better protect yourself and your finances from falling victim to investment scams.

Impersonation fraud

Impersonation fraud happens when someone pretends to be someone else to trick you into giving them money or personal information. Here’s what to look out for and how to protect yourself.

Unsolicited contact:

• Be cautious if you get a call, email or message from someone which you are not expecting, even if they claim to be from a well-known company e.g. HMRC or NHS.
• Scammers will often create a sense of urgency, saying you need to act fast to avoid a problem.

Requests for personal information:

• Be suspicious if someone is asking you for your personal information online or over the phone.
• Never share verification codes to your phone or email.
• Be careful of what information you post on Social Media.

Impersonating Friends or Family:

• Scammers might pretend to be a friend or family member in trouble, asking for money urgently.
• If you are unsure, always verify the individual independently.

Look-a-like Email Addresses and Websites

Scammers might use email addresses or websites that look very similar to legitimate ones with slight differences, for example a ‘rn’ instead of ‘m’.

• Never share passwords
• Phone/cold calling scams
• Fraudsters often contact individuals by phone, pretending to be from a bank, HMRC, or another trusted organisation.

Impersonation:

• They try to obtain personal information by pretending to be a legitimate or trusted entity.

Number Spoofing:

• Scammers may fake the number they call from to make their request seem genuine.

Protect Your Information:

• Never share your personal information over the phone.

Invoice scam

Fraudsters pose as representatives from a trusted organisation and provide you with new or amended bank account details.

Verify Requests:

• If you receive a request for funds, independently check the contact details and account numbers.

Confirm with the Company:

• Telephone the company directly to verify the information.

Other scams and how to recognise them

Scammers are always looking for ways to steal money. They spend hours researching to find information they can use to gain your trust. The impact of their actions can be devastating.

The best way to protect yourself is by being aware of the way these crimes are committed so you can be one step ahead.

In any situation you should ask yourself:

• Am I expecting this call/email/letter?
• Does the situation seem genuine?
• Does what I am being told make sense?
• Is anything unusual or suspicious?
• Does it sound too good to be true?

STOP! CHALLENGE! PROTECT!

Scams are a crime.

Don’t hesitate to seek support from trusted individuals. If you suspect any suspicious activity report it immediately.

Who do you report suspected fraud to?

Action Fraud National reporting centre for fraud and internet crime. Call the helpline for advice on preventing fraud and what to do if you fall victim to it or use the online fraud reporting service.

Tel: 0300 123 2040

Textphone: 0300 123 2050

www.actionfraud.police.uk

Credit Industry Fraud Avoidance Scheme (CIFAS)

Fraud prevention organisation that provides a protective registration service to protect people whose details have been stolen.

www.cifas.org.uk

Citizens Advice National network of free advice centres offering free, confidential, and independent advice, face-to-face or by telephone.

England: Tel: 0800 144 8848

Scotland: Tel: 0131 550 1000

Wales: Tel: 0800 702 2020

www.citizensadvice.org.uk

Your Bank

If you have made a payment and believe the request was a scam, contact your bank immediately. They may be able to recover some of your money.

If you or someone else is in immediate danger because of a scam (for example, if you are being threatened by an aggressive doorstep caller), call the police on 999 or 112.

Take Five is a campaign offering straight-forward and impartial advice to help everyone protect themselves from financial fraud.

www.takefive-stopfraud.org.uk